Google Outperforms ChatGPT In US Ad Revenue
Google search ads generate more revenue than ChatGPT ads in the US, according to a working paper. This matters because it shows the effectiveness of different ad channels.
Original reporting · searchenginejournal.com
Original: “Google Search Ad Visits Out-Earned ChatGPT Ads In U.S. via @sejournal, @MattGSouthern”
Read “Google Search Ad Visits Out-Earned ChatGPT Ads In U.S. via @sejournal, @MattGSouthern” at Search Engine Journal →
How this was written. Content Catalyst wrote this article with a language model from Search Engine Journal’s reporting (model: @cf/meta/llama-3.3-70b-instruct-fp8-fast); it describes that reporting rather than adding to it. The original, linked above, is the full story.
Key points from Search Engine Journal’s report
- Google search ads generate more revenue than ChatGPT ads in the US.
- ChatGPT ad visits convert at a lower rate than paid search ads.
- The introduction of ChatGPT ads did not lead to a significant increase in organic referrals.
A working paper by Maximilian Kaiser and Christian Schulze compared the revenue generated by Google search ads and ChatGPT ads in the US. The paper found that a visit from a ChatGPT ad brought in $0.89 in revenue, while a visit from a paid Google search ad brought in $2.45.
ChatGPT ad visits converted at 0.37 percent in US traffic, compared to 1.17 percent for paid search ads. The authors of the paper valued a ChatGPT ad click at about $0.26, based on the revenue generated by paid search ads.
The paper analyzed data from 102 advertiser sites with full sales tracking, and found that 84 of the 87 advertisers who purchased both ChatGPT ads and paid search ads had lower earnings per ChatGPT ad visit. One advertiser was responsible for 66 percent of all purchases made via paid ChatGPT ads.
The study also found that the introduction of ChatGPT ads did not lead to a significant increase in organic referrals. In fact, the authors found a moderate decrease of approximately 6-8 percent in organic referrals after the introduction of ads.
The authors of the paper suggest that the value of a ChatGPT ad click could be low because the ads appear as sponsored cards, separate from the answer. They also note that if OpenAI were to move the ads in with the answer, the value of an ad click could increase, but so could the number of people who distrust ChatGPT's answers.
OpenAI has expanded ChatGPT Ads to 89 countries, and says more than 100,000 advertisers have run campaigns. The company is continuing to explore new ways for businesses to interact with consumers in more native ways in ChatGPT.
Search Engine Journal reported on the working paper, which is under review and was dated October 2026. The paper provides insights into the effectiveness of different ad channels, and could be useful for advertisers looking to optimize their campaigns.
Questions and answers
How much revenue does a ChatGPT ad visit generate?
A ChatGPT ad visit generates $0.89 in revenue, compared to $2.45 for a paid Google search ad.
What is the conversion rate of ChatGPT ad visits?
ChatGPT ad visits convert at 0.37 percent, compared to 1.17 percent for paid search ads.
How many advertisers have run ChatGPT ad campaigns?
More than 100,000 advertisers have run ChatGPT ad campaigns, according to OpenAI.
