
Neil Patel and Eric Siu discuss ChatGPT's potential ad business, predicting it will use memory data to target users. They cover monetization projections, ad-buying strategy, and share stories like Neil's home construction headaches while introducing a framework called Big Mario Marketing.
Chapters
How ChatGPT ads will make you rich.
Okay, so this guy, this guy, I actually know him, Marketing Max.
So great guy.
So he's like, I'm about to spend an ungodly amount of money on ads inside of ChatGPT. Holy cow. So ChatGPT is about to introduce ads, right? Not only that, they're about to go public for maybe a trillion dollars, right? So basically, ChatGPT is about to introduce ads. You spent months telling it about your divorce, Your new job search, your kids' health problems, where you vacation, what you're afraid of. OpenAI just hired 630 Meta employees, 20% of their entire company, to figure out how to turn those memories into ads. Projected revenue, $25 billion by 2029. So here's how it works. ChatGPT's new memory feature doesn't just remember what you tell it to save, it references all your past conversations automatically. Every chat, every detail, every vulnerable moment.
Even if you delete 'em?
Even if you delete 'em. Yes. I remember reading about this a few months ago. Even if you delete it, they still have it.
Yeah.
This is ChatGPT, right? So where you live, your pets' names, your family members, your dietary restrictions, your career struggles, your health anxieties. So when ads roll out in 2026, that memory becomes targeting data. Ask about running shoes, it already knows you hate gyms but love hiking because you mentioned it 3 months ago. Ask for recipe ideas, it knows your kid has a peanut allergy from panic conversations last summer, right? The answer is yes, because Meta is now— Meta is OpenAI now, right? So what's interesting to me, I mean, this kind of gets me to want to, you know, maybe invest at that trillion-dollar valuation, maybe let it come down a little bit, right?
I'm okay on not investing in it.
So let me finish on this part real quick. We can come back to that in a moment. We can talk about that. So why we care, OpenAI wants to monetize free users via ChatGPT ads by 2026, according to reports. So this is why people, when someone, the YouTuber tells me that, oh, you can't make money on a $20 subscription, that was missing the point entirely. They have 800 million users.
800 million active users weekly, yes, which is a lot. Yeah, it's a big difference in total users, by the way. 800 million active is a huge number.
So look, I'm excited to spend money on the ads here, and whenever a new channel comes out, that's when you want to go hard because it's cheap. That's like when Google first came out when we were still in high school, right?
Yes. Yeah, you and I will spend an arm and a leg on it. Our clients will as well. What we find with ChatGPT and it's, or at least I find with it at its valuation, even if it's a trillion, let's say it goes to a trillion dollars, I look at it as like the revenue's not there yet. It'll grow into it and its price could go to $2 trillion, $3 trillion, $4 trillion.
You get a better return elsewhere.
Yeah, we get a better return elsewhere. And I was like, I'd just rather park the money with myself and I can do a lot of deals where I double my money overnight.
See, that's such a good quote. I'd rather park the money with myself. That's good. See, that should be quoted. Okay, so I'm going to pick a— oh, this one, the one I mentioned earlier before you. You look like you want to pick one. You want to pick one? No, you go for it. So this is— so Elon said this, it's a real weakness to want to be liked, a real weakness, and I do not have that. And so this is him talking to Andrew Sorkin from New York Times. And I think it's— this is interesting because I think over time, some of the nicest people I've known that became successful CEOs or founders, they became battle-hardened. So they're still very kind, they're still very respectful, but they don't care nearly as much as they used to about being liked. I think you didn't really have this problem. You might've had a little bit of this problem in the beginning, very early in your career. I didn't know you back then, but I for sure had this problem in my early career, right? And so I do believe that if you're going to try to build something, for the long term, you have to approach things here. And this is the graph I wanted to show you, the unkind truth versus a kind lie. Do you know what the difference is?
No.
Okay, so here, check this out. I sent this to my CTO the other day and it basically, here, I gotta pull this up for you. I sent him a lot of messages. Oh my God. Well, why don't you react to the real weakness first while I pull this thing up?
So I don't know how you have been, but we're human. So naturally that affects your emotions or your feelings. You agree with that statement, right?
Yes.
And I believe to Elon, to some extent, that can affect his feelings and emotions. Like I've seen interviews with him where he gets teary-eyed in the past. We're human beings. What I found the solution to be I know this sounds bad, is I just try not to see it and I ignore it because it affects me a lot less and I just keep moving on and doing what I think is the best.
