Microsoft Advertising has unveiled Chat Ads, a new feature that uses AI to enable digital marketers to turn chat conversations with customers into monetized opportunities. With Chat Ads, businesses can advertise products and services directly within the chat window, providing a seamless experience for users.
Chat Ads uses AI technology to analyze the chat conversation and determine the appropriate ads to show to the user. Advertisers can then bid on these placements, with the highest bidder having their ad displayed in the chat window. This feature can be used across multiple messaging platforms, including Bing, MSN, Outlook, and Skype.
Benefits of Chat Ads for advertisers and digital partners
Chat Ads provide several benefits for advertisers and digital partners. Firstly, it offers a new way to monetize chat conversations, creating new revenue streams for businesses. Secondly, it provides a highly targeted and personalized advertising experience for users, as the ads displayed are based on the chat conversation.
In addition, Chat Ads offers a more engaging way for advertisers to interact with users. Rather than interrupting the chat conversation, Chat Ads are integrated seamlessly into the conversation, making them less intrusive and more likely to be clicked on by users.
Future plans for Chat Ads
Microsoft has big plans for Chat Ads, with the company stating that it is “actively exploring opportunities to expand Chat Ads into additional conversational channels”. As more businesses shift towards conversational commerce, Chat Ads could prove to be a highly valuable tool for advertisers looking to monetize chat conversations.
NIX Solutions concludes that overall, Chat Ads is a promising new feature for digital marketers, offering a new way to monetize chat conversations and engage with users in a highly targeted and personalized way.