OpenAI is intensifying its efforts in the South Korean advertising market. OpenAI Korea established a dedicated ChatGPT advertising team earlier this month, allowing Korean companies to directly manage ChatGPT advertising through a self-service platform with no minimum spending requirement.
According to the IT industry on the 9th, OpenAI Korea has formed a new advertising team and plans to enhance support for domestic advertisers and advertising agencies.
The expansion of OpenAI's advertising business aligns with its global strategy from its headquarters in the United States. OpenAI introduced an advertising model to cover the costs of research and development for large language models (LLMs) and data center operations, while continuing to provide free AI services to users. Earlier this year, it began pilot advertising tests for free and low-cost users in regions including the U.S., and in May, it commercialized a self-service advertising platform with no minimum spending requirement. To support this initiative, it expanded its dedicated team by hiring David Dugan, a former Meta executive, as the Vice President of Global Advertising Solutions.
OpenAI Korea, which launched in September 2022, plans to incorporate initial insights gained from the South Korean market into its global advertising strategy and product improvements. The newly established advertising team includes Chris Kim as Regional Client Partner and Kim Yoon-ji as Customer Success Manager. Partner Kim, who has experience at Meta, will oversee the development of domestic advertising sales strategies, market establishment, and advertiser relationship management, while Manager Kim will focus on technical support for campaign execution and advertising operations, ensuring a smooth market entry.
Korean companies interested in running ChatGPT advertisements can now create accounts directly on OpenAI's self-service advertising platform. The ChatGPT advertising program has been in pilot operation since June 19 in South Korea, and OpenAI Korea plans to expand marketing and communication efforts to help companies easily understand how to use the self-service system and execute campaigns.
ChatGPT advertising is a digital advertising channel that exposes brands within the conversational flow as users explore products and make purchasing decisions. Unlike keyword bidding in search engines, it understands the context and intent of conversations between users and AI, presenting ads in card format with a 'Sponsored' label at the bottom of responses. The target audience for these ads is limited to users on free and low-cost plans, and they will not be displayed to Plus subscribers or higher. OpenAI clarified that advertisements are distinct from regular ChatGPT responses and that the acceptance of ads does not influence the content or quality of AI responses.
* This article has been translated by AI.
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