So I think you'll like this based on what you just said. Here's the problem with most marketing agencies. They don't understand what is happening with the world of AI. With my agency, Single Grain, we think about agentic workflows. We think about creating agents for the future. When we think about SEO, we think about creating different products such as internal linking products or content consolidation products. And on the other side of things, we think about building products that just care. We just think about making marketing easier overall. If you want to stay at the cutting edge of marketing and at the same time leverage the power of AI, go to singlegrain.com and we'll see you on the other side. On one side for this, this graph over here, right? You have unkind truth, okay? Versus a kind lie. So let me explain what these 2 are. So an unkind truth is when I'm direct to you and you're direct to me. So in the moment you might be unkind. So for example, I don't know, You just lost the audience or like whatever. Or like you, you, I might tell you something that's like, oh, hey.
Or like, if you're like Eric, you're going, if I say Eric, you're going bald.
Yeah. Or I think you need to do something. I think you're, I think you're getting fat, Neil. Yeah. Right.
So like, and keep in mind I'm skinny and Eric has a full set of hair. So neither of these things are true, but we're just giving you an example.
But we would tell each other if we, if we think these things, right? So unkind truth, right?
I wouldn't tell you if you're going bald.
You, but you would tell me if I'm getting fat.
No.
Overweight. I, I would for sure tell you.
I would not. Like, you're talking about like just gaining 5 pounds?
No, like 50 pounds.
I would tell you like, hey, let's go. I wouldn't tell you, hey, you're getting fat. I would say, hey, let's go work out together.
You wouldn't tell me I'm getting fat, but you would say, hey, Eric, I am concerned for your health.
Yes. Or, but what I would first try to say, I'm like, dude, we should work out together.
Yeah.
When are you free?
And I'll just work out with you.
Okay.
And then, then it becomes 100 pounds. What happens?
No, no, no. I would work out with you and try to fix it without saying you're—
What if I don't listen and I gain another 50 pounds?
Uh, even before the 50 pounds, I would say something.
Yeah, but you would start saying things that are perhaps unkind in the moment, but it's the truth, right?
Yes.
And, and so what happens here when you have a functional system?
Even 50 pounds, I wouldn't let it get 50 pounds. If you gain like 30, 40 pounds of fat, I would be like, hey dude, we need to go to the gym together.
Yeah, exactly. So, but, or you tell me the kind lie, Eric, you look so good. Oh my God, so good. Like, so what happens here is in the moment, if it, you get away with it in a moment, but you actually end up building a dysfunctional system. So it gets worse and worse. So this is how it was when you've seen, maybe even with your companies, both of our companies maybe in the— when at least I was just kind, I was too scared to tell the truth. Too scared to tell the truth.
Yeah.
But what happens is, so when you have extreme commitment to the truth, it makes relationships acutely dysfunctional, but systems chronically functional. So it says, it mentions Elon here, right? So an extreme commitment to kindness makes relationships acutely functional, but systems chronically dysfunctional. So like, the UK, for example, or they're talking about like, you know, I'm not going to go into politics, but you look, if you keep going unkind truth, it compounds over time. You build a very functional system. That's what you want to do with a company.
Yeah, I agree with that. I tend to just tell people the truth.
Yeah, and people don't want to hear it, but it's okay.
I think the key is when you tell them the truth, let's use the example of Eric gaining weight. Okay. Eric has not gained weight. I would start with not being as direct and I'll try to add some finesse. And I'm like, I would say, hey Eric, I want to start eating cleaner. Can we do a challenge? You know, as a— I want a buddy system. You help me and I'll help you. Let's try to see if we can do a challenge for a week, if we can both eat really clean and only X amount of meals and this type of food. Like, are you down? And then if he says yes, great. If he says no, I'd be like, okay, how about we try working out together with each other? You know, like every day for 7 days. Let's see if we can do like the, what is it, 30-day hard or something like that?
75 Hard.
75 Hard? I'm like, there's 75 Hard where you go crazy for 75 days when it comes to working out. Let's just try doing it for 2 weeks or a month. And we'll be each responsible to each other. So, I would start trying to come up with solutions instead of just being direct and just tearing you apart. And it's not that I don't have the issue of saying something to you, because like if something's really bad for you, I will tell you. But I believe in most cases, just telling people like, you're gaining weight, it doesn't do any good. I think people need a solution or they need motivation to go and try to fix things. Right? Like same with work. When someone does something that I don't like, instead of me just saying like, this product sucks, or this release sucks, or this has bugs, I go in and I document the bugs and I'll be like, hey, can we fix this? The load time's too long. People assume that nothing's loading. Oh, we can't. It would be too expensive to load all this up in 2 seconds instead of 6 seconds.
Okay.
Can we actually create a design? Because I don't want to increase cost 7x. Can we actually create a design that lets people know what they're going to get in 7 seconds or that it's loading. So then that way they just don't leave. I'm a big believer that instead of just lying to people and saying everything's okay when it's not, you work with them on solving the problem instead of just saying you suck.
You know what I do now instead of just going to them directly? But before I do that, if you started to gain weight and you saw your mom, what's the first thing she would say?
