What Is LLM Advertising?
LLM advertising means promoting your brand inside conversations that users have with large language models (LLMs).
Instead of showing up as a banner ad or a search result, your brand appears as part of a helpful and natural answer.
Imagine someone asking:
“What is the best plant-based protein powder for beginners?”
In traditional search, they would see a list of blog posts or product pages.
In LLMs, the model answers directly.
With LLM advertising, your brand can be part of that answer in a way that is helpful, not interruptive.
Real Example: Perplexity’s Sponsored Question Format
One of the first real LLM ad formats came from Perplexity AI, a popular AI-powered answer engine.
In 2024, they introduced something called Sponsored Questions.
Here’s how it works:
- A brand sponsors a specific question that its product can help answer
- When a user asks a similar question, Perplexity shows the brand’s content in the answer box
- The sponsored answer is marked but blends naturally into the conversation
For example, if a user asks:
“How can small businesses manage customer queries efficiently?”
A brand that offers an AI chat solution can show up with:
[Sponsored Answer] Try AcmeAI for automated customer service on WhatsApp and chat
This format is powerful because:
- It appears when the user is actively looking for a solution
- It adds value rather than interrupting
- It builds trust because it fits the context
More details here:
Perplexity Sponsored Answers
Other Ad Formats Emerging in the LLM World
LLMs are not just text boxes. They are interactive, conversational, and context-aware.
This opens the door to new ad formats that were not possible before.
Here are a few:
1. Conversational Product Recommendations
Instead of showing a product banner, the AI might say:
“Would you like me to suggest a few smartwatches under ₹5000?”
The user replies yes, and the AI shows brand options based on preferences.
It feels more like a helpful shop assistant than a salesperson.
2. Sponsored Chat Widgets
Brands can create their own mini agents inside platforms like ChatGPT.
For example:
“Talk to Zomato’s restaurant bot to find late night delivery options”
This gives users access to brand-owned experiences inside the AI platform.
3. Personalized Demo Invitations
If someone asks:
“What tools can help me schedule team meetings faster?”
The model can say:
“Calendly offers a quick solution. Want me to set up a free trial for you?”
This is a call to action built right into the answer.
It is not about clicks. It is about conversations.