What Happened
Two months after OpenAI launched advertising in ChatGPT, early advertiser sentiment sits somewhere between cautious optimism and frustration, according to reporting from Ad Age and Search Engine Land.
The core tension: ChatGPT is the leading consumer AI platform with a fast-growing, high-intent audience — but the advertising product is still raw. Early campaigns are largely impression-based with little insight into actual outcomes. CPMs have reportedly been high, and initial minimum spends reached into six figures. Measurement tools and reporting are still developing, making it difficult for advertisers to justify scale.
On the optimism side, brands see access to a novel, engaged audience that's actively seeking information rather than passively scrolling. On the frustration side, there's a lack of transparency in how ads influence recommendations, limited targeting capabilities, and reporting that doesn't yet meet advertiser expectations.
How ads actually show up is still being figured out. In one example cited, a sponsored retailer appeared more prominently in recommendations even when multiple options were listed — though OpenAI maintains that ads don't directly alter core answers. That tension between consumer trust (unbiased answers) and advertiser goals (visibility and influence) will likely shape how AI ads evolve across the industry.
OpenAI itself appears to be juggling priorities. Its Instant Checkout commerce feature was quietly pulled back. Video ambitions have lost ground to competitors. Some industry observers say the company cast too wide a net before refocusing.
The practical takeaway: large brands may benefit from early testing at modest budgets, while others should focus on understanding how AI fits into their broader media and search strategy before committing spend.
Key Takeaways
- ChatGPT ads launched two months ago but lack measurement tools, clear targeting, and performance benchmarks.
- CPMs are high with initial minimum spends in six figures — early campaigns are mostly impression-based.
- Ads may influence user journeys indirectly, but OpenAI says they don't alter core answers.
- Large brands can test cautiously; others should develop AI strategy while the platform matures.
The ONmetrics Take
PPC automation isn't optional — but neither is patience with unproven channels.
1. Test with a tight budget — Allocate 5% of experimental spend, max. No six-figure commitments on an unproven platform. 2. Track incrementality — If you can't measure it, it doesn't exist. Build UTM frameworks now so you're ready when reporting catches up. 3. Watch the signal, not the hype — Every new ad channel promises "first-mover advantage." Most early adopters pay tuition.
For London, Ontario businesses: ChatGPT ads are not your next Google Ads. The audience is real, the product isn't. If you're running local campaigns, your money is still better spent on Google, Meta, and platforms with proven ROI and actual measurement. When ChatGPT ads mature — and they will — we'll be ready. But "early" doesn't mean "better." It usually means "expensive."