Conversational AI Advertising
Amazon and OpenAI partner to launch conversational advertising formats inside ChatGPT.
Anonymous
Key Points
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The new ChatGPT ad format would use a call-to-action such as “Chat to us” to move users into a branded conversation inside ChatGPT, where they can interact with the advertiser’s AI agent instead of being sent to an external website.
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OpenAI CFO Sarah Friar described the ads currently appearing beneath ChatGPT responses as only the “basic starting point,” saying the company was seeing early indications of more AI-native advertising before having fully launched such a format.
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In Amazon’s pilot, advertisers purchase ChatGPT placements through Amazon DSP, while Amazon manages campaign setup and execution and OpenAI’s advertising system retains control over which ads appear and where; the ads are displayed as clearly labeled sponsored text or images beneath responses.
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The Amazon-OpenAI arrangement gives advertisers access to ChatGPT without requiring them to negotiate directly with OpenAI, allowing brands to extend existing Amazon campaigns into the chatbot through Amazon’s programmatic buying infrastructure.
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Beyond paid placements, AI-focused marketing is increasingly aimed at making brands appear in answers from ChatGPT, Perplexity, Claude and Google AI Overviews, combining search-engine optimization with answer-engine optimization and automated lead capture, follow-up and nurturing.
Amazon and OpenAI are deepening their partnership to bring AI-powered advertising directly into ChatGPT conversations. The move marks a significant shift in digital marketing, allowing brands to engage users through AI agents rather than traditional website links. Pymnts reported that select U.S. advertisers, including Delta Vacations, can now purchase ChatGPT placements through Amazon's advertising platform, combining Amazon's buying infrastructure with OpenAI's ad placement system.
OpenAI CFO Sarah Friar described current ChatGPT ads as just the "basic starting point" for AI-native advertising. Companies like Wayfair are testing a new format where users tap "Chat to us" and speak directly with branded AI agents inside ChatGPT, rather than clicking away to external websites. OpenAI noted that the system selects ads based on expected relevance and user outcomes.
How the Amazon-OpenAI Ad System Works
Amazon and OpenAI designed the partnership to reduce friction for advertisers. Rather than negotiate separately with OpenAI, brands now purchase ChatGPT placements through Amazon DSP, Amazon's programmatic buying platform. Amazon handles campaign setup and execution, while OpenAI retains control over which ads appear and where. Ads appear as clearly labeled sponsored text or images beneath ChatGPT responses.
This arrangement lets advertisers extend existing Amazon campaigns into ChatGPT without new negotiations. The system leverages Amazon's $70 billion ad business and infrastructure to reach ChatGPT's millions of users. Delta Vacations is among the early adopters testing the pilot with select U.S. advertisers.
Conversational Ads Replace Traditional Website Links
OpenAI is testing a fundamentally different ad format in ChatGPT. Instead of sending users to a website, new ads use calls-to-action like "Chat to us" that launch conversations with branded AI agents inside the app. Users interact with the advertiser's AI directly, asking questions and getting help without leaving ChatGPT. Wayfair is among companies piloting this conversational approach.
Sarah Friar told investors that ChatGPT ads "only just commenced" and represent the foundation for more advanced AI-native advertising formats. The early tests show OpenAI sees advertising moving away from links and banners toward interactive, AI-driven experiences embedded in conversations.
Answer Engine Optimization Becomes the New Frontier
Beyond paid ads, brands are competing to appear in AI-generated answers across ChatGPT, Perplexity, Claude, and Google AI Overviews. This blends traditional search-engine optimization with "answer-engine optimization." Tech Bullion noted that AI search provides summaries and answers without requiring users to click through traditional search results, changing how companies reach customers.
Marketing teams now combine paid placements, content optimization for AI systems, and automated lead capture to engage users where they ask questions. This represents a fundamental shift from website traffic to direct conversational engagement across multiple AI platforms simultaneously.
The Road Ahead Remains Uncertain
While the Amazon-OpenAI partnership and new ad formats show promise, their long-term effectiveness is unproven. Consumer response to ads inside ChatGPT conversations is still being measured. Control and transparency issues remain—questions linger about how users will respond to branded AI agents and whether advertisers can trust OpenAI's placement system.
Search Engine Land highlighted that ChatGPT faces tougher competition from Google's distribution advantages and other AI platforms. Advertisers must weigh whether ChatGPT placements deserve budget allocation in 2027 and beyond as the AI advertising landscape continues to evolve rapidly.
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