What Is Bing Ads (Microsoft Advertising)? A Complete Guide
- November 21, 2025
- 3:45 pm
Bing Ads (Microsoft Advertising) is a pay-per-click (PPC) advertising platform that lets businesses display search ads across the Microsoft Search Network, including Bing, Yahoo, AOL, and partner sites, reaching millions of high-intent users at a lower cost than Google Ads. It functions similarly to Google Ads but often delivers cheaper clicks, higher conversion rates in certain industries, and unique targeting capabilities powered by Microsoft’s first-party ecosystem (Windows, Edge, Outlook, Xbox, LinkedIn, and more). If you’d like an expert to handle your campaigns from the start, check out our professional Bing Ads management services.
This complete guide breaks down exactly how the platform works, why it remains one of the most underrated opportunities in PPC, and how you can use it to drive profitable traffic—even if you’re already running Google Ads.
Understanding Bing Ads (Microsoft Advertising)
What Exactly Is Microsoft Advertising?
Microsoft Advertising is Microsoft’s PPC platform that allows businesses to run paid search ads across the Microsoft Search Network, a collection of properties including:
Bing
Yahoo
AOL
DuckDuckGo (in some cases, through syndicated partners)
Microsoft Edge search bar
Windows search
Cortana
Xbox search surfaces
Plus a growing list of search partners
These placements help advertisers reach users where they naturally search across Microsoft and its partner properties—extending well beyond just Bing.com.
Why Microsoft Rebranded Bing Ads to Microsoft Advertising
Microsoft rebranded from “Bing Ads” to “Microsoft Advertising” to match its broader vision: advertising powered by its entire ecosystem, not just the Bing search engine. The modern platform integrates:
AI-driven bid strategies
Audience Network display ads
LinkedIn profile targeting
Cross-device data from Windows and Edge
Shopping ads feeds and automated campaigns
Audience-based targeting similar to Google’s but more detailed
This ecosystem gives Microsoft a competitive advantage in user intent, demographic accuracy, and privacy-compliant identity data.
Why Bing Ads Still Matter in 2025
Many marketers mistakenly overlook Microsoft Advertising because Google dominates global search. But ignoring Bing is one of the biggest PPC opportunities left today—especially for small and medium-sized businesses.
Here’s why Microsoft Advertising is more valuable than ever:
1. Bing’s Market Share Is Bigger Than You Think
While Google leads the market, Bing holds a consistent—and growing—second-largest share of desktop search in the world. In many countries, Bing now powers:
15–25% of desktop search market share
70–80% of search queries done on Windows devices
Millions of searches on Edge, Windows Start Menu, and Microsoft widgets
And because Bing’s audience tends to skew toward:
Professionals
Higher-income users
Older demographics
Business owners
People using Windows devices for work
…the traffic quality is often superior.
2. CPCs and CPAs Are Often Significantly Cheaper
In many industries (legal, finance, home services, B2B):
Cost per click is 30–70% lower on Bing than Google
Conversion rates are equal or higher
Competition is far easier
Fewer advertisers = lower auction pressure = cheaper conversions.
For businesses with tight budgets, this is a massive competitive advantage.
3. LinkedIn Profile Targeting = A Unique Edge
Microsoft Advertising is the only PPC platform that allows targeting by:
Job function
Industry
Company size
Because Microsoft owns LinkedIn, advertisers can layer this professional data onto search ads—something Google cannot replicate.
This is game-changing for:
B2B companies
Professional services
SaaS
Enterprise software
High-ticket consulting
Any business targeting job titles or industries
4. Microsoft Audience Network = Google Display Alternative
Microsoft isn’t just a search ads platform anymore.
Advertisers can run:
Native ads
Image ads
Multimedia ads
Audience-based retargeting
…through Microsoft’s Audience Network, which appears on MSN, Outlook, and hundreds of premium publisher sites.
It’s often cheaper and more brand-safe than Google Display.
5. High-Intent Users from Desktop Traffic
Bing dominates desktop search—still extremely important for:
B2B buyers
Older demographics
High-value purchases
Office workers using company devices
Industries requiring research-heavy decisions
Desktop users often have higher intent and higher purchase power, making Bing traffic especially valuable.
How Microsoft Advertising Works (Explained Clearly)
Microsoft Advertising operates similarly to Google Ads, based on:
Keywords
Ad auctions
Quality Score
Bid strategies
Ad extensions
Landing pages
Let’s break it down clearly:
1. You Choose Keywords
You select keywords your ideal customers search for.
Example:
“emergency plumbing service near me”
“buy running shoes online”
“accounting software for small business”
These keywords trigger your ads when users search for them.
2. Your Ads Enter a Real-Time Auction
Every time someone searches, Microsoft runs a micro-auction.
It evaluates:
Your bid amount
Your Quality Score
Your ad relevance
Your landing page experience
Your rank in the auction determines:
Whether your ad shows
Where it shows
How much you pay per click
Better Quality Score = cheaper CPCs and higher positions.
3. You Only Pay When Someone Clicks
Like Google Ads, Microsoft Advertising is pay-per-click.
You don’t pay for impressions.
You only pay when someone clicks your ad.
