The introduction of advertisements on Perplexity AI has sparked hesitation among many advertisers, primarily due to high costs and concerns over brand association.
"Clients are 100% concerned about association with the platform and do not view that the opportunity is worth the association at the moment... did not want to be first."
"When you're getting a full 30-second screen takeover on a CTV ad for the same price as a display and sponsored question on Perplexity AI, it feels very disproportionate."
The decision to sell ads on CPMs instead of CPCs has left many advertisers scratching their heads, given Perplexity's AI-powered search engine capabilities.
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