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Chat Ads Explained: Advertising in Stream Chat

A chat ad is one labelled message posted by a bot during a live stream. Here is how the format works, what it measures, and the numbers from our own delivery.

Florian WeberCTO · Co-founder

Published 2 min read

Contents

Chat ads are the least understood format in livestream advertising, mostly because people picture spam. What the format actually is: one clearly labelled message, posted by a bot into a live chat, carrying a tracked link. It runs at a pace the streamer agreed to, and it is the only livestream format a viewer can act on without leaving the page.

How a placement works

The streamer connects a bot account once. During a live session, the campaign's message is posted into chat with an advertising label in front of it, and the link inside is a short link that attributes the click back to that stream.

The message is not free text typed by the streamer. It is a template the advertiser wrote, with placeholders resolved per streamer — a tracked link, and optionally the streamer's own creator code. The label is never optional and never negotiable.

What it measures that an overlay cannot

An overlay impression tells you a graphic was displayed to a number of concurrent viewers. That is a reach measurement, and it is honest, but it stops there.

A chat ad produces a click with a stream attached to it. Across our own external campaigns we have delivered 16,429 chat placements and recorded 1,350 counted clicks — clicks that survived deduplication and fraud filtering and are therefore billable. That is roughly eight counted clicks per hundred placements.

That ratio is high compared to display advertising, and the reason is mundane: the link is in the same window the viewer is already typing in.

Why the raw click number is not the number

We logged far more raw clicks than counted ones. The gap is deduplication, bot traffic and repeat clicks from the same viewer. Reporting the raw figure would roughly multiply the apparent performance by eight.

If a platform quotes you a livestream click rate without saying what it filtered, that is the question to ask. A click count with no rule behind it describes nothing.

Where chat ads fit

They suit anything with a destination — a store, a signup, a code, a demo. They suit small and mid-sized channels particularly well, because the chat is still a room where a message gets read rather than scrolling past.

They do not replace a visual placement. On a combined campaign the two run together on the same delivery moment, and the display side carries the brand while the chat side carries the action.

For the visual half of that pairing, see in-stream ads explained. For what the whole thing costs, CPM explained covers the pricing model, and the advertiser overview shows current inventory.

Written byFlorian Weber

CTO · Co-founder

I take care of the tech behind PixelPact, from automated delivery to the dashboards where streamers and brands see what’s happening.

More about our team

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