ChatGPT ads, powered by OpenAI’s generative AI, function by dynamically creating ad copy and targeting based on user prompts and conversational data within platforms like Microsoft Advertising. As of early 2026, this means ads can be personalised in real-time, responding to individual search intent with highly relevant messaging.
- Automated Ad Creation: ChatGPT generates multiple ad variations based on a single brief, optimising for click-through rates.
- Dynamic Keyword Insertion: Ads automatically incorporate relevant keywords from user queries, improving Quality Score.
- Conversational Targeting: Ads can target users based on their expressed needs and interests within conversational search.
- A/B Testing at Scale: The system continuously tests ad copy variations, identifying top performers.
In 2026, Australian businesses need to be aware of evolving privacy regulations surrounding AI-driven advertising. Current systems include robust data anonymisation protocols to comply with the Privacy Act 1988 and the Australian Consumer Law. Microsoft Advertising now features enhanced transparency controls, allowing businesses to understand how user data informs ad targeting. Furthermore, ensuring your prompts and brand voice align with Australian cultural sensitivities is crucial for effective campaigns. The platform also supports integration with existing CRM and marketing automation tools commonly used by Australian SMEs.
Rather than navigating these complex technical requirements yourself, you can simply reach out to our team. At ROI.com.au, we can take care of all this for you—visit our contact page to get started.
