- From Inventory to Influence: How AI Advertising Really Works
- How to Start Advertising on Generative AI and LLM Platforms Today
- Step 1
- Step 2
- Step 3
- Step 4
- Step 5
- Step 6
- What Ad Models Exist Today and What Is Emerging
- AI Search
- Answer Engines
- Copilots and Assistants
- Targeting Mechanics
- Brand Safety and Governance for AI-Native Placements
- Measurement
- Framework
- Where AI Advertising Fits in the Media Mix
- Test Now vs Wait: Scenario Planning
- FAQ: AI Advertising on Generative AI Platforms
- Scale Discoverability Across AI Answers With Directive
From Inventory to Influence: How AI Advertising Really Works
From Inventory to Influence: How AI Advertising Really Works
AI advertising is not arriving as a new line item of display inventory. It is emerging as a new decision surface.
As buyers move research, comparison, and shortlisting into AI search, assistants, and copilots, brands now face a simple but uncomfortable reality. You either show up as the answer, show up adjacent to the answer, or do not show up at all. Paid placements are beginning to influence that moment, but they do not behave like traditional ads, and they do not reward guesswork.
The teams that win will not be the ones that rush budget into beta placements. They will be the ones that build an integrated system that combines paid testing with discoverability, credibility, and measurement discipline before the channel matures.
This post outlines what AI advertising looks like today across Google AI Overviews, ChatGPT, Perplexity, and Microsoft Copilot, and how B2B teams can capitalize without betting the quarter on an evolving surface.
How to Start Advertising on Generative AI and LLM Platforms Today
How to Start Advertising on Generative AI and LLM Platforms Today
The goal is not to “do LLM ads.” The goal is to be ready to test intelligently in 30–60 days, with clear guardrails.
Step 1
Step 1: Map Buyer Questions to AI Decision Surfaces
Start with how buyers actually use AI.
Build a list of 25–50 decision questions buyers ask across the journey, including problem exploration, solution comparison, vendor shortlists, implementation risk, pricing models, security, and integrations. These are not keywords. They are evaluation moments.
In practice, these questions tend to surface after a buyer has already framed the problem and is pressure-testing options. That makes them especially influential, because the answer often becomes the default shortlist before a brand ever enters a traditional funnel.
For each question, document where it is being answered today:
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Google, including AI Overviews
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ChatGPT and other answer engines
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Perplexity
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Microsoft Copilot experiences
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YouTube, Reddit, peer review sites, and communities
Prioritize questions with clear commercial intent signals like “best for,” “vs,” “alternatives,” “pricing,” “security,” “migration,” and “integrations.” These are the moments where paid adjacency actually matters.
Step 2
Step 2: Choose the AI Surface You Can Actually Buy or Influence
AI advertising is surface-specific.
Google is testing ads in AI Overviews within AI-forward SERPs, with eligibility and placement rules still evolving. ChatGPT is actively testing ads in the U.S. for logged-in adults on Free and Go tiers, with placements appearing adjacent to responses when contextually relevant. Perplexity has introduced sponsored follow-up questions. Microsoft continues to evolve Copilot ad formats tied to conversational exploration.
Each of these surfaces behaves differently. Google AI Overviews still inherit many traditional search mechanics. ChatGPT and Perplexity function more like answer engines, where trust and narrative matter as much as placement. Copilot experiences often sit closer to workflow and productivity, which changes both intent and acceptable ad formats.
The outcome of this step is clarity. You are not running “AI ads.” You are selecting one surface where ads exist today or are in active testing, where you can measure something defensible, and where your buyers already evaluate solutions.
Step 3
Step 3: Define Non-Negotiables for Brand Safety and Integrity
Before any test, define guardrails.
Clarify what the brand will and will not sponsor, including topics, competitors, regulated claims, and sensitive categories. Decide how strict disclosure needs to be, especially in interfaces designed to feel neutral.
Set rules for answer integrity. In formats where the platform generates the answer, such as Perplexity’s sponsored follow-up questions, determine what review controls are required before scaling.
