Transcription
Chat GPT ads are here, and it is open to anyone now. Before, it was beta only, and I think there was like a $50,000 per month minimum. No longer the case. Anyone can sign up. It takes about a week or two to get approved. I think it took me a week for Grow My Ads. I'm using it for our own selves as like a beta test.
In this video, I'm going to dive into what the ads manager looks like, how to build a campaign the correct way, my initial performance after spending a thousand dollars, and then my reaction to it all, and what I predict to come from Chat GPT ads. So, let's dive in.
All right, I'm inside of the ads manager, and it's very basic. So, it is in beta. >> [gasps] >> And that is the theme of ads manager for OpenAI ads is basically it's it's basic. And I'll be honest, I don't even know really what's going on. I don't think anyone does. So, anyone telling you how to optimize Chat GPT ads yet, I think that's just people trying to be first adopters, you know, in Chat GPT ads as specialists, but there really isn't much here. And also, I don't think anyone really knows quite what's going on either yet. And I'll show you.
So, I'm going to start with building a campaign for you and just show you how that's done. Then, I'm going to show you what ads look like. I'm going to give you the performance I've seen, and then some of my thoughts and predictions and all of that.
So, inside of the ads manager, you're just going to come to create a campaign. It's super basic. So, you just name it whatever you want. You have clicks, you have reach, okay? I've only done clicks cuz I only want clicks right now. So, I've only done the objective of clicks. You see conversions here. It says coming soon. I don't know when that's going to happen. You can set up conversion tracking, I'll show you, but so far I've only done clicks. Then, you can target either the US, Canada, Australia, or New Zealand. So, I did US in this case.
Then, there's campaign budget. So, this would be like total budget of a campaign you would want to spend if it's just let's say like one campaign sort of blitz or daily budget. I screwed up. I have no idea how I did that. The first campaign I built, I did it under campaign budget. I did not want to do that. So then I had to build a whole new campaign under daily budget. So this one I'll have set to daily budget.
Conversion event. So, we did create a conversion for anyone who fills a form out. So that is set up. I will show you that right after this cuz I'm going to go into ad groups real quick. So I have account reviewed booked and then start day just is today and then no end date, right?
Goes into ad group, okay? So ad group name I'm just going to do test. Then maximum CPC bid. This is where it gets really interesting. ChatGPT says or recommends three to five dollars. So watch. If I do three, strong delivery. If I do $2.99, may not deliver. Okay. So this to me feels like they literally have just set a floor price of $3. Like a click on their network is worth $3 no matter what. At least that's what that feels like. So I'm not really buying into this whole strong delivery feature over here. I think it's basically like, "Hey, put at least three bucks. Otherwise you're not going to get anything cuz that's the floor price."
For me, I went after Google Ads agency terms essentially. I'll talk about what how you target within their campaigns here in a second, but you know, on Google if I were to go after Google Ads agency terms on Google Ads, it's going to cost me one to $200 plus per click. So it's very, very expensive. They don't even know what we're trying to target down here yet and immediately it's just saying, "Yeah, three's a strong delivery." So, I started I believe at three to five dollars per click. And then I actually didn't get much traction in the beginning. So, what I did is just ramped it up to a $25 bid, basically just trying to signal to it I'll pay whatever. I just want this thing to start spending. And then it started spending and now I know what my average is for what I'm trying to target. And for me it's around $13. I'll show you that in the performance data that they do give you. But, if you start a campaign it doesn't start for you, just ramp up the bid and then just see what averages show. It won't spend again. I gave it a 25, it's not spending 25. I'm just basically paying whatever the sort of max is to start getting clicks.
Then you've got your website URL. I don't know why they do it at the ad group level cuz you do it at the ad level then too. And then this one's the biggest piece, context hints. So, with Google Ads, you know, you go after keywords. Here it's describing conversations, topics, or keywords where your products or services may be relevant. So, these are hints to their algorithm, machine learning, whatever in regards to show ads during these types of conversations.
Now, what I did is just use Claude to help me with this cuz I don't think anyone knows really the best way of using this yet. Um so, I just had Claude look into helping it find people who are looking to hire Google Ads agency. So, I'm actually going to hop out of this. I'll go into my real campaign. And then I'm going to go to this ad group here and this is what I did. Here's my context hints. It's like business owners, marketing leaders actively looking to hire Google Ads agency, yada yada. And then it goes like pretty pretty robust. But yeah, I just had Claude do that. And you'll see here's my $25 CPC bid on this.
Now, you can create an ad, right? So, here's the ad creation. It's very simple, just like everything else. You get a title of 50 characters, you get a description of 100 characters, you get a link. I absolutely recommend doing UTM parameter tracking, so add that to your link. I didn't in the beginning. And then the GA4 data of visitors from ChatGPT did not match what I was seeing inside of the account. I then added UTM parameters that like broke the ad for some reason, and then I I had a I built a new ad without it, and now it's it's working again. But, you can use it. I just I'm I've been having some bugs with it in my interface. I don't know why. So, if you start a new campaign, just in your ad make sure you have some UTM parameter tracking set up, that way you know the clicks you're getting from your ads on ChatGPT.
Then, you get an image you can include. So, here's mine, free audit, and this is what the ad looks like. Let me show you then real quick what an ad looks like actually inside ChatGPT. Okay, so I'm in ChatGPT under a free account. So, I just typed in best AEO agency, got these normal results, I suppose, and then here's the ad down here. So, you can see very, very basic, and then it's all the way at the bottom right now. I'm assuming they will test placements of these throughout time, but I think right now for the most part, from all the ads I've seen, they're at the very bottom of the result that they get from whatever your question or query is to ChatGPT.
