insights | 06.08.2024

Microsoft Advertising or Google Ads – which one should you use?

Article topics

What is Microsoft Advertising?
What types of ads are available on Microsoft Advertising?
How is Microsoft Advertising similar to Google Ads?
How is Microsoft Advertising different to Google Ads?
Is Microsoft Advertising hard to use?
Is Microsoft Advertising cheaper than Google Ads?
Does Microsoft Advertising have lower conversion rates than Google Ads?
Microsoft Advertising or Google Ads – which one is right for you?

Pay-per-click (PPC) advertising is a brilliant way to find new customers and give shoppers the nudge they need to make a purchase.

However there are a range of PPC platforms out there, and it’s important to find the one that will bring the best return on investment for your business.

We’ve already looked at paid search and paid social, but let’s drill down a little deeper into paid search.

While many businesses use Google Ads for paid search, there is another option out there – Microsoft Advertising.

Is Microsoft Advertising the right choice for your business? In this article, we’ll look at how Microsoft Advertising works, the different types of ads available and whether it’s a good alternative to Google Ads.

What is Microsoft Advertising?

Microsoft Advertising (or Microsoft Ads) is Microsoft’s own PPC advertising system, built to rival Google Ads. It shows adverts on Bing, as well as platforms including Yahoo, AOL, and DuckDuckGo.

Like Google Ads, Microsoft uses auctions to determine which ads to show. You choose your keyword and the maximum amount of money you’re willing to bid, and Microsoft Ads identifies which ads to display.

Microsoft Advertising was originally known as Bing Ads.

What types of ads are available on Microsoft Advertising?

Like Google Ads, there are a range of ad types you can take advantage of with Microsoft advertising.

1. Search Ads

These are text-based ads that appear in the search engine results.

You can identify an ad from an organic result by the small ‘ad’ icon next to the ad copy.

Interestingly you can target search ads in Microsoft Advertising by device and operating system – you can’t do this with Google Search ads. We’ll look at some other ways Microsoft Ads and Google Ads differ later in this article.

2. Product Ads

Also known as Shopping Campaigns, you can use these ads to promote items for sale in your eCommerce store. Like Google Shopping Ads, you must upload your products to a Merchant Center to get started – in this case, Microsoft’s own version.

Also like Google Shopping Ads, you can upload your products, and they will appear in the Bing Shopping tab free of charge.

3. Display Ads

Microsoft Ads has its own Display Ads Network, which shows image-led ads to prospective customers. You can use Display Ads on both Google Ads and Microsoft Ads to retarget prospective customers.

While it isn’t as extensive as Google’s Display Ads Network, your Microsoft Ads can appear on sites including MSN, Outlook, and Microsoft Start. Your ads can also appear on partner sites like The Weather Channel – the exact sites will depend on your location.

You can also advertise in the Windows Smart Search results, meaning you can target people while they’re on their computer or laptop.

4. Vertical Ads

Vertical Ads target specific industries like travel, finance, and retail, and appear on selected partner sites, as well as within Bing.

The difference between Vertical Ads and Display Ads is that these ads use artificial intelligence (AI) to determine placements.

For example, let’s say you sell holidays through your website. If a prospective customer has been looking at holidays on a competitor’s website, it increases the chances of your ad being shown.

5. Multimedia Ads

Multimedia Ads are exclusive to Microsoft Advertising. These image-led ads appear at the side of the Bing search results and can run alongside your search ads for additional exposure.

Only one Multimedia Ad is shown per search, providing a degree of exclusivity.

6. Video Ads

While you can’t showcase your ads on YouTube like you can in Google Ads, you can still create targeted video ads.

These are served on selected publisher websites. You can also promote your ads on streaming platforms like Netflix, Hulu, and Roku.

As you can appreciate, there are a few ad types that are exclusive to Google Ads. These include Gmail Ads, as well as Discovery Ads – which appear on Gmail, YouTube, and Discover.

How is Microsoft Advertising similar to Google Ads?

Google Ads and Microsoft Ads have a lot of similarities. Not only do they have ad types in common, as we saw in the previous section, but the platform setup is more or less identical.

We’re confident that this is intentional on Microsoft Advertising’s part. Given that 80% of businesses use Google Ads, it’s in Microsoft Ads’ best interest to keep the learning curve simple!

In our experience, the features that Google Ads implements (or takes away) are eventually reflected in Microsoft Ads. For example, Google Ads sunsetted expanded text ads at the end of June 2022, and Microsoft Ads sunsetted them in February 2023.

Here are some other ways the two PPC platforms are similar.

Both use Quality Scores to determine where ads should rank
Both offer AI tools to help businesses create ad copy and assets
Both use Assets (Google Ads) and Ad Extensions (Microsoft Advertising) to help businesses add extra information to their search ads – although the extensions on offer are slightly different
Both offer a downloadable tool for editing campaigns in bulk, as well as a mobile app for making changes on the go

How is Microsoft Advertising different to Google Ads?

While both PPC platforms are similar in many ways, they also differ. These differences can be the deciding factor in helping you choose which platform to use for advertising your business.