Right now, how much weight am I gaining? As a kid, even, even 5 pounds, 10 pounds, or whatever, my mom would've been happy.
Oh, 'cause she want you to— oh, okay.
Yeah, 'cause I was really skinny. I was always in the 1 percentile for weight.
What if you lose another 10 pounds? You see your mom right now, what would she say?
Uh, she would be, be like, you're skinny, you're not eating.
She ain't gonna sugarcoat it. Exactly. So whenever I gained 5 pounds or whatever, my mom's— the moment she sees me, she used to call me, she's like, Oh, looks like someone got fat, right? And then I'll go back to her like, look who's talking, right? So we just start talking at each other. But my point is like our moms are, it's unkind truths, right?
Yes.
Because they want the best for us, right? Now, that being said, in a corporate world, like with people, you have to have some finesse, right? So the way I do it is like, let's say, you know, I'm working with you. Instead of saying, hitting you hard immediately, I'll say, hey Neil, so how do you think things are going right now, right? Oh yeah, like, And then I'll be like, okay, so what stories are you telling yourself right now? Well, I think I need to do this, that, like whatever. Okay, so what do you need to do to improve it, right? So then they start to answer with their solutions, and I'm not solving it for them. Now, do I have the patience for that all the time? Absolutely not. But does it work well? It does.
Yeah, and you made me think of a situation. I'm a big believer in the unkind truth, but it only depends who it's to. Like if it's a business colleague, I understand I need finesse. If it's a friend like you, I'm probably going to be a little bit more direct than I would be in a corporate environment, right?
Even Mike's a good friend of yours, Kamo, right?
Yeah. I'm direct with him and I'm pretty direct with you, right? And when I say I'm pretty direct, I actually, I think I'm very direct with you. I just, I wouldn't add the finesse if you were 50 pounds. I would tell you beforehand. But if the 50 pounds for some other health reasons that you can't control, because some people have weight issues. Totally.
There's always outliers.
I have family members that have weight issues and they can't control it for other reasons like thyroid or whatever it may be. I would not just tell them like, hey, something's wrong. You have to understand what's causing it. I know some people who gain a lot of weight when they're stressed out. I would never tell them you're gaining weight. Instead, I try to figure out why they're stressed and I try to help solve the root cause of it so they can get healthier. But there's certain instances like yesterday I was dealing with my home and the construction of my home.
Even today?
Yeah, even today. And I just went off on people. I was just going off. And when I mean I was going off, I was really going off. And I was very firm. I wasn't yelling at them, but they all knew I was pissed off. And I was like, look, there's a lot of incompetence and I want to know who's causing the incompetence. An example of this, and this is a real example, they're telling me we need more budget. We need to buy more doorstops. We need another $3,500. But there was a lot of this little stuff and it added up to $60,000, $70,000.
Yeah.
Okay. It was literally somewhere between $60,000 and $70,000.
Mm-hmm.
And I was like, we've had our doors for a while, right? They're like, yes. Some doors are sliding doors. You don't need doorstops for those. Some doors swing. When a door swings, you need a doorstop, right?
Yes.
How long have we known our doors for? So who's the person in charge of counting the doorstops? Shouldn't you just count X amount of swinging doors means X amount of doorstops? If an entry to a door is a double door and it swings, you need 2 doorstops. I'm like, this isn't rocket science. I'm like, why are we working with people who are incompetent when I'm getting charged a premium dollar for a luxury home? If you're building a home in Beverly Hills, one would assume it's a luxury home. I'm not trying to be a prick here. This is the reality. And you're probably charging you more because it's Beverly Hills. You agree with that statement?
Yeah.
Trust me, I negotiated. I tried finding so many people and a lot of people were off. Like they had another one. Oh, we hired one of the best stone people. And you know how I found that out? When we went to go pick stone, people are like, this person's going to install it? You picked one of the most expensive and premier stone people. They're known for a meticulous, fabulous job. Oh, they missed something. Now I got to pay more because they forgot to bid it out.
For their incompetence.
Yes.
Why? You hired the best. Why am I getting taxed on this?
And I'm like, who on And Arun is missing this stuff. And I'm paying for people not only to do the project, like you have a general contractor who does it, I also pay for people to manage the whole team and the general contractors called the owner's rep to make sure everything goes right so that way I don't have issues. So I'm like, who are we paying? Why am I paying so much money for incompetence?
And I'm like, this is ridiculous. Let this be a lesson, guys, from Neil. Never build a custom home because it becomes a second job. Yes.
And then you know what they told me straight up? Well, with all our homes, this kind of stuff is normal and it happens every— it happens every time.
Imagine if we told our clients that.
Yes. And I'm going to read you something I wrote to them in an email last night. All right. This is how—
It must've been a long email.
