Microsoft Ads vs Google Ads 2025 - cost, reach and audiences comparisons
5 Minutes Of Reading
June 24, 2025

Microsoft Ads vs Google Ads in 2025: Cost, Reach, ROAS & Strategy Comparison


If you’re running paid campaigns in 2025, you’re probably asking:

Should I stick with Google Ads or give Microsoft Ads a real shot?

Side-by-side comparison of Google Ads and Microsoft Ads in 2025 showing CPC, ROAS, and key strengths like mobile reach vs B2B targeting

Clicks are more expensive, competition is tighter, and AI is changing the game. Google Ads remains the giant, but Microsoft Ads, powered by Bing and LinkedIn, is quietly becoming a smart alternative, especially for B2B and desktop-first advertisers.

This guide provides a clear, data-driven comparison of both platforms, enabling you to optimize your budget and achieve the best return on ad spend (ROAS) this year.

 

Google Ads vs Microsoft Ads: Reach & Audience

Platform Market Share (2025) Audience Strengths Unique Features
Google Ads ~82% global Broad, mobile-heavy, global, Gen Z YouTube, AR/VR ads, massive scale
Microsoft Ads ~12% global / ~30% US desktop Older, affluent, B2B, desktop-focused LinkedIn targeting, MSN, Xbox, Outlook
  • Google Ads: Handles almost 90% of global searches and dominates mobile. If you want volume and visibility, Google leads the way.
  • Microsoft Advertising: Smaller share, but strong on desktop in the US/UK/Canada. The real edge? LinkedIn integration—target by job title, company, industry, or seniority. This makes Microsoft Advertising for WooCommerce especially valuable for store owners looking to tap into high-intent, desktop-first audiences

Key Takeaway: Use Google Ads for high-traffic, mobile, and broad reach. Use Microsoft Ads for cost-effective B2B, professional, or desktop-first targeting.

 

What Does a Click Cost in 2025?

Metric Google Ads Microsoft Advertising
Average CPC $2.85–$5.26 $1.50–$2.80
Competitive Verticals $7–$10+ $2–$4
Average CPA $48.00 $38.50
  • Google Ads: Higher CPCs, especially in competitive industries (law, finance, tech). You pay a premium for scale and mobile reach.
  • Microsoft Ads: CPCs are typically 30–70% cheaper. Great for testing new keywords or launching in new markets without burning your budget. According to Microsoft’s own performance data, Performance Max campaigns on Microsoft Advertising saw an average 32% CPA reduction and up to 3× ROAS uplift compared to search-only campaigns.

Pro Tip: Many advertisers start with 70% of their budget on Google and 30% on Microsoft, then adjust based on performance.

 

ROAS: Which Platform Delivers Better Returns?

Metric Google Ads Microsoft Advertising
Typical ROAS $3–$8 per $1 spent $4–$10 per $1 spent
Average CTR 3.25% 3.10%
Conversion Rate 4.10% 3.50%
  • Google Ads: With advanced tools like Performance Max and dynamic creative, many brands see strong ROAS, especially in eCommerce. Accurate Google Ads conversion tracking is key to validating those results. 
  • Microsoft Advertising: While volume is lower, efficiency is often higher. Microsoft’s internal benchmark data reports that brands using its Performance Max campaigns experienced 3× better ROAS and a significant drop in CPA. Add to that a 7% higher CTR for ads using image and multimedia formats (now making up over 70% of Microsoft Ads), and it’s clear the platform delivers strong per-dollar performance when optimized.

Bottom Line: If you want efficient growth or lead generation at a lower cost, Microsoft Ads may deliver stronger returns per dollar.

 

Audience Targeting & Platform Features

Feature Google Ads Microsoft Advertising
Audience Types Custom Intent, In-Market, Customer Match LinkedIn Profile, Custom Audiences
AI Campaigns Performance Max, Demand Gen Copilot-powered campaigns
B2B Targeting Uploaded lists Built-in by company, title, industry
Video Options YouTube, YouTube Shorts MSN, Outlook, Edge, Xbox
Ad Formats Search, Shopping, Video, AR/VR Search, Shopping, Video, Image
  • Google Ads: Best for video, mobile, and global campaigns. Advanced AI and automation, but B2B targeting is limited to uploaded customer lists.
  • Microsoft Advertising: Unique LinkedIn targeting for B2B, easier campaign import, and strong desktop/video placements. As of 2025, advertisers can target users by job title, industry, seniority, or company name – a native feature not available in Google Ads.

 

Privacy, AI, and Future Trends

  • Google Ads: Leading with Privacy Sandbox (cookie-less targeting), advanced AI for bidding and creative, and immersive ad formats.

  • Microsoft Advertising: Enhanced privacy controls (GDPR/CCPA), first-party data focus, and AI-powered creative tools. In 2025, Microsoft Ads integrates Copilot across campaign management and creative generation, allowing advertisers to auto-generate visuals, text, and format recommendations using generative AI.

 

When to Use Google Ads, Microsoft Ads, or Both

Use Google Ads if:

  • You need massive traffic and broad brand exposure.
  • Video ads or mobile campaigns are a core part of your funnel.

Use Microsoft Advertising if:

  • You want to reduce CPC and test keywords cost-effectively.
  • Your audience is primarily on desktop or in the B2B space.

Use both if:

  • You want to scale smart, lower blended CPA, and maintain reach.
  • You’re ready to optimize based on real performance data.