Meta Taps AI Chats For Ad Targeting

Plus: PayPal turns SMBs into retail media networks

Author

Avinash Duggempudi
October 08, 2025 • Estimated Reading Time: 5 minutes

ClickZ Digital Ad Platform News

Here's what's happening this week in the world of digital ad platforms:
- Meta to mine AI chats for ad targeting.
- PayPal debuts Ads Manager for SMB retail media.
- X splits org tiers; adds perks and ad credits.
- Meta halts EU political ads under new rules.
- TikTok launches Travel Ads to capture intent.

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📌WEEKLY MUST-KNOWS

Meta will begin using interactions with Meta AI, plus voice and image inputs, to personalize ads and content across Facebook, Instagram and WhatsApp starting Dec 16, 2025. The shift could sharpen performance for US advertisers but arrives with no opt-out in most markets, intensifying privacy scrutiny as EU and UK users are exempt. Advertisers and agencies should reassess data governance and creative sensitivity as AI chat signals enter Meta’s targeting stack.

PayPal launched Ads Manager to let merchants operate as retail media networks, targeting with PayPal purchase data from more than 430 million consumers. Rolling out in the US early next year, the SDK-based tool centralizes campaign management, offers AI creative, and enables Storefront Ads with embedded PayPal/Venmo checkout, with ad revenues paid to the merchant’s PayPal account. This expands commerce-grade intent signals and monetization for SMBs, pressuring incumbents like Amazon Ads and Walmart Connect.

X rebranded Verified Organizations into Premium Business and Premium Organizations, introducing a $200 Basic tier and a $1,000 Full Access tier, plus ad credits for a limited time. Premium Business adds a gold checkmark, affiliate badges, impersonation defense, faster support, hiring tools, SuperGrok access, and priority handles, with a marketplace for high-value handles coming. Expect pricing-led access to brand protection and visibility as X seeks new revenue amid a challenged ads business.

Snapchat released a WooCommerce extension that syncs product catalogs, deploys Snap Pixel and CAPI with one click, and lets merchants launch shoppable ads from within WooCommerce. With Snap’s 469 million DAUs, the integration shortens setup and improves measurement for direct-response sellers. WooCommerce brands get a faster route to Snap campaigns and more accurate optimization data.

⚡QUICK READS

Duolingo Builds Direct Ads Offering: Duolingo is rolling out “Duolingo Ads” to pitch premium in-app inventory with custom character-led creatives, signaling more walled-garden supply beyond traditional DSPs.(More)

LinkedIn Adds AI To Speed Campaign Setup: LinkedIn launched Auto-Targeting and Draft with AI to help small businesses build and optimize campaigns faster, trimming setup time and enabling quicker iteration.(More)

TikTok Introduces Travel Ads Format: TikTok rolled out Travel Ads with dynamic travel cards and intent-based models for hotels, flights and destinations, creating a new lower-funnel path from discovery to booking.(More)

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