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Should small businesses in the UK care about ChatGPT Ads?

example-of-chatgpt-ad

ChatGPT Ads have officially expanded into the UK, joining a growing list of countries where businesses can advertise within ChatGPT conversations. It's another milestone for OpenAI and another reminder that AI is changing the way people discover information online.


For small businesses, though, it's easy to wonder what this actually means. Is ChatGPT about to become the next Google? Should you be setting aside budget for AI advertising? And if your competitors start appearing in ChatGPT, are you going to be left behind?


The honest answer is: probably not.


At least, not yet.


While ChatGPT Ads are an interesting development, they're still in the early stages. For most small businesses, there are much bigger marketing opportunities to focus on first. That doesn't mean you should ignore what's happening, though. Understanding where search is heading now will help you make better decisions over the next few years.


So, what are ChatGPT Ads?

If you've ever used Google, you'll already be familiar with the basic idea.


When someone asks ChatGPT a question with commercial intent, perhaps looking for accounting software, a CRM or the best running shoes, they may now see clearly labelled sponsored recommendations underneath ChatGPT's response.


Importantly, the adverts don't replace the AI's answer or become part of it. OpenAI has said that sponsored content is kept separate from responses and that advertisers don't have access to individual conversations.


It's a more subtle approach than traditional display advertising. Rather than interrupting what someone is doing, the adverts are designed to complement the conversation.


That's a small difference on paper, but it reflects a much bigger shift in how people are searching for information.


ChatGPT Ads at a glance

Stat

Why it matters

1 billion monthly users

A huge potential advertising audience.

$100 million annualised ad revenue

Strong early demand from advertisers.

820+ advertisers

Adoption is accelerating beyond tech companies into retail, finance and travel.

Ads only appear on Free and Go plans

Premium subscribers continue to enjoy an ad-free experience.

Self-serve Ads Manager launching

Makes ChatGPT advertising accessible to businesses of all sizes.


Why is OpenAI introducing advertising now?


how-a-chatgpt-ad-works

The simple answer is growth.


ChatGPT has gone from an experimental AI tool to one of the world's most-used consumer platforms in just a few years. OpenAI says the platform now attracts around one billion monthly users, and supporting that level of usage requires enormous computing power and infrastructure.


Advertising gives OpenAI another way to fund the free version of ChatGPT while continuing to offer paid subscriptions for users who want an ad-free experience.

It's a model we've seen before. Spotify, YouTube and countless other platforms balance free, ad-supported access with premium subscriptions. ChatGPT is following a similar path.


The early results suggest it's working. According to Reuters, OpenAI's US advertising pilot reached an estimated $100 million in annualised revenue, helping to drive the company's international rollout.


For OpenAI, that's an important business milestone.


For small businesses, it's another sign that AI isn't just a productivity tool anymore – it's becoming part of the digital marketing landscape.


Does this mean you should start advertising on ChatGPT?

For most small businesses, we'd say no.


Not because ChatGPT Ads aren't interesting, but because your marketing budget will almost certainly go further elsewhere.


If you're running a local business, an ecommerce brand or a growing consultancy, you'll usually see better returns from investing in the fundamentals first. That means a website that converts visitors into customers, content that answers the questions your audience is already asking, strong local SEO, an active Google Business Profile and consistent email marketing.


billboard-for-chatgpt

Those channels are tried and tested. They're measurable, relatively mature and, most importantly, they're where your customers are already spending their time.

ChatGPT Ads, by comparison, are still evolving. Targeting options are developing, reporting is improving and advertisers are only just beginning to understand what works.


If you've got a large paid media budget and enjoy testing new platforms, it may well be worth experimenting. If you're a small business watching every pound you spend, we'd hold fire for now.

The bigger story isn't the adverts – it's how people are searching

This is the part we find most interesting.


For years, people have searched using keywords.


  • "Best accountant Bristol."

  • "SEO agency for small business."

  • "Email marketing software."


Increasingly, they're asking complete questions instead.


  • "Can you recommend an accountant for a growing construction company in Bristol?"

  • "What's the best way to improve my website's SEO without spending thousands?"


That change might seem subtle, but it's significant.


People are becoming more conversational in the way they search, and AI is encouraging that behaviour. Rather than scrolling through ten blue links, they're asking one detailed question and expecting one useful answer.


Whether that answer comes from Google, ChatGPT or another AI assistant, the businesses that stand out are likely to be the ones with clear, trustworthy and genuinely helpful content.


In other words, good content is becoming even more valuable.


What should small businesses focus on instead?

Whenever a new marketing platform launches, it's tempting to think you need to jump on it immediately. In reality, the businesses that grow consistently tend to have something much less glamorous in common: they get the basics right.


If we were advising a small business today, here's where we'd be investing our time.


  1. Create genuinely helpful content

Think about the questions your customers ask every week. Could you answer them in a blog post? A guide? A video?


The more useful your content is, the more opportunities you create for people – and increasingly AI, to discover your business.


  1. Build trust before chasing new channels

People buy from businesses they trust.


Customer reviews, case studies, testimonials and expert content all help demonstrate that you know what you're talking about. They're also the sort of signals that search engines and AI tools use to understand whether a business is credible.


  1. Keep an eye on AI without chasing every trend

Marketing has always had a habit of getting excited about the next big thing.

Some platforms genuinely change the way we work. Others disappear almost as quickly as they arrive.


ChatGPT feels far more significant than many of the trends that have come before it, but that doesn't mean you need to become an early adopter overnight.

Sometimes the smartest strategy is simply paying attention.



So, what happens next?

It's hard to imagine AI becoming less important over the next few years.


We'll almost certainly see better advertising tools, more businesses joining the platform and more people using ChatGPT as part of their everyday decision-making.


That doesn't mean Google disappears, and it doesn't mean traditional SEO becomes irrelevant.


If anything, it reinforces the importance of creating content that's genuinely useful, easy to understand and built around real customer questions rather than search engine algorithms.


The businesses that do that well today are likely to be in the strongest position, whatever search looks like tomorrow.


BlackCat's Take

Whenever a new marketing platform launches, there's pressure to be first.


In reality, we've found that the businesses who see the best long-term results aren't the ones chasing every trend. They're the ones building solid foundations.


Could ChatGPT Ads become an important marketing channel? Absolutely.


Should most small businesses drop everything and start advertising there tomorrow? We don't think so.


For now, we'd focus on becoming the kind of business AI wants to recommend in the first place. Because whether your customers find you through Google, ChatGPT or whatever comes next, that's likely to be the advantage that lasts.


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