4. Users Click → Visit Your Landing Page → Convert
When users click your ads, they land on your website or landing page, where they:
Buy your product
Sign up for a service
Fill out a form
Call your business
Download a lead magnet
Your goal is to maximize conversions and minimize costs.
Key Features That Make Microsoft Advertising Powerful
Microsoft Advertising has several advanced features that many advertisers underutilize. These capabilities make it more than “just a cheaper Google Ads alternative.”
1. Incredibly Accurate Demographic Targeting
Because Microsoft collects data across:
Windows OS
Edge browser
Outlook
Xbox
LinkedIn
…it can identify user intent and demographic attributes with high accuracy.
Microsoft lets you target by:
Age
Gender
Location
Device
Time of day
Remarketing audience
Industry + job function (from LinkedIn data)
This level of precision is unmatched.
2. LinkedIn Profile Targeting (Exclusive Feature)
This is one of Microsoft Advertising’s biggest competitive advantages.
You can adjust bids based on:
Industry
Company size
Job function
Examples:
Target decision makers in “Finance”
Bid higher for people working in “Enterprise” companies
Show ads exclusively to people in “Marketing,” “IT,” or “Operations”
This is an unbeatable feature for B2B campaigns.
3. Import Campaigns from Google Ads Instantly
Microsoft Advertising lets you import your entire Google Ads account in minutes.
This includes:
Campaigns
Ad groups
Keywords
Ads
Extensions
Budgets
Negative keywords
It then optimizes them for Microsoft’s ecosystem.
For most advertisers, this alone makes Microsoft Advertising a no-brainer.
4. Shopping Ads and Merchant Center
If you run an eCommerce business, Microsoft Shopping Ads allow you to display:
Product images
Titles
Prices
Ratings
Promotions
…directly in search results.
They often deliver a significantly lower CPA than Google Shopping.
5. Responsive Search Ads + Audience Ads
Microsoft offers ad formats such as:
Responsive Search Ads
Dynamic Search Ads
Multimedia Ads
Native Audience Ads
App install ads
These formats give advertisers flexibility for both search and display-style placements.
Types of Campaigns You Can Run on Microsoft Advertising
Microsoft Advertising supports several campaign types designed to match different business goals. Understanding which type to use is essential for creating a profitable strategy.
1. Search Campaigns (Most Common)
Search campaigns show text-based ads on Bing, Yahoo, AOL, and Microsoft partner search engines. These are the core of Microsoft Advertising and are ideal for:
Lead generation
Local services
B2B marketing
High-intent traffic
eCommerce
Search ads appear at the top and bottom of search results, similar to Google Ads.
Best for:
Businesses that rely on search intent to drive conversions.
2. Shopping Campaigns
Shopping campaigns use product feeds to promote eCommerce listings. They display:
Product images
Prices
Reviews
Merchant name
Promotional labels
These ads appear prominently and often convert extremely well due to high buyer intent.
Best for:
Online stores with physical products.
3. Audience Ads (Microsoft Audience Network)
Audience ads are Microsoft’s native ad format, shown across:
MSN
Outlook.com
Microsoft Edge
Premium Microsoft partners
They’re visually engaging and useful for:
Retargeting
Awareness campaigns
Product promotions
Branding
Best for:
Businesses needing scale beyond search intent.
4. Smart Campaigns
Smart campaigns automate many ad elements, including:
Targeting
Bidding
Ad creation
They’re ideal for small business owners or advertisers who want simplified management.
Best for:
Beginners or small businesses with limited time.
5. Dynamic Search Ads
Dynamic Search Ads (DSA) automatically create ads based on your website content. They target search queries that closely match your site pages.
Best for:
Large websites or businesses with frequently updated product lines.
6. App Install Ads
For mobile app creators, Microsoft Advertising supports app install campaigns that appear across the Microsoft Search Network.
Best for:
Apps trying to acquire cost-effective users.
The Advantages of Microsoft Advertising
Now that you know what Microsoft Advertising is and how it works, let’s dive deeper into why it can outperform Google Ads in many situations.
1. Lower Competition = Lower Costs
One of the biggest benefits is reduced competition. Fewer advertisers using Microsoft Advertising means:
Lower CPCs
Lower CPAs
Less bid pressure
More stable auctions
For high-cost industries such as:
Legal
Insurance
Finance
Real estate
B2B software
…Microsoft Advertising can deliver dramatically cheaper results.
2. Higher Purchasing Power Audience
Microsoft’s user base tends to be:
Older
Higher-income
Professional
Desktop-focused
Business-like in behavior
These users often convert at higher rates, especially for industries like:
B2B
SaaS
Consulting
Home services
Finance
Education
This is why many advertisers report higher ROI on Microsoft compared to Google.
3. Connected Ecosystem Across Devices
Microsoft gathers data from:
Windows
Xbox
Edge
Outlook
Bing
Office 365
This integration gives Microsoft superior multi-device attribution, benefiting advertisers who want reliable tracking even with privacy changes.
4. Exclusive LinkedIn Targeting
As mentioned earlier, LinkedIn profile targeting is one of Microsoft’s most powerful features. No other platform allows this level of professional targeting blended with search intent.
