OpenAI has rolled out ChatGPT ads in India, with more than 50 brands set to go live and self-serve advertising opening September 4
The move gives OpenAI a new revenue stream while offering advertisers access to users as they research products and make purchase decisions
Ads will initially appear for logged-in adults on Free and Go plans, with daily budgets starting at ₹725. Plus, Pro, Business, Enterprise and Education plans will remain ad-free, while OpenAI says ads will not influence ChatGPT responses or give advertisers access to user conversations
In a fresh monetisation push, AI giant OpenAI has started rolling out ads on ChatGPT in India, with the initial rollout covering logged-in adults on the Free and Go plans. Plus, Pro, Business, Enterprise and Education subscribers will continue to have an ad-free experience.
Ad agencies WPP and Omnicom are OpenAI’s first agency partners in India, with more than 50 brands expected to go live with campaigns on the platform within a week. From September 4, businesses will also be able to access ChatGPT’s self-serve ads manager, with daily budgets starting at ₹725.
The rollout comes about six months after OpenAI began testing ads in the US. The move provides AI giant another monetisation channel alongside subscriptions and enterprise partnerships, while allowing it to support free and lower-cost access to ChatGPT.
The ad rollouts on timing could be particularly significant as India heads into the festive shopping season. According to a Redseer report, AI-native advertising formats can deliver 4X the conversion rate of conventional search, as conversational platforms combine purchase intent with personalised recommendations.
Redseer expects conversational AI assistants to account for around 8% of digital advertising by 2030, largely taking share from search and static display formats.
However, the AI giant will have to balance the commercial opportunity with user trust. The company said ads will appear below ChatGPT responses when a relevant sponsored product or service is available and will be clearly labelled and visually separated from the AI-generated answer.
Advertisers will not have access to users’ conversations, chat history, memories or personal details. They will instead receive aggregate campaign data such as impressions and clicks. Ads will also not be shown to users under 18 or alongside sensitive topics such as mental health and politics.
The company is also opening the format to smaller businesses through its self-serve Ads Manager, potentially lowering the barrier for Indian brands to experiment with AI-led advertising.
For OpenAI, the challenge will be to build a meaningful advertising business without undermining the experience that has driven ChatGPT’s adoption.
Source: Inc42
