Search vs. Chat Reveue

Where will the money flow in the future?

Chatbot Ads: Where will the money flow in the future?

Traffic is revenue. So far, Search is still generating way higher traffic than Chat. About 34x times still. Chatbot traffic is gaining a lot of traction though.

Time spent: Lower traffic but time spent in chat should be much longer. This increases the weight and value of advertising through chat interfaces. You can simply rotate and display more ads.

Super-persuation: another trick to generate revenue in chatbots is to leverage on its super-persuation nature —they can persuade, sell, and even take a commission on transactions (which believe it or not, will become more common). This leads to higher conversion rates and overall revenue.

Soon, instead of designing Google or Meta-style ads, we will gradually see the emergence of a new industry focused on crafting persuasive, intent-driven ad experiences tailored for chatbot conversations. This market has the potential to become huge.

How huge? we'll see, but this will be a golden opportunity for a fleet of new startups. Maybe another AdSense story which later got acquired by Google.

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