Performance Marketing: What is It and How to Get Started
February 12, 2025
When most marketers think of paid search, Google Ads dominate the conversation. However, Microsoft Ads (formerly Bing Ads) is an untapped opportunity that often gets overlooked. Bing has a 10.51% market share and is available in over 238 countries and regions. It supports 105 languages and receives a significant amount of desktop traffic.
Microsoft Advertising offers a cost-effective and less competitive alternative to Google. It provides advertisers with more control and the opportunity to reach untapped audiences. If you’re seeking to diversify your paid search strategy, Bing Ads could be the game changer you’ve been waiting for.
Google has long dominated the search engine market, but Bing is quietly becoming a significant player. Microsoft’s powerful ecosystem seamlessly integrates Bing search, playing a crucial role in its growing prominence.
One of the main reasons for Bing’s growth is its integration with AI technologies. These technologies improve the user experience by providing more intuitive and conversational searches. This has attracted users looking for a more interactive way to engage with search engines.
Furthermore, Bing powers search for several platforms, like Microsoft Edge and Yahoo. It also serves as the default search engine for many devices, making it a convenient choice for users who don’t switch to alternatives like Google.
From a marketing perspective, Bing’s audience is distinct from that of Google. Bing users tend to be older, with 38% earning over $100,000 annually. This makes it ideal for industries like financial, real estate and professional services.
For businesses targeting affluent or niche demographics, Bing offers a way to connect with high-intent users overlooked on Google Ads. Also, Bing’s 8% market share in desktop searches demonstrates its value in reaching potential customers who prefer desktop browsing.
As more users seek personalised search experiences, Bing’s growth trajectory is expected to continue, particularly in markets where desktop usage remains strong.
Microsoft Ads provides a valuable alternative for businesses aiming to diversify their strategies. From reaching specific demographics to benefiting from higher desktop traffic, Bing offers key advantages that make them a strong contender in the paid search arena.
Google Ads undeniably holds the lion’s share, boasting about 9 billion daily active users and access to over 2 million websites, apps and videos via the Google Display Network. Google’s about 90% search engine market share makes it the top choice for advertisers seeking the widest reach in desktop and mobile searches.
However, Bing Ads should be considered. Bing holds about 10.51% of the search engine market, equating to over 44 million daily searches and reaching a unique audience potentially missed by Google Ads.
Bing is part of the Microsoft ecosystem, which includes Windows, Xbox, and Outlook. This helps Microsoft Ads reach specific groups like older, wealthier, and highly educated users. Besides Bing, Microsoft Ads also shows ads on other search engines such as Yahoo, AOL, and DuckDuckGo and on Microsoft platforms like MSN and Microsoft Edge.
Bing ads provide a more focused but powerful reach for businesses targeting specific audiences. Microsoft connects advertisers with valuable desktop traffic segments that Google might not reach.
Microsoft’s acquisition of LinkedIn has significantly enhanced Bing Ads’ targeting capabilities. Marketers can now refine their ads to target users based on job title, company size, industry and job function. This granular level of control makes it easier to connect with the right audience, ensuring their ads are shown to those with real purchasing power.
For instance, a financial advisory firm can leverage LinkedIn’s data to target C-level executives or senior professionals working in companies with over 500 employees within the financial sector. This level of precision is unmatched in Google Ads campaigns, where such detailed professional targeting isn’t available.
LinkedIn data integration allows marketers to create targeted ad groups and search ads for trust-based industries like law firms, accounting services, and consultancy firms. By aligning the right keywords with LinkedIn’s professional data, Microsoft Ads offers businesses more effective strategies to reach potential customers.
Microsoft Ads and Google Ads provide a wide range of options to help advertisers effectively reach their target audiences. The most common ad formats across both platforms include Responsive Search Ads, Display Ads, Shopping Ads, Video Ads, Call-Only Ads, and App Install Ads.
Google Ads offers robust features, with access to its Search and Display Networks, allowing advertisers to create Dynamic Search Ads, Shopping Ads, and Showcase Ads. These formats leverage Google’s expansive reach across millions of websites, apps, and services, making it highly effective for advertisers looking to maximise exposure.
Bing Ads offers similar ad types. But with a unique advantage: integration with Microsoft’s ecosystem, including search engines like Bing, Yahoo, and DuckDuckGo, as well as platforms like MSN, Microsoft Edge, and Outlook. One standout feature is Connected TV Ads, with Microsoft securing partnerships with Netflix. This allows advertisers to reach users via non-skippable ads on streaming services. Microsoft provides Retail Media ads for online shopping, offering high visibility in product search results.