It was a long email. I'm just going to read you one part of it though. So let's see. No, where is it? So look at this. I love all you guys. I try to always end with a, you know, I try to be nice and I really do love 'em because I've gotten to know 'em for a while now, over a year. I love all you guys, but I would've never built this home if I knew it was going to be this painful. I know construction has a bad reputation of things always costing more and being delayed and constant errors. But just because the industry has a bad reputation, we shouldn't hold ourselves to those poor standards. We should be doing better.
Oh, it was a short email.
No, no, no, no.
Oh, you had a lot more. Oh, that's how you started.
That's one paragraph of the email.
Oh, it's a long email.
And this is the second part of the email.
Oh my God. I'm just going. There's like 12 paragraphs, guys. That's what I'm looking at.
Yeah. And some parts I'm harsh, right? And I didn't end with that statement, right? I love all you guys. And then I even said after that, you guys need to talk and figure things out soon. I don't want to keep getting change orders. Change orders is something that just keeps costing you more money. But I'm getting people charging me more because it's their fault. And then I put in all caps, please let me know what we are missing and what the right— get me a right number right away. I don't want to wait weeks anymore. This is supposed to be done months ago. And then I give examples of this stuff and a dot, dot, dot. And I'm just like, I'm just over it.
Yeah.
And I have a right to be over it.
So what is the point you'd like to give the audience on this?
Sometimes you need to be very direct. If you're not very direct, your problems just snowball and it just costs you an arm and a leg, whether it's business or your personal life. You just create a bigger shitstorm, excuse my language, for yourself. And this is why it's very important to be direct. And this is why in business, yes, I do have some Finesse, but we talked about the main key people you work with. Do you think I have any finesse with the main key people I work with on a daily basis?
Less depending on how close you are. The closer you are, the less you have. Yeah.
So I would say out of the 30 people, 15 of them probably soak up 80 to 90% of the time. With those 15 people, There's no finesse.
Yeah. Yeah. Which is, I don't want to operate my business with my best people if I have to dance around, right? Like I'd rather be direct.
And then sometimes they blow up and will be direct with me and pissed off at something I did and they have a right to be. And I like it that way.
Yeah. And I apologize too, by the way. Like yesterday we're like debating and arguing things, right? I don't think there's anything wrong with that. 'Cause to me an argument is just, you're making points, right? And sometimes I'll be wrong.
No, no, no, argument is progression. That's how you look at it and I look at it.
Yeah, and argument's progression, but when you sugarcoat things, you're actually stopping progression, right? So even if you call me a fruit fly for a good reason, I love it, right? I started laughing, right? Like, it's actually scary. Like, if you imagine there's this, you start working for someone as an executive, you call your boss a fruit fly, like—
I like that person.
Yeah, but most people think that's like a scary thing, but I love it, right?
Yeah.
Yeah, it's great. So I think our point of all this, this goes all the way back to wanting to be liked. And if you want to go far in business, you should care less and less about it. 'Cause as I've progressed in my career, I've worked for a couple people, a couple startups, right? You've worked maybe as like a janitor or something.
Yeah.
In your teens, right? So you haven't worked for many people, right? But I've seen the progression. The ones that want to be liked, they don't go very far. The CEOs that I've actually feared a little more, They went very far. That's what I would say. Yeah. And so I'm like, now that we kind of see it from the other side as founders, it's like, okay, it might be in the moment, it's like people might fear you a little more, but the ones that go far with you, they're going to respect you long-term a lot more because you had the courage to make decisions.
Totally agree.
Yeah. Okay. Last thing before we go here.
What's Big Mario Marketing?
Okay. Okay. We'll talk about Big Mario Marketing. I think you've seen this graphic before. So, okay, check this out. You play Mario, right?
Super Mario Brothers?
Yeah, Super Mario. Remember like, you know, when he eats like the flower and he can throw fireballs?
Yeah.
Remember that? Okay, so guys, this is a graphic of Mario here. He's eating a fireball, right? Or he's eating the flower that gives him the fireballs. So big Mario marketing is number one rule of marketing. Nobody cares about your product, they care about themselves. So this is not what you sell, right? So you don't sell the flower, this is a potential customer. You sell the outcome, the customer who can do awesome things.
Yes.
So they don't care about your amazing flower. They care if you can do amazing things, right? So this guy literally dropped the best marketing lesson you'll ever see. So your customer, little Mario, not as powerful, needs help. Your product, an item Mario can use. The result, big Mario shooting fireballs and kicking everyone's ass. And actually that was my favorite power-up. It wasn't even like the cape that he, where he can fly. I just wanted to throw fireballs.
Oh, cool.
Yeah. Anyway, that's big, that's big Mario marketing.
I love it.
All right guys, that is it for today. It's time for us to go to lunch. We'll see you tomorrow. Bye.










