OpenAI's ChatGPT advertising pilot is facing an awkward start—initial advertisers report that the process has low technical content and they have not received much data to prove the effectiveness of the ads.
According to The Information, executives from two agencies serving early ChatGPT advertisers stated that they could not demonstrate that the ads brought any measurable business results for their clients. As OpenAI plans to open more advertising sales next month, this early feedback adds uncertainty to the prospects of its advertising business.
For OpenAI and its investors, the advertising business is crucial. As of the end of February this year, ChatGPT had approximately 920 million weekly active users, but only about 5% were paying users as of last July. OpenAI predicted in January that consumer revenue (including advertising and subscriptions) would reach $17 billion this year. Monetizing the large free user base is key, and advertising is a critical component.
<h2>&#34;Phone + Form + Email&#34;: A very non-AI advertising transaction</h2>
The ChatGPT advertising pilot launched in early February this year, targeting users of the free and lowest paid versions in the U.S., and included only a small number of advertisers. The pricing is set at $60 per thousand impressions (CPM $60), on par with top advertising slots like NFL live broadcasts; advertisers must commit to a minimum spending budget of $200,000 in advance.
However, the purchasing process surprised the industry. An advertising executive revealed that OpenAI has not provided any automated advertising purchasing tools to date, and buyers can only communicate with OpenAI representatives via phone calls, emails, and Excel spreadsheets—this starkly contrasts with its identity as an AI company.
More troubling is the severely insufficient ad display frequency, with budget consumption far below expectations. An agency executive stated that despite the pilot period being more than halfway through, clients have only spent 15% to 20% of their committed budgets.
<h2>Data Black Box: Only clicks, no conversions</h2>
The core issue with verifying ad effectiveness lies in the lack of data. OpenAI currently only provides advertisers with basic metrics such as impressions and clicks, while mature platforms like Meta and Google can offer much richer performance data, including audience profiles and conversion tracking.
To address this shortcoming, OpenAI recently partnered with advertising technology company Criteo, which focuses on retail advertising and can provide an advertising purchasing interface and some targeting technology. According to insiders, Criteo is promoting collaboration plans to advertisers with a minimum commitment of $50,000 to $100,000.
However, the actual value of this partnership is questionable. One agency executive stated that OpenAI would only share limited advertising targeting data with Criteo; another person who has communicated with OpenAI mentioned that the information shared with advertising technology companies is limited to very basic data.
A spokesperson for OpenAI stated that the aggregated data currently provided to advertisers and partners includes clicks, impressions, and spending, and it is expected to evolve gradually as the advertising scale expands.
Although advertising technology companies can also help by running programmatic ad bidding (allowing advertisers to compete in real-time to display ads to users), this currently seems unlikely. OpenAI's spokesperson stated that the company has not had any discussions with external companies regarding the operation of its programmatic ad bidding
<h2>Expansion Imminent, But Small and Medium Brands Are Still Being &#34;Discouraged&#34;</h2>
OpenAI is accelerating its efforts. According to two informed sources, OpenAI has recently notified agencies that it will expand the reach of advertisements to users, planning to show ads to all users of the free and low-cost versions of ChatGPT in the United States within the next few weeks—this will be a significant expansion compared to the pilot phase.
On the technical side, OpenAI plans to launch its own advertising management software (Ad Manager) and is currently testing self-service tools with some partners, but has not yet announced a timeline for a broader rollout. The company is also in discussions with several external advertising technology companies, including The Trade Desk, to access a wider range of advertiser resources.
However, an agency executive admitted that based on current experience, they would not recommend ChatGPT advertising to small and medium clients who cannot afford experimental budgets. Currently, marketers entering the space are only allocating a small portion of their &#34;unverified advertising&#34; special budget for testing, without diverting funds from established channels like Meta and Google.
An OpenAI spokesperson stated:
<blockquote>
&#34;ChatGPT is a trusted personalized environment for many, so we intend to proceed slowly—starting with a limited number of advertisers and formats, iterating as we learn.&#34;
</blockquote>

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Executives from two agencies serving early ChatGPT advertisers stated that they cannot prove the ads have brought any measurable business results for their clients. The core issue with verifying ad effectiveness lies in the lack of data. Currently, OpenAI only provides advertisers with basic metrics such as impressions and clicks, while established platforms like Meta and Google can offer much richer performance data, including audience demographics and conversion tracking

- The pilot program for OpenAI's ChatGPT advertising has faced challenges, with initial advertisers citing low technical quality and lack of data on ad effectiveness.  
- Despite a significant user base of around 920 million weekly active users, converting free users into paying clients remains critical, with current advertising processes lacking automation and transparency.  
- OpenAI plans to expand advertising reach to all free and low-tier users in the U.S., but concerns persist among advertisers regarding the difficulty of verifying ad impact and the feasibility of sustained investment.

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ChatGPT's first "advertising sponsor": the process was "very non-AI", and no data was provided