Speed without governance becomes brand risk. This is especially true in AI interfaces, where ads can appear alongside synthesized answers that update dynamically. Without clear escalation paths and ownership, teams often discover issues after exposure has already occurred.
Step 4
Step 4: Design a Test That Can Survive Imperfect Measurement
Start with one job-to-be-done.
For example, earning shortlist consideration for “X software for Y use case.” Use a time-boxed or matched-market approach where possible, comparing qualified pipeline, demo starts, or assisted conversions against a baseline window.
Instrument the middle. Build landing pages for consideration clicks, not hard closes. AI-driven discovery is often exploratory, and forcing “Request a demo” too early hides signal rather than creating it. Most early AI ad interactions sit between awareness and conversion, which makes middle-funnel instrumentation critical.
Step 5
Step 5: Build Creative That Fits AI Contexts
Creative for AI advertising is decision support, not interruption.
In many cases, the ad is read immediately after the AI has framed the problem. That means relevance and credibility matter more than novelty. If the creative does not clearly help the buyer decide what to do next, it is usually ignored.
Focus on crisp positioning, proof points, and next-step offers that match mid-funnel intent, such as benchmarks, ROI models, or security documentation. Plan for context cards rather than banners. Creative may appear next to an answer, inside a sidebar, or within a conversational flow.
Keep creative modular. Claims, proof, and differentiation blocks should work across paid search, paid social, and future AI units.
Step 6
Step 6: Launch, Learn, and Decide Whether to Scale or Wait
Every pilot needs a stop-loss.
Define success criteria, budget caps, acceptable lead quality floors, and compliance triggers. Document learnings even if performance disappoints. Even when volume is limited, qualitative insights around buyer language, objections, and proof gaps often translate into stronger paid search, better content, and clearer positioning elsewhere.
What Ad Models Exist Today and What Is Emerging
What Ad Models Exist Today and What Is Emerging
This section separates what is real now, what is in active testing, and what should remain scenario planning.
AI Search
AI Search: Ads In and Around AI-Generated Answers
Google is integrating ads into AI Overviews within its search experience. Ads may appear above, below, or within the AI Overview depending on eligibility and context, but not simultaneously in all positions. This changes how impression share and “top of page” are interpreted in AI-forward SERPs.
For B2B teams, the practical implication is that AI Overviews can change where ads are seen without changing how budgets are allocated. That makes expectation-setting with stakeholders critical, especially when traditional benchmarks lose their meaning.
ChatGPT is testing ads directly inside its interface, appearing adjacent to responses when contextually relevant. Paid tiers remain ad-free. Reporting and controls are still evolving, and placement rules are not yet standardized.
Answer Engines
Answer Engines: Sponsored Follow-Up Questions
Perplexity introduced sponsored follow-up questions in the U.S., labeled as sponsored and placed alongside answers. The response itself is generated by Perplexity, not the advertiser.
The creative job here is not writing copy. It is influencing which question your brand is associated with and ensuring your owned content can support the response. This shifts effort away from headline testing and toward building authoritative assets the model can reference.
Copilots and Assistants
Copilots and Assistants: Interactive Formats
Microsoft has been evolving Copilot ad formats designed for conversational exploration, including interactive and showroom-style experiences. These formats push advertisers toward educational messaging and consideration-first landing paths.
They also tend to favor brands with clear product structure and proof assets, since interactive units often surface comparisons, configurations, or feature-level detail.
Emerging Models to Scenario-Plan
Sponsored answers, sponsored citations, and contextual cards tied to detected jobs-to-be-done are frequently discussed. These formats carry high potential and high trust risk. They are worth monitoring, not betting on yet.
Targeting Mechanics
Targeting Mechanics: What Signals Matter
AI advertising does not discard fundamentals. It recombines them.
The biggest change is not which signals exist, but how they are weighted. Context and consistency increasingly outperform isolated intent signals.
Conversation context matters more than single queries. Intent unfolds across turns. Entity-based relevance matters. Brands with clear category associations, proof points, and consistent messaging are easier for models and ad systems to match to intent.
