{"id":609352,"date":"2023-02-18T07:49:27","date_gmt":"2023-02-18T13:49:27","guid":{"rendered":"https:\/\/news.sellorbuyhomefast.com\/index.php\/2023\/02\/18\/microsofts-ad-ambitions-for-chatgpt-powered-bing-bring-new-opportunities-and-questions\/"},"modified":"2023-02-18T07:49:27","modified_gmt":"2023-02-18T13:49:27","slug":"microsofts-ad-ambitions-for-chatgpt-powered-bing-bring-new-opportunities-and-questions","status":"publish","type":"post","link":"https:\/\/newsycanuse.com\/index.php\/2023\/02\/18\/microsofts-ad-ambitions-for-chatgpt-powered-bing-bring-new-opportunities-and-questions\/","title":{"rendered":"Microsoft\u2019s ad ambitions for ChatGPT-powered Bing bring new opportunities \u2014 and questions"},"content":{"rendered":"
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February 16, 2023\u00a0\u00a0\u2022\u00a0\u00a04 min read<\/span> | By Marty Swant<\/a><\/p>\n<\/p><\/div>\n

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\n\t\t\t\t\tIvy Liu\t\t\t\t<\/p>\n<\/p><\/div>\n

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What\u2019s 1% of market share worth? In the world of search, that\u2019s a multi-billion dollar question.<\/p>\n

It\u2019s now been a week since Microsoft revealed its new ChatGPT-powered Bing search engine and accompanying Edge browser. The way Microsoft sees it, just gaining another 1% of market share could give the company another $2 billion in ad revenue.<\/p>\n

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Even without any new ChatGPT-specific ad products \u2014 at least not yet \u2014 experts are wondering what the future of advertising on Bing might look like, and whether it\u2019ll be able to win over both users and marketers alike.<\/p>\n

Some companies are already seeing ways they might benefit from Bing\u2019s latest iteration. On last week\u2019s earnings call for the Israel-based digital advertising company Perion Network, CEO Doron Gerstel said ChatGPT will \u201crevolutionize Bing search capabilities\u201d while increasing ad spending and therefore boosting Perion\u2019s own search business if more advertisers bid and subsequently spend on Bing ads.<\/p>\n

In an interview with Digiday, Gerstel pointed out that Perion \u2014 an official Bing search partner \u2014 already transfers 20 million monetized searches a day to relevant ads across Bing. He added that quality search results will be key.<\/p>\n

\u201cThe trend is developing more of a dialogue rather than [showing] results,\u201d Gerstel said. \u201cEven the way you\u2019re asking [ChatGPT] is like you\u2019re talking with a person. It\u2019s making it as user-friendly as possible.\u201d<\/p>\n

Still, much of the future is still hypothetical. In a research note late last week, analysts for the credit rating agency Moody\u2019s said Microsoft\u2019s AI integrations create long-term profit potential, but the opportunities for search ads are yet unproven.<\/p>\n

\u201cAny share shift in the search ad market is difficult to predict at this time,\u201d Moody\u2019s analysts wrote. \u201cTo gain market share, Microsoft will have to convince both consumers as well as advertisers to switch to its digital ad platforms and demonstrate that its technology can deliver search results that have a higher value for both. Consumers\u2019 search habits are hard to change, especially given Google\u2019s long history in the mobile and desktop search markets.\u201d<\/p>\n

Bing has already benefited from ChatGPT. For example, more than 1 million people joined the waitlist to preview the new AI-powered Bing in just 48 hours, according to a tweet from Yusuf Mehdi, Microsoft\u2019s head of consumer marketing.<\/p>\n

So far, web traffic has been fairly up and down. The day after Microsoft\u2019s big announcement on Feb. 7, daily traffic jumped from 39.9 million to 43.7 million before falling back to between 37 million and 39 million over the past few days. However, Similarweb\u2019s weekly search keyword breakdown shows a 700% increase for \u201cbing ai\u201d as people looked for more info about what Microsoft\u2019s news could mean for the future of search.<\/p>\n

The number of people visiting OpenAI\u2019s website might also be a sign of what\u2019s to come: Web traffic has grown to 672 million from just 18.3 million in December, according to Similarweb, which said ChatGPT drives 92% of OpenAI\u2019s web traffic.<\/p>\n

Some search marketers are testing Bing\u2019s new features to see what they mean for existing ad products \u2014 and already see some flaws. For example, Gael Breton, founder of Authority Hacker, spotted ads that appeared above organic links. In a tweet about the findings, Breton said he was impressed with Bing\u2019s ability to handle travel queries via ChatGPT, but also noticed<\/a> all the links to hotels were broken. He also researched campaigns for AdWords, which was \u201cgood\u201d at first but still left him looking for more info on YouTube. The upheaval in search could also benefit others besides Bing. Alessandro Creso, vp of search at BrainLabs, said it could also give startups like ad-free search engine and browser Neeva \u2014 which released its own ChatGPT-like feature a few weeks ago \u2014 a chance to compete, especially since it also has the added benefit of a privacy-first component. That said, although Bing\u2019s status as first to market gives Microsoft a bit of an edge, old search habits are hard to shake, and many Google users still use Chrome rather than Edge.<\/p>\n

\u201cThe opportunity is there,\u201d Creso said. \u201cWhen there is so much of a shift in the industry we have to take into account everyone else\u2026It does give other engines a chance to catch up rather than just being underdogs.\u201d<\/p>\n

There are also questions about how ads will be placed and labeled within search results. Will they be clearly marked as ads and will those ads be appealing to users that might instead just click directly to whatever the chat says?<\/p>\n

Matthew Quint, director of the Center on Global Brand Leadership at Columbia University, said it\u2019s becoming increasingly tricky on various tech platforms to know what\u2019s advertising and what isn\u2019t.\u00a0<\/p>\n

\u201cThat lack of transparency on what\u2019s being bought and what\u2019s organic search is disappearing, which is terrible for a consumer,\u201d Quint said. \u201cWhen you\u2019re highly dependent on advertising, the goal of \u2018bettering society\u2019 becomes something you need to compromise on for your bottom line in ways.\u201d<\/p>\n<\/div>\n

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