ChatGPT ads struggle in India with low conversions, high costs
ChatGPT ads, launched on August 27, 2026, have not quite won over Indian marketers.
With conversion rates below 1.5% and click costs soaring between $200 and $400, many brands find them pricey compared to Google's or Meta's more budget-friendly options.
More than 50 brands, including Tata Neu and Traya, have given these AI-driven ads a shot, but most still prefer platforms with proven targeting and clearer results.
Marketers undecided on ChatGPT ads
Marketers say they are still figuring out if ChatGPT ads are worth it (some are hopeful, especially for sectors like automobiles or real estate where buyers do more research).
But for quick-commerce and e-commerce, the high cost per customer just does not add up right now.
As Ishank Joshi, CEO of MobavenueAI, put it, "One thing we are very clear about is that it is not for all. Yet we see this as a great channel. It has high-intent users. If it matches your category, you can be an early investor."
Still, a few brands have participated in ChatGPT's advertising ecosystem, so the jury is still out on whether these AI ads will catch on.