Here are some of the key differences between Microsoft Ads and Google Ads.

1. Microsoft Advertising lets you advertise on a range of search engines

While Google Search Ads only appear on Google, Microsoft Ads don’t just show ads on Bing but also on AOL, Yahoo, and, most recently, DuckDuckGo.

It’s also the search engine of choice for Xbox and Cortana.

While these search engines don’t have the market share that Google does, Microsoft Advertising can give you an advantage if you know your ideal customers use these sites.

2. There’s less competition with Microsoft Advertising

According to W3Techs, less than 0.1% of all websites use Microsoft Advertising.

This means less competition for those that use it. This generally equates to less money spent, although this isn’t always the case – we’ll look at this in more detail later.

3. The target audience is different on Microsoft Advertising

A very particular demographic uses Bing. This means that when you use Microsoft Ads, you’re showing your ads to a different audience than you are with Google.

Microsoft Ads viewers are:

Older than Google users
More likely to be male
Spend 32% more than the average internet user
More educated, with 50% having a university degree
More likely to live in the US

Not only this, but Bing users are more likely to search on desktop than mobile, with Bing having a 17% PC market share.

If you’re selling certain products and services online, this can have a significant impact on whether you use Microsoft Advertising or not.

4. The ad marks in Microsoft Ads are more subtle

Some people don’t like clicking on ads, which can mean no traction for your PPC campaigns. According to Varn, nearly 80% of people refuse to click on Google Ads when they see them in the search results.

In the past, Microsoft Search Ads didn’t have markings distinguishing them as ads. This has now changed, and there is now a small ‘ad’ mark, but this is still much more discreet than the markings on Google Search Ads.

Compare and contrast – here’s Microsoft Ads:

If your target audience isn’t keen on ads, you can use this to your advantage and encourage clicks.

5. You can use data from LinkedIn

If you operate in the B2B sector, Microsoft Advertising allows you to target customers based on certain information in their LinkedIn profiles. You can’t do this using Google Ads.

For example, let’s say you sell SaaS accounting software, and you want to promote your software to finance directors. You can target prospective customers based on their job title, showing them relevant search ads.

You can also target people based on the company they work for and the industry they work in.

Is Microsoft Advertising hard to use?

If you already use Google Ads, you’ll find Microsoft Advertising easy to navigate and use, as both platforms are similarly designed.

You can also export your ad campaigns directly from Google Ads into Microsoft Advertising, which makes it easier to get up and running.

What if you’re new to PPC and Microsoft Advertising is the first platform you’ve used? In our experience, Microsoft has fewer features and targeting options than Google Ads, so it’s simpler to get started. Plus, there’s free training available online if you need extra help.

Is Microsoft Advertising cheaper than Google Ads?

Microsoft Advertising is typically more affordable than Google Ads. The average cost-per-click (CPC) on Microsoft Advertising is £1.21 ($1.54), while the average CPC on Google Ads is £3.31 ($4.22).

However, this cost can vary depending on industry. In some situations, Microsoft Advertising can be more expensive than Google Ads. For example, a real estate ad on Google Ads costs £1.21 ($1.55), but £2.26 ($2.88) on Microsoft Advertising.

Why the difference? It all comes down to target audience. As Bing users typically have more disposable income, businesses will bid more to get them to spend on high-ticket items like cars, houses, and holidays.

Remember that a high CPC isn’t necessarily bad if you get a good return on ad spend at the end of it. Targeting your ads and using negative keywords can help ensure your ads appear in front of the people who are most likely to buy.

Does Microsoft Advertising have lower conversion rates than Google Ads?

Studies show that Google Ads has a higher conversion rate than Microsoft Advertising. This is likely because more people use Google Ads, and there are more targeting options.

However, it’s important to note that your experiences with Microsoft Advertising might vary, and the conversion rate can depend on what you’re selling and the industry you’re in. Here are some tips for ensuring your ads drive high conversion rates.

Create highly targeted landing pages for each ad
Write relevant ad copy that reflects the language used on your landing pages
Use negative keywords to stop your ads from showing to the wrong people
Test different ad copy and headlines to see which results in the most conversions

Microsoft Advertising or Google Ads – which one is right for you?

You now have a better idea about how Microsoft Advertising works and whether it’s a viable choice for your business.

Still not sure? Here’s a quick summary of why you might opt for Microsoft Ads.

It’s more affordable. Microsoft Advertising generally costs less than Google Ads, which can make it a good option if you’re on a tight budget
It’s geared towards a different audience. If your target audience is older or in a more professional field, you may find it easier to target them on Microsoft Advertising
It’s ideal for B2B businesses. You can use LinkedIn to target prospective customers, as well as older, well-educated users
It uses a different display ad network. If you want to target Microsoft-specific platforms like MSN or Outlook, or specific websites, you might want to consider Microsoft Advertising

Of course, there’s nothing to stop you from using Google Ads and Microsoft Advertising together. This can be a great way to reach a wider audience.

Need a hand setting up and optimising your PPC campaigns? Whether you use Microsoft Advertising, Google Ads, or paid social, we’re here to help.