With less competition on Bing Ads, advertisers can bid on keywords at a lower cost while maintaining strong visibility on the search engine. For example, an accounting firm targeting keywords related to tax services or financial planning might find that bidding on these terms through Microsoft Advertising results in a lower CPC than Google. This allows the firm to extend its first campaign reach and get more clicks within the same budget.
A Microsoft Ads case study highlighted Watches of Switzerland Group’s impressive advertising results. By implementing Cost Per Sale (CPS) campaigns, the luxury retailer achieved an 84% reduction in Cost Per Click (CPC) compared to their target ROAS campaigns. This strategy led to over £12,000 in revenue, 3,200 additional clicks, and a 16x Return on Ad Spend (ROAS), showcasing the cost-efficiency of Microsoft Advertising.
Brands can also take advantage of more targeted ad groups and bid strategies. This gives them greater control over their ad spend while still driving valuable desktop traffic. This makes it a game changer for companies looking to optimise their advertising budgets without sacrificing performance.
Microsoft’s advantage over Google is its ability to use LinkedIn profile targeting. This allows marketers to effectively target B2B audiences by honing in on key professional attributes. This precision is invaluable for connecting with decision-makers in specific sectors.
For example, a marketing agency looking to promote its services to large enterprises can use Microsoft Advertising to target users who are C-suite executives at companies with over 500 employees. This type of targeting ensures that ads appear in front of the most relevant potential customers.
Microsoft Ads are integrated across Bing, Yahoo, and other Microsoft properties, providing visibility on platforms professionals commonly use, including MSN, Microsoft Edge, and Outlook. These ad placements can be particularly advantageous for B2B advertisers looking to engage business professionals during their workday.
Bing Ads are effective at reaching specific groups of people. This platform provides tools to help advertisers connect with older, wealthy, and highly educated audiences. These groups often make important decisions in business and professional settings. Using these targeting tools can be a big advantage for companies trying to reach senior professionals or business owners with significant budgets.
Bing users tend to be older than Google users, with a significant percentage falling within the 35-54 age group. This is a prime demographic for industries like law, finance, real estate, and consulting services, where decision-makers often possess higher incomes and longer career tenures.
For example, businesses targeting affluent clients in the financial services sector can use Microsoft Ads to reach individuals with household incomes exceeding $100,000. This precision targeting ensures that ads are displayed to users with greater purchasing power, potentially leading to higher conversion rates.
Connecting with senior professionals and decision-makers is crucial in professional services industries such as legal, consulting and financial services. These individuals often use Bing as their primary search engine. This makes Microsoft Advertising an ideal platform for B2B marketers looking to engage this group.
For instance, law firms can create highly targeted ad groups for senior executives or business owners searching for legal services. By utilising search ads tailored to job titles like “CEO,” “CFO,” or “Managing Director,” firms can ensure their ads are displayed to the most relevant users. These users are often in the decision-making role and directly influence purchasing services, making Microsoft Advertising’s targeting capabilities particularly advantageous.
The ad appears on Bing and across platforms like MSN, Microsoft Edge, and even Yahoo, extending the reach of professional services ads to users across multiple platforms. This multi-platform visibility, combined with demographic precision, helps drive campaign performance for professional services firms looking to reach a more affluent and influential target audience.
This is especially useful for B2B campaigns, where reaching the right decision-makers is crucial. LinkedIn profile targeting lets advertisers target users based on their job titles, industries, company sizes, and more—capabilities not available with Google Ads campaigns.
For example, a marketing agency targeting finance or legal sectors can directly target C-suite executives or senior decision-makers. This approach ensures ad spending is focused on valuable segments, making Microsoft Ads a powerful tool for B2B lead generation.
Combining demographic targeting with custom audiences and LinkedIn profile targeting can significantly improve campaign results. By layering these targeting options, marketers can ensure that their Microsoft advertising campaigns reach the right demographic and users who have shown previous interest in relevant services.
For example, a property management firm looking to attract high-net-worth clients could combine demographic targeting (income level and age) with LinkedIn targeting to reach senior executives in industries like real estate or finance. Custom audiences can also be created based on users who have previously interacted with the firm’s website or content.
This multi-layered targeting approach provides greater control over campaign-level settings, allowing targeting refinement to reach the most qualified leads. This ultimately drives higher click-through rates and improves campaign performance.
Marketers must leverage the platform’s unique strengths and opportunities to maximise the return on investment with Microsoft Advertising fully. Below are actionable strategies and best practices for optimising your ad campaigns for higher ROI.
