What OpenAI’s ad push means for retail media
Opinion – Week in Focus
Retail media isn’t going away. Instead, it will work in tandem with AI discovery, helping to close the sale on site after ChatGPT ads or responses capture and direct shopper attention, writes Lee Matters.
It’s only been a few months since OpenAI began testing advertising in ChatGPT for logged-in US adult users on Free or Go plans, but the AI company is moving full steam ahead into the advertising industry, with meaningful repercussions for every consumer, brand, and retailer.
A March 2026 update to the same OpenAI blog post announced OpenAI’s ad pilot expansion into Canada, Australia, and New Zealand, with plans to push advertising into new markets later this year.
It’s an abrupt about-face for CEO Sam Altman, who went on the record at a 2024 Harvard University event calling ads “a last resort” and “uniquely unsettling.”
But with OpenAI burning through money and hurtling towards a predicted $14bn deficit by the end of the year, it seems Altman’s tune on AI and advertising has changed. In doing so, he’s opened up a new advertising channel and fundamentally reshaped the shopper journey.
OpenAI’s been trying to find its place in retail
Before turning to advertising, OpenAI first tried to shake up retail with Instant Checkout, a feature that let ChatGPT users buy items directly in the chat interface.
Launched in September 2025, the feature was sunsetted by March 2026. Instead, OpenAI says it’s redirecting efforts to product discovery, evidenced by its same-month launch of Agentic Commerce Protocol (ACP), “the connective layer between merchants and users throughout discovery.”
One month later, it also released a pilot ads manager, further cementing its move towards retail.
Considering its mounting losses and infrastructure costs, it’s little wonder OpenAI seems intent on making retail work. This time, advertising may be the ticket, as it not only creates immediate revenue but helps push users towards paid subscriptions.
Whether or not monetisation proves profitable for the AI company, one thing is certain: OpenAI is forever transforming retail media.
A new moment of influence early in the shopper journey
Historically, the goal of retail media networks has been to influence purchasing decisions near the point of sale, either through sponsored product listings or promoted search results on a retailer’s website, helping suppliers win share of voice and visibility within a category.
But with OpenAI bringing ads to ChatGPT, brands now have an opportunity to influence purchase decisions much earlier in the shopper journey.
Consider how consumers already use ChatGPT, asking questions like “What ingredients do I need for a vegan curry?” or “What’s the best coffee machine under £200?”
In both examples, the consumer researches, forms preferences, and mulls purchases well before landing on a retailer’s website.
With this space, OpenAI has created a new moment of influence where brands can battle for consumer attention — and sales. Bringing contextual ads into the mix creates even more opportunities to reach consumers earlier in the shopper journey.
To continue the above example, a ChatGPT user looking for advice on how to cook vegan curry could now see an ad at the bottom of the chat for a grocery delivery service or supermarket. In this way, OpenAI’s foray into advertising doesn’t just introduce a new ad channel but shifts the moment of influence earlier in the shopper journey.
What does this mean for traditional retail media?
If shoppers can now be influenced during the research phase, what does this mean for traditional retail media placements and supplier investments in on-site retail media?
Traditional retail media isn’t going away. Instead, it will work in tandem with AI discovery, helping to close the sale on site after ChatGPT ads or responses capture and direct shopper attention.
Capturing attention via ads is straightforward. But getting brands to show up in AI-generated recommendations requires a different investment: in off-site media.
It’s an ironic turn of events for media sceptics who predicted high-quality editorial reviews, buying guides, and comparison content would die out in the AI era. Instead, this content is proving foundational in shaping what shows up in AI-generated recommendations, creating outsized opportunities for content and affiliate partners to influence product discovery.
Brands should invest in AI discovery before market saturation
With AI-generated product recommendations and new contextual ads, OpenAI has created a brand-new path to influence purchasing decisions early in the shopper journey. And the value of this high-intent, top-of-funnel discovery is enormous. With 900m weekly active users, ChatGPT is poised to become one of the world’s largest and most influential advertising channels.
Savvy brands will get involved early by investing in Generative Experience Optimisation (GEO) to prepare for downstream benefits, like lower acquisition costs and established visibility before market saturation.
For example, electronics retailer Currys has invested into off-site content partnerships to attract high-intent shoppers to key category pages, where on-site retail media placements can then convert the sale.
With this formula, retailers can leverage both on-site placements and off-site content partnerships to capture — and win — shopper attention, as well as drive business growth in the new AI discovery landscape.
Lee Matters is the senior client partner, brand partnerships and retail media at Awin