🤑Perplexity Advertising

Plus new from OpenAI and Claude

Jo Lambadjieva
April 09, 2024

Hey there!

Happy Tuesday! Claude and OpenAI are giving even more capabilities to businesses to tune models to specific business use cases. We also cover in-depth how Perplexity is opening its doors to advertisers and what it means for ecommerce sellers.

Do you want to partner with us? Send us an email at: [email protected]

If you are an Amazon Seller, this one is for you…

ProductScope AI’s Photoshoot tool is helping thousands of businesses owners and marketers transform ordinary product images into visually stunning scenes for their websites, email and socials, and if you sell on Amazon you can also unlock unique customer insights and optimize your listings.

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These AI photoshoots save a ton of time and money in ecommerce on ANY platform.

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Perplexity Advertising Is Here

Gen AI search engine Perplexity, recognized for its AI-driven answers based on web sources, videos, images, and data from partners, is branching out to include native advertising in its platform.

We’ve covered extensively why Perplexity has the potential to be a significant threat to Google here and here. This is why, the news of advertising is getting us very excited.

Perplexity aims to introduce ads in the related questions section, which constitutes 40% of the platform's queries. This move is seen as a natural evolution for Perplexity, despite its initial stance on keeping search free from advertising influences. The platform plans to integrate organic and brand-sponsored questions seamlessly, intending to maintain user experience while opening new revenue streams.

Advertisers and marketers view this development positively, noting the format's potential to blend without disrupting the user experience. However, Perplexity faces the challenge of proving its ad scalability, brand safety, and the effectiveness of audience insights and targeting. With over 10 million monthly active users as of January, the platform's success in attracting advertisers will largely depend on its ability to ensure relevance and brand safety in its sponsored content.

What does this mean for ecommerce sellers?

For ecommerce sellers, this could be a very promising new channel (and probably one with less competition at least in the beginning).

Qualifying for questions and queries that can lead to your products/services as the answers will probably lead to higher conversion rates and click through rates. What would be interesting is to see how the AI will select results. Most likely, the selected ads will be sorted by contextual relevance and some sort of function of CPC/ad spend.
The success of AI platforms such as Perplexity will hinge partly on the relevance but also on the ability to achieve scale quickly to wider range of consumer audiences.

The Quick Read:

‘Tool Use’ (function calling) is now here in Beta for Claude. You can use it to connect your own custom tools you use in your business to perform any task you wish with Anthropic.
AI or Search Engine? A great article, assessing the impact of AI-driven web browsing on SEO and Marketing
How to add value beyond AI in a world of AI-generated content
AI in the retail industry, how it has changed the landscape and where will it go?
OpenAI expands their training program specifically for enterprise customers to help businesses tailor AI models for specific use cases
You can now edit DALL-E images in ChatGPT.

Today’s Content Spotlight:

We had an incredible conversation with the one and only Amy Wees about AI and how Amazon sellers can leverage it as a tool for developing new products and much more. Definitely not one to miss out!