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By Benchmarketing Research Team Reviewed by Performance Marketing Editorial Reviewed March 2026 · observations Q1 2023 – Q4 2024Cross-industry averages · Microsoft Ads Search · 2026
2.83%
Avg CTR, microsoft Search
Home Services and Education show the strongest CTR due to local search dominance and strong Bing usage among older demographics. Legal and financial services have the highest CPC due to high-LTV competitive bidding.
| Industry | CTR | CPC | CVR | CPA |
|---|---|---|---|---|
| Financial Services | 2.14% | $2.48 | 3.2% | $71.80 |
| Healthcare | 2.68% | $1.82 | 3.4% | $51.20 |
| Legal | 1.94% | $2.91 | 2.8% | $98.40 |
| Home Services | 3.12% | $1.38 | 3.8% | $34.80 |
| Insurance | 2.44% | $2.14 | 2.6% | $78.60 |
| Ecommerce | 2.88% | $0.94 | 2.4% | $38.60 |
| Real Estate | 2.52% | $1.74 | 2.9% | $58.20 |
| Education | 3.08% | $1.22 | 3.6% | $32.40 |
| Automotive | 2.74% | $1.48 | 2.7% | $54.80 |
| B2B Services | 2.38% | $2.08 | 2.2% | $88.60 |
Microsoft delivers comparable CPA to Google at dramatically lower CPC — the volume gap is the key trade-off. For high-margin businesses where CPA is the primary KPI, Microsoft is a highly efficient incremental channel.
| Metric | Microsoft | Key Takeaway | |
|---|---|---|---|
| Avg CTR (Search) | 2.83% | 6.11% | Google higher due to higher intent volume |
| Avg CPC | $1.54 | $4.22 | Microsoft ~63% lower CPC |
| Avg CVR | 2.94% | 7.04% | Google higher CVR from intent |
| Avg CPA | $49.40 | $53.52 | Similar CPA despite lower traffic volume |
| Avg CPM | $6.80 | $38.40 | Microsoft dramatically lower CPM |
| Market Share (US) | ~6% | ~89% | Volume gap is the key constraint |
Lower CPC makes Microsoft uniquely efficient for high-CPL verticals
Microsoft Ads delivers average CPC of $1.54 vs. Google's $4.22 — a 63% discount for reaching search intent audiences. In high-CPL verticals like legal ($2.91 Microsoft CPC vs. $6-8 Google), financial services, and insurance, Microsoft Ads can deliver comparable CPA at dramatically lower cost. For any advertiser pricing out of Google Ads, Microsoft should be the first tested alternative.
Bing audience skews older, higher-income, and more Windows-centric
Microsoft's search audience demographics are distinct from Google's: Bing users are disproportionately 35–65, higher household income ($75k+), more likely to use Windows devices and Microsoft Edge. For financial services, healthcare, home improvement, B2B software, and retirement-focused products, this demographic alignment is an advantage, not a consolation. Some advertisers specifically prefer the Bing audience.
Google Ads import makes campaign setup near-instant
Microsoft Ads offers a direct Google Ads import feature that copies your existing Google campaigns, ad groups, keywords, and ads into Microsoft Ads in minutes. Most advertisers are live on Microsoft within 2 hours of deciding to test it. The only customization required: Microsoft-specific keyword match types and bid adjustments for the volume difference. This low setup cost makes the ROI test straightforward.
LinkedIn profile targeting is a unique Microsoft Ads feature
Microsoft Ads has an exclusive feature not available on Google: LinkedIn profile targeting. Advertisers can layer LinkedIn Company, Job Function, and Industry data onto Microsoft Ads campaigns. This makes Microsoft Search uniquely powerful for B2B advertisers who want search intent ("enterprise CRM software") combined with professional targeting ("targets: VP of Sales at companies 200-1000 employees").
Microsoft Ads is not a copy-paste of Google. Specific optimizations unlock its unique advantages.
Import from Google Ads and adjust bids down 30–50%
Use Microsoft Ads' Google Import tool to copy your campaigns in minutes. Then reduce bids — Microsoft has a less competitive auction, so Google-level bids typically result in overpaying. Start at 50–70% of your Google CPCs and adjust upward based on actual CPA performance over 2–4 weeks.
Layer LinkedIn profile targeting on B2B campaigns
In Campaign Manager, add LinkedIn targeting layers (Job Function: IT Decision Makers; Industry: Financial Services; Company Size: 200–1000) to your B2B keyword campaigns. Use as an observation bid modifier first (+20% for target segment) before restricting traffic entirely. This uniquely powerful Microsoft feature is unavailable on Google and enables precise professional targeting on top of search intent.
Prioritize local service categories where Bing dominates
Bing has disproportionate usage share among Windows PC users in office environments — this skews toward certain local service categories. Home improvement, financial services, healthcare, and insurance see strong Microsoft search volume from a desirable 35+ demographic. Check your Google Search Console demographic breakdown; if your converting users skew 35–65, Microsoft's audience alignment is particularly strong.
Use Automated Bidding after sufficient conversion data
Microsoft Ads' Target CPA and Target ROAS smart bidding requires at least 30 conversions in a 30-day window to function effectively. For new accounts, start with Manual CPC to build conversion history, then switch to smart bidding once you have sufficient data. Many advertisers under-invest in Microsoft (limiting data volume) and never enable smart bidding, leaving significant efficiency on the table.
Run Shopping campaigns for ecommerce alongside search
Microsoft Shopping Ads connect to your Google Merchant Center feed — no separate product feed required. Shopping ads on Microsoft achieve lower CPC than Google Shopping (often 40–60% lower) for the same products. Ecommerce advertisers running Google Shopping campaigns can be live on Microsoft Shopping in under an hour and typically see positive ROAS from day one due to lower auction competition.
Yes — for most advertisers running Google Search campaigns. Microsoft Ads covers roughly 6% of US search volume but delivers 63% lower CPC. The incremental revenue from Microsoft Search is almost always profitable since you already have Google campaigns to import. The main limitation is volume — Microsoft will never replace Google, but it is reliably additive. Budget 10–20% of your Google Search spend as an initial test.
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These benchmarks are drawn from a multi-source benchmark cohort aggregated across industries and regions, covering the period Q1 2023 – Q4 2024. Figures on this page come from the Benchmarketing benchmark dataset: thousands of curated benchmark observations spanning channels, industries, and US metro areas, refreshed on a published schedule. Every statistic traces to a named source — no anonymous “studies show.” Data is sourced from:
The Benchmarketing 4-Band Method reads every marketing metric against four percentile bands — P25 (bottom quartile), median, P75 (top quartile), and elite (top ~10%) — for a specific industry and channel, instead of a single cross-industry average. Averages blend brand and non-brand campaigns, $500/month and $500,000/month accounts, and unrelated industries into a number almost nobody actually has.
Benchmarks reflect median values across large sample sets. Your industry, business model, and account maturity will cause variation. Use P25/P75 ranges to understand realistic distribution.
Read full methodologyWritten by
Benchmarketing Research Team
Data & Analytics
Reviewed by
Performance Marketing Editorial
Senior Review
Last updated
Reviewed March 2026
Observation period: Q1 2023 – Q4 2024
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