Microsoft Advertising - is it worth the effort?

Microsoft Advertising was the last of the advertising systems settled in the Pay Per Click (PPC) model developed by the largest search engines. The Microsoft Internet search engine has been operating - in various forms - since 1998 as MSN Search. In 2006, the service changed its name to Windows Live Search, and in 2009 it changed its name to Bing.

The new name was chosen because of its similarity to the name of the game "Bingo!" and because it is easy to spell in almost any language.

In practice, therefore, the Internet search engine has been provided by Microsoft continuously since 1998. At the same time, an advertising network that would enable the promotion of its goods and services in search results was launched only in 2006. Previously, all ads were sold through an ad network provided by Yahoo!

What is Microsoft advertising?

In practice, Microsoft Advertising is a very similar product to Google Ads. It is an advertising network that allows you to reach out to an audience that uses the Bing search engine and a variety of Microsoft products.

Just like ads from Google, the Microsoft Advertising system is based on a rate per click, and the auction model determines whether a specific ad is displayed. As with Google ads, Microsoft allows users to target their ads according to specific user groups, primarily demographic.

How Microsoft Advertising differs from alternatives

Google bases its business model on its internet search engine. In Poland, this search engine is absolutely unrivaled and is used by 95 percent of users. Additionally, Google offers users an entire ecosystem of services, including e-mail (Gmail), shared documents and office suite (Google Workspace), and network storage (Google Drive).

Google is also the publisher of the most popular mobile system used by 71.7 percent of users in the world. This means that Google's reach is huge.

However, the majority of Microsoft services in Poland are used on desktop devices. Gemius data shows that Windows is installed on 93.4 percent of PCs. What's more, the Edge browser provided by Microsoft is the third most popular search engine in Poland (9.91 percent), right behind Chrome (52.45%) and Firefox (28.97%).

Microsoft is also the publisher of MSN.com - a website with information in Polish (and in many other local versions), which, according to Gemius data, was the tenth most popular website on the Polish Internet in January 2022 - with the data referring to pages viewed using PCs.

By offering an operating system for PC computers, its own search engine, internet portal, and an ecosystem of services, Microsoft is able to effectively reach target groups - sometimes even more effectively than in the case of services from Google.

Where Microsoft Advertising Reaches

In Poland, the domination of Google is absolutely unquestionable at the moment. However, on a global scale, Bing can successfully compete with the most popular search engine. According to Statista USA, 33% of users use the Bing search engine, 26% in the UK, and 17% in Canada.

The use of the Bing search engine among console users is also interesting. The Xbox consoles allow their users to browse the web using the Edge browser. Among the people who use the resources of the worldwide web in this way, 27.6% use the Bing browser.

So, unlike its main competitors in online advertising - Google and Facebook, Microsoft Advertising is able to keep the user on the shopping journey in an entirely own ecosystem. The Redmond company can be the seller of the hardware, operating system, search engine, and even the information portal that the user uses.

Desktop user

The Microsoft operating system continues to dominate desktops, including business and professional computers. This means that the Microsoft Advertising network can be an interesting option when a company wants to reach out with a B2B message to users who make purchasing decisions in companies, and conduct product research from their desktop computers, not their own mobile devices. Examples of such products include office supplies and consumables.

Console user

A similar example may be reaching users of game consoles with the message. In this case, the most obvious products are games and electronic gadgets. However, depending on the marketing message this channel may be of interest to specialist and niche retailers of furniture and similar accessories.

The context of using the console is completely different than that of a computer or a mobile device and advertising a more comfortable couch or widescreen TV can be a bull's eye.

International market

The US, UK, and Canada are just a few of the markets where Bing has a significant market share. The Microsoft Advertising network can be an interesting addition to your advertising mix to attract customers in those markets.

This approach is also facilitated by the fact that the campaigns carried out within the Google and Microsoft networks can be easily transferred and duplicated among themselves. This means that there is no need to create separate campaigns and creations for the needs of two networks, and marketers are free to shape their activities.

Development prospects

Another aspect that is worth considering with Microsoft Advertising is the prospect of further network expansion. According to recent leaks, Microsoft is testing the ability to display ads not only on content but also in other parts of the system, such as the file explorer.

At the moment, the company denies that there are product development plans in this direction, but perhaps this (or a similar) possibility will be considered in the future, which could be another way to reach users in new contexts.

Summary

Microsoft Advertising is an interesting and to some extent niche product that can become an interesting element of your existing advertising mix. From the perspective of brands that want to reach users of game consoles, this is an excellent option. In practice, according to Microsoft's data, the platform can reach up to a billion people around the world in various channels and contexts.

If you want to know more about how Microsoft Advertising can support your marketing efforts, please don't hesitate to contact us!