You can:
Increase bids for IT managers
Exclude industries irrelevant to your offer
Target enterprise job functions
Adjust bids based on company size
This gives B2B advertisers a competitive edge.
5. Easy Google Ads Import
One of the biggest selling points:
You can copy your Google Ads campaigns directly into Microsoft Advertising.
This means:
Same structure
Same ads
Same targeting
Same negatives
Same extensions
…with only minor optimizations needed.
It’s one of the fastest ways to expand your PPC traffic.
How to Set Up Your First Microsoft Advertising Campaign
Here is a simple step-by-step process to launch your first campaign the right way.
Step 1: Create a Microsoft Ads Account
Go to Microsoft Advertising’s site and sign up. You’ll need:
Business info
Payment method
Conversion tracking setup (recommended)
Step 2: Install UET Tracking Tag
UET (Universal Event Tracking) is the equivalent of Google’s tracking script.
It allows Microsoft to track:
Conversions
Remarketing audiences
Cross-device behavior
Install it on all your website pages.
Step 3: Import or Build Campaigns
You can:
Import from Google Ads (recommended)
Build from scratch
If importing, review:
Bids
Budgets
Match types
Extensions
Negative keywords
Step 4: Set Up Ad Groups and Keywords
Organize keywords by tight thematic groups.
Example for a plumbing company:
| Ad Group | Keywords |
|---|---|
| Emergency Plumbing | emergency plumber near me, 24/7 plumber |
| Drain Cleaning | drain cleaning service, unclog drain |
| Water Heater Repair | water heater repair near me |
Smaller, cleaner groups produce better Quality Scores.
Step 5: Create Responsive Search Ads
Include:
High-intent keywords
Clear benefits
Strong call-to-actions
Trust elements
Example:
Headline examples:
“Emergency Plumber Near You”
“24/7 Licensed Plumbing Experts”
“Fast Repairs – Call Now”
Descriptions:
“Get reliable same-day plumbing service from certified experts.”
“Fast response times and upfront pricing. Book today.”
Step 6: Add Extensions
Extensions boost CTR and give users more options. Always include:
Sitelinks
Callouts
Structured snippets
Call extensions
Location extensions (if local)
Step 7: Set Bids and Budgets
Choose a bidding strategy:
Manual CPC
Maximize Clicks
Maximize Conversions
Target CPA
Target ROAS
Beginners often start with manual CPC, but automated strategies perform better once conversion data is available.
Step 8: Launch and Optimize
After your campaign goes live, optimize based on:
Search term reports
Keyword performance
Negative keywords
Device-level breakdown
Demographic data
Audience data
Landing page conversions
Microsoft offers rich insights that help refine performance over time.
Best Practices for Maximizing ROI on Microsoft Advertising
To consistently get strong results, follow these proven strategies:
1. Use Google Import, Then Customize
Import campaigns from Google, but don’t leave them as-is. Customize:
Bids
Extensions
Negative lists
Audience settings
Microsoft’s audience behaves differently—optimize accordingly.
2. Always Layer LinkedIn Targeting
Even if you’re not B2B, it can help refine user quality (e.g., excluding irrelevant industries).
3. Adjust Bids by Device
Microsoft’s traffic is heavily desktop-based.
Desktop traffic:
Often converts better
Responds well to higher bids
Mobile:
May be cheaper
But sometimes lower intent
Optimize accordingly.
4. Split Test Ads Frequently
Run at least 3–5 RSA variations. Test:
Different angles
Offer types
Keywords in headlines
Different calls-to-action
5. Avoid Over-Expanding Keywords
Microsoft’s expanded keyword match tolerances can broaden too far.
Monitor search terms carefully and keep your negative list clean.
6. Use the Microsoft Audience Network for Retargeting
It’s extremely cost-effective compared to Google Display.
7. Leverage Automated Bidding Once You Have Data
Smart bidding works well when fed 30–50 conversions per month.
Should You Use Microsoft Advertising? (Final Verdict)
If you rely on PPC—whether for eCommerce, lead generation, SaaS, or B2B—Microsoft Advertising is not optional anymore.
It is one of the most underpriced, underutilized, and high-ROI traffic sources in digital marketing today.
With:
Lower costs
Higher-intent users
LinkedIn data
Native Audience Ads
Easy Google import
Strong desktop market share
Improved AI-driven features
…Microsoft Advertising is no longer “Google’s little brother.”
It’s a competitive ecosystem in its own right—and your campaigns can scale profitably if you use it correctly. Discover how our Bing Ads experts can build and optimize campaigns tailored to your business.
About Marketing LTB
Marketing LTB is a full-service marketing agency offering over 50 specialized services across 100+ industries. Our seasoned team leverages data-driven strategies and a full-funnel approach to maximize your ROI and fuel business growth.
About the author, Bill Nash
Bill Nash is the CMO of Marketing LTB with over a decade of experience, he has driven growth for Fortune 500 companies and startups through data-driven campaigns and advanced marketing technologies. He has written over 400 pieces of content about marketing, covering topics like marketing tips, guides, AI in advertising, advanced PPC strategies, conversion optimization, and others.