Okay, conversion tracking real quick, you can set it up. You can't bid on conversions yet, but you can set up conversion tracking. So, what you do is you go tools, conversions, and then I've got my data source, which is my website, and then here it's going to give you the code. One thing you must do is you do not want to You see how like it says install the script in the head of your website, preferably near the top. Basically saying, add this to your website, your whole website. But the problem is they don't tell you, well, you don't want this script here, which is my registration completed, which is what I'm going after, right? So, if someone fills a form out, and that's what I'm targeting is a form fill for someone looking for a free Google Ads audit from my team, well, I don't want this firing on all pages. This is just fire on the thank you page after they fill the form out. So, this piece here, don't just go copy this whole thing and put it on your whole website, because that would defeat the purpose of trying to track a unique page visit that only someone who filled a form out does. So, I had my tracking specialist set this up correctly, but they have done a poor job, I think, of actually giving people instructions on how to set up the conversion tracking piece. So, do a little more Google searching if you need to if you're setting up the conversion tracking piece, but just know, don't just copy that and put it on all web pages. You will have issues then of it firing, basically, on all web pages.
Okay, so, I've spent, if we look, about 1,200 almost, and I've had 92 clicks. I've had zero conversions from that so far, and my average CPC has been about $13. My average CPM has been about 120, so I'm probably paying on the higher end just due to who I'm trying to target. And click-through rate has been about 1% for both campaigns. So, remember, I had to build a new campaign cuz this one was set up with a campaign budget, not a daily budget, and I wanted a daily budget. So, very interesting to see that it's pretty much dialed in to get you a 1% click-through rate right now, and my average CPCs are probably decently high to the averages that ChatGPT has. Now, again, 92 clicks, no conversions from that. I also get zero insights. No one does. So, here's what you get. If you hit view insights tab, you get to see your impressions. You get to see clicks. You get to see average CPC by day. That's it. And average CPM. That's it. I don't know how to optimize this. I don't know what to do with any of this. Again, GA4 my GA4 data right now doesn't really match the 92 clicks here because I didn't have UTM tracking set up correctly on my ad. And I would assume then some of those clicks don't get attributed to ChatGPT. Probably some of them end up as direct traffic. So, it gets it gets muddy. But, there's really no reporting or clarity. And this is the biggest issue that I have right now.
Sam Altman literally made a quote a year or two ago where he said ads would be the last resort as a business model for ChatGPT. And here we are. They're pushing ads. They're pushing it quickly, especially as if they're trying to go public. It feels a bit rushed. I know it is beta, but this tool I'm a little skeptical of what sort of quality am I actually getting in regards to these clicks. And I don't I'm you're just fully trusting ChatGPT basically that they are actually putting your ad in front of the the right people.
Now, here's the issue. The right people. Think of the user base of ChatGPT. Most people signed up under a paid subscription. Ads will only fire to those under a free subscription. So, when I did that example, that was a free account that I used. The audience, especially if you're going after a B2B audience like I am for Google Ads agency terms or conversations, that B2B audience more than likely has a paid subscription to ChatGPT. So, I don't know what the quality of the audiences really are going to be like for B2B. It might be different for, you know, a consumer-based e-com business or something like that. I don't have any data on that quite yet. But, I am skeptical because I would say I would assume most of the high-quality audiences I would want to be in front of, they probably have a paid account, so they won't even see ads. So, I'm only eligible to show to the free users. What are those free users like? What's the quality of that audience? There's no data on that yet.
Okay, so my overall opinion right now on chat GPT ads is test it if you've got some money that you're willing to burn. Like, hey, no expectations. I just want to test it and maybe I get lucky and because I'm a first adopter to it versus some of my competition. Obviously, I haven't gotten lucky yet. I've only spent a thousand. I only have 92 clicks. So, I'll keep this going. We'll see what happens with it. But, this is not something I'm pushing on my clients just yet. I think this needs to evolve a bit. I think they will evolve it because this probably will be a huge piece to the overall revenue they start generating as a company. But, for now, it feels a bit early. There's not a lot to work with, which I don't like. So, I don't even know how to optimize any of this. And I do believe they'll get they'll give advertisers more clarity, more reporting. Probably, they're not going to give you the conversations of people that will never happen. But, maybe it's even themes. Like, you know, when Performance Max first came out, they gave you search themes. That would even be helpful. Like, what types of conversational themes am I showing? But, you get nothing. So, I'm not pushing this on clients yet unless they just have money they want to throw at it to test with zero expectations. I would hold off if you're like, yeah, I could I could spend more at Meta or Google right now, I would probably just do that. Uh unless again, you have a test budget out there to just give it a shot.
I am sure there are people who have had success with chat GPT ads already. If you have, please put a comment below. I would love to hear some of the success people have had. I have not talked to too many people who have tested this yet or have had success with it. Again, I've got my little example here, but I'm sure people are getting like real sales, real conversions from this. I just have not seen that personally myself. So I will update as we continue to test and probably have some client accounts testing, but for now, this is where I'm at with chat GPT ads. I recommend probably holding off from most of you unless you've got money you're just willing to test and I believe they will evolve this with a little more clarity, a little more reporting to allow some optimizations to even take place, but for now, it's super basic and you're kind of just hoping you're not shoveling money into Sam Altman's pockets and that they're actually doing the correct job of showing your ad to the right people at the right time. We'll find out.