First-party data and CRM audiences will matter more as privacy pressure persists. Keyword match types still matter in AI-forward search experiences, reinforcing that paid search fundamentals remain relevant.
Brand Safety and Governance for AI-Native Placements
Brand Safety and Governance for AI-Native Placements
Disclosure must be unambiguous. Sponsored labeling should be clear, especially in interfaces designed to feel neutral.
Plan for hallucination adjacency. Ads may appear next to AI-generated answers you did not approve. This risk is not theoretical. AI responses can evolve faster than approval cycles, which is why governance needs to be designed before tests launch, not after issues appear.
Define rules for competitive adjacency and alternatives contexts, often where intent is strongest. Set approval workflows that allow speed without sacrificing compliance.
Measurement
Measurement: What to Track When Clicks Are Not the Whole Story
In AI interfaces, influence often matters more than clicks.
Many buyers will never click after seeing an answer. Instead, they remember the brand and return later through a different channel. That is why correlation and leading indicators matter more than attribution purity.
Primary success metrics should center on sales-qualified leads, pipeline created, demo-to-opportunity conversion rate, and cost per qualified opportunity. Assist metrics include branded search lift, direct traffic lift, assisted conversions, and sales cycle velocity changes.
New visibility proxies matter. Track impression share where available, share of voice on priority decision questions, and citation presence for organic content that supports AI answers.
Set expectations early. Reporting will lag behind mature channels. Design tests around learning, not perfection.
Framework
Framework: The AI Ad Opportunity Scorecard
Every new format should be scored quickly and consistently.
Evaluate buyer fit, control, measurability, brand safety, and economics. Test now if buyer fit and brand safety are strong and you can measure at least one pipeline-leading indicator. Wait if control is weak or reporting is too opaque. Scale only after impact on qualified pipeline is proven.
Where AI Advertising Fits in the Media Mix
Where AI Advertising Fits in the Media Mix
AI Overviews represent an evolution of the SERP, not a separate channel. Paid search programs need to adapt, not restart.
Paid social helps create demand for categories AI systems associate with your brand. Content and SEO remain critical for answer credibility. RevOps discipline matters more, not less, as attribution paths fragment. Without shared definitions and clean CRM data, AI testing often gets blamed or credited inaccurately, slowing learning and eroding confidence.
Test Now vs Wait: Scenario Planning
Test Now vs Wait: Scenario Planning
If search absorbs AI answers, ads behave like an extension of auctions. If assistants become the interface, ads resemble guided exploration. If sponsored prompts dominate, native placements shape next steps.
Low-regret bets include running small pilots where ads exist today, upgrading landing pages for consideration clicks, and strengthening entity signals and authority assets.
Wait if you cannot control adjacency or measure any revenue-leading signal. Watch for broader inventory rollout, stable placement rules, and advertiser controls that resemble mature search and social buying.
FAQ: AI Advertising on Generative AI Platforms
FAQ: AI Advertising on Generative AI Platforms
What is LLM advertising?
Paid placement inside or adjacent to experiences powered by large language models, where users receive synthesized answers.
Is this just paid search with a new UI?
Sometimes. In AI-forward SERPs it can resemble search ads. In answer engines and copilots it behaves more like native content.
What is the biggest measurement challenge?
Attribution gets fuzzier as users gain value without clicking. Focus on qualified pipeline and assisted influence.
How long does it take to see results?
Expect a 2–6 week learning window for early pilots.
Do we need to change our media mix immediately?
No. Treat AI advertising as a structured test, not a reallocation event.
Scale Discoverability Across AI Answers With Directive
Scale Discoverability Across AI Answers With Directive
AI ad formats will keep evolving. One lever is already stable. Buyers are making decisions inside AI-generated answers, summaries, and citations.
If your brand is not discoverable there, paid testing becomes harder and more expensive.
Directive helps B2B teams treat AI discovery as a real acquisition channel by aligning SEO, content, paid media, and measurement into one system. When you are ready to move from testing to impact, the next step is building discoverability where decisions actually happen.
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Graysen Christopher
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