• by Laurie Sullivan , Yesterday

Albertsons Companies is the latest major brand to buy media on OpenAI ChatGPT Ads.

The company said it will participate in the OpenAI Ad Pilot Program following announcements from Target and Williams-Sonoma Companies earlier this week after OpenAI announced the pilot program.

OpenAI announced the pilot on Monday, along with Adobe and WPP. Then Omnicom announced its participate based on feedback from hundreds of interested brands.

As a pilot partner, Albertsons Companies will explore how the ChatGPT ads unlock value for users and brands in conversational experiences.

“Just in time for Valentine’s Day, this pilot program is yet another channel that allows us to meet customers when and how they choose to shop for convenient and easy recipes, meals, gifts and party essentials to celebrate their loved ones,” stated Jennifer Saenz, chief commercial officer at Albertsons Companies.

As part of the test, Albertsons Companies ads will appear in ChatGPT ahead of Valentine’s Day.

Consumers entering search terms such as "best flowers for Valentine’s Day," "chocolates and sweets as a gift" or "how to celebrate Galentine’s" can potentially see clearly labeled ads from their local Albertsons Companies’ stores such as Albertsons, Safeway, Vons, Jewel-Osco, Shaw’s, ACME and Tom Thumb.

Target beginning this month also plans to test contextual advertising in ChatGPT, becoming one of the first big-box retailers to announce its participation in OpenAI’s pilot program.

Sponsored ads from Target and its retail media business Roundel will appear alongside some user shopper-related conversations in ChatGPT, Target announced Wednesday.

Keywords will trigger the ads in a user’s prompt. If a user asks for recommendations on countertop cooking appliances, for example, they may see an advertisement for an air fryer displayed next to the response.

Online traffic has grown from ChatGPT to Target about 40% on average each month, Target said.

The pilot could provide even more traffic. It also fits into the retailer’s broader strategy of meeting consumers wherever they are in their discovery journey.

William-Sonoma also has joined the pilot program. The company said it will work with OpenAI to test and learn how this new format can drive engagement while maintaining the trust users place in ChatGPT responses and OpenAI’s privacy framework.