One of the simplest yet most effective strategies is to align your ad delivery with the peak times for your target audience. Ad scheduling allows you to control your Microsoft advertising, ensuring they’re shown when your potential customers are most active.
Bing ads for B2B campaigns perform better during regular business hours, especially when targeting decision-makers in finance, legal, or real estate. For consumer-focused campaigns, weekends or evening hours might generate more engagement. Microsoft Ads’ scheduling feature helps you focus on high-traffic times for better engagement.
Bid adjustments allow you to fine-tune your campaigns based on specific factors like device type, location, and user demographics. Microsoft Ads provides detailed data to help marketers understand which segments deliver the best performance.
For instance, if your ads perform better on desktop traffic than mobile, you can increase bids for desktop users to capitalise on that segment. Similarly, location-based bid adjustments can help businesses tailor their budget to high-performing geographic regions, increasing ad visibility in areas where potential customers are more likely to convert.
Demographic bid adjustments also play a crucial role in boosting ROI. If your data shows that users aged 45+ are more likely to engage with your ads in the financial or legal services industry, increasing bids for this age group can improve your campaign’s effectiveness without wasting resources on lower-performing demographics.
Microsoft’s landscape is less competitive than Google’s, allowing marketers to experiment without driving up costs. A/B testing is an essential practice for maximising ROI. Test different ad copy variations, headlines, and landing pages. Then, find the best-performing combinations that resonate best with your target audience.
For example, a marketing agency might test two versions of ad copy: one focused on value-driven messaging and another emphasising urgency or scarcity. Over time, A/B testing helps determine which messaging drives higher CTR and conversion. You can refine your ad strategy for maximum performance from here on.
Also, testing different landing pages lets you see which design, copy, or call-to-action yields the highest conversion rates. Once you’ve identified the top-performing elements, you can roll out these optimisations across other ad groups, ensuring your entire Microsoft ads account campaign is set up for success.
Another effective strategy for maximising ROI is using automated bidding strategies. Tools like Target CPA (cost per acquisition) and Maximise Clicks enable you to streamline campaign management and improve performance with minimal manual intervention.
Automating your bidding saves time on manual bid adjustments, allowing you to focus on higher-level campaign optimisation. Regularly monitor performance and adjust your goals based on insights from these automated strategies.
Integrating Microsoft Ads into a multi-platform PPC strategy, alongside Google and other advertising platforms, can maximise reach and improve cost efficiency. This allows marketers to deliver the right message to the right audience while optimising budget allocation across channels.
Consistency across Microsoft Ads and other platforms helps ensure your brand’s voice remains recognisable regardless of where potential customers see your ads. While consistency in branding is important, marketers should also tailor ad copy and creatives to suit the specific dynamics of each platform.
For example, Google Ads tends to have a younger, more tech-savvy audience, while Microsoft Ads reaches older, affluent, and more educated demographics. Microsoft Ads messaging should connect with decision-makers in professional services, finance, and legal industries, where these demographics are crucial.
By making subtle adjustments to your creatives—such as highlighting different product benefits or using tailored calls to action—you can ensure that your campaign performs well on each platform.
Start by allocating a smaller test budget to the platform to gauge performance. For instance, you might initially assign 20% of your total PPC budget to Microsoft Ads, while the majority is used for Google Ads or other platforms. This allows you to assess metrics such as cost-per-click, click-through rate, and conversion rates on your Microsoft Ads account without risking a significant portion of your ad spend.
If Microsoft delivers better results, you can gradually scale up the budget. This ensures you invest in the channels that generate the highest ROI, while maintaining a diverse platform presence.
Due to its lower competition, Microsoft often provides better value per click. This makes it an ideal platform for increasing reach without overspending.
By using analytics tools like Microsoft Advertising reports or third-party platforms, you can seamlessly compare essential metrics such as CPC, CTR and conversion rates between campaigns.
Tracking performance enables marketers to make data-driven decisions and adjust bids, budgets, and ad copy based on each platform’s strengths. A well-optimised multi-platform strategy ensures that businesses take advantage of each platform’s unique audience segments and ad formats.
Take your paid search strategy to the next level by exploring the untapped potential of Microsoft Ads. With lower competition, unique audience targeting through LinkedIn integration, and cost-effective ad placements, Microsoft Ads can help you reach high-value customers that Google Ads might miss.
Contact Evolving Digital today for expert PPC management and tailored Microsoft Ads solutions.
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