The news: ChatGPT is testing a new ad format below search results that opens direct conversations with brand-sponsored AI agents to answer product and policy questions, per Digiday.

The big question: Could sponsored agents finally give advertisers the insights around user intent that ChatGPT ads have been missing?

Advertisers have been frustrated with their lack of visibility into what ChatGPT users are asking when their ads are served. Roughly 1 in 7 ChatGPT ad placements (14.35%) are off-topic and irrelevant to users’ prompts, per SE Ranking.

One-on-one communication with a consumer inside ChatGPT could reveal more about their intent and what they’re looking for from brands. While OpenAI has not explicitly stated what insights advertisers will obtain through sponsored agents, the company’s ad policy does leave room for a direct exchange of information between a user and an advertiser.

The bigger implication: Sponsored agents are a glimpse into the much-anticipated future of AI-native advertising.

These agents are a step change from early forms of advertising in AI experiences, which have mostly been traditional formats, such as display ads, embedded inside AI search results. Sponsored agents are native to the AI experience because they hinge on the personalized nature of generative conversations. Many brands already recognize the utility in meeting consumers with custom agents, which can assist them at virtually any stage of their purchasing journey. Sponsored agents now extend this experience to a much larger pool of people—those who see ads in ChatGPT.

Brands are getting another opportunity to experiment with this AI-native format across the digital ecosystem. Google offers its own sponsored agent product through Business Agent for Leads, which appears inside Search ads.

Recommendations for brands: View sponsored agents in ChatGPT as an opportunity to experiment with a new form of personalized advertising, not as an immediate driver of sales.

• Consider deploying a sponsored agent to gauge consumer interest in branded chats.
• Don't use a sponsored agent to hastily push consumers closer to purchase. Instead, focus the deployment on meeting the consumer where they are and providing helpful information according to their needs.
• Clarify with OpenAI about the kinds of insights advertisers will and will not receive through sponsored agents. Information pertaining to user intent is critical for understanding how best to show ads in ChatGPT, and brands need to be clear on whether sponsored agents will finally deliver those details.

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