Why Smart Advertisers Are Moving Budget to Bing

The Advertising Channel Everyone Ignores

Ask ten digital marketers about their paid search strategy, and nine will talk exclusively about Google. The tenth might mention they "tried Bing once" before going back to Google.

This is a massive blind spot—and a significant opportunity for advertisers willing to look beyond the obvious.

Microsoft Advertising (formerly Bing Ads) reaches over 100 million unique searchers in the US alone. More importantly, these searchers tend to be older, wealthier, and further along in their buying journey than the average Google user.

Yet most advertisers ignore it entirely or treat it as an afterthought.

The Numbers That Matter

40% Lower CPCs (On Average)

Across the accounts we manage, Microsoft Ads consistently delivers CPCs that are 30-50% lower than Google for the same keywords. In some industries, the gap is even wider.

Why? Simple supply and demand. Fewer advertisers competing for the same clicks means lower auction prices.

Higher Conversion Rates in Key Demographics

Microsoft's user base skews older and wealthier:

• 40% of Bing users are 45+ years old
• Average household income is $75,000+
• Higher proportion of decision-makers in B2B contexts

For products and services targeting affluent professionals, this demographic advantage translates directly to better conversion rates.

33% of US Desktop Search Market

Many advertisers dismiss Bing because "nobody uses it." The data tells a different story. Microsoft's search network—which includes Bing, Yahoo, AOL, and partner sites—captures roughly one-third of desktop searches in the US.

That's not a niche. That's a major channel.

Why Bing Works Better for Certain Industries

B2B and Professional Services

LinkedIn integration gives Microsoft Ads targeting capabilities Google can't match. You can layer LinkedIn profile data onto search campaigns—targeting by company size, industry, job function, and seniority.

For B2B advertisers, this is game-changing. Instead of bidding on generic keywords and hoping decision-makers click, you can specifically target CMOs at enterprise companies searching for your solution.

High-Consideration Purchases

The older, more affluent Bing demographic means higher purchase intent for:

• Financial services and insurance
• Real estate
• Luxury goods and premium products
• Healthcare and medical services
• Professional education

These audiences have the money to spend and the patience to research before buying.

E-Commerce with Older Demographics

If your products appeal to 35+ consumers, Bing should be a priority channel. The platform over-indexes in categories like:

• Home improvement
• Travel and hospitality
• Consumer electronics
• Health and wellness

How to Set Up Bing Ads Effectively

Import from Google (But Don't Stop There)

Microsoft makes it easy to import your Google Ads campaigns directly. This is a good starting point, but it's not a strategy.

After importing:

1. Review all imported settings manually
2. Adjust bids down 20-30% (you'll likely still win auctions)
3. Remove any Google-specific features that don't translate
4. Set up Microsoft-specific extensions (LinkedIn targeting, action extensions)

Leverage Microsoft's Unique Features

LinkedIn Profile Targeting:

• Target by company, industry, or job function
• Layer onto search campaigns for B2B precision
• Create custom audiences based on professional attributes

Microsoft Audience Network:

• Native ads across Microsoft properties
• Often overlooked for prospecting
• Lower CPMs than Google Display Network

Action Extensions:

• Add clickable CTAs directly in your ad
• "Book now," "Get quote," "Contact us"
• Higher engagement than standard ads

Optimize for Bing's Algorithm

Microsoft's algorithm behaves differently than Google's. Key differences:

Broad Match Is Broader:

Bing's broad match is more aggressive. Consider starting with phrase match and exact match to maintain control.

Quality Score Factors:

• Historical CTR carries more weight
• Landing page relevance is weighted differently
• Expected impact of ad extensions matters more

Conversion Tracking:

Set up UET (Universal Event Tracking) properly—it's essential for optimization. Many advertisers import campaigns but skip this step, leaving Microsoft blind to conversions.

Budget Allocation Strategy

The 80/20 Starting Point

If you're new to Microsoft Ads, start with 20% of your search budget. This gives you enough data to optimize while limiting risk.

Month 1-2: Run imported campaigns, gather data

Month 3-4: Optimize based on performance data

Month 5+: Scale winning campaigns, potentially increase allocation

When to Increase Bing Budget

Increase your Microsoft allocation when:

• CPAs are consistently lower than Google
• Conversion quality is comparable or better
• You've maxed out Google impression share in key campaigns
• You need to scale without inflating CPCs

Industries Where Bing Should Be 30%+ of Budget

Based on our data, these industries see strong enough Bing performance to justify larger allocations:

• Financial services: 30-40% Bing
• B2B SaaS: 25-35% Bing (with LinkedIn targeting)
• Travel: 30-40% Bing
• Healthcare: 25-35% Bing
• Real estate: 30-40% Bing

Common Bing Ads Mistakes

Mistake 1: Set and Forget After Import

Importing Google campaigns is step one, not the whole strategy. Bing requires its own optimization cadence.

Mistake 2: Ignoring Device Modifiers

Bing's mobile vs. desktop split differs from Google. Review device performance and adjust bids accordingly—often you'll want to bid up on desktop more aggressively.

Mistake 3: Not Using Audience Targeting

Microsoft's audience features, especially LinkedIn integration, are underutilized. Layer these onto search campaigns for dramatic improvements in B2B accounts.

Mistake 4: Same Bid Strategy as Google

Bing auctions are less competitive. You can often achieve top positions with lower bids than you'd need on Google. Test aggressive position targeting with lower CPCs.

The Bottom Line

Microsoft Advertising isn't a Google replacement—it's a complement. Smart advertisers use both channels, capitalizing on Bing's lower costs and unique audience while maintaining Google's scale.

If you're spending $5K+ monthly on Google Ads and haven't tested Microsoft, you're leaving money on the table. The setup is straightforward, the costs are lower, and the audiences can be highly valuable.

Want help evaluating whether Microsoft Ads makes sense for your business? Our audit includes a cross-platform opportunity analysis that identifies where you're over-invested and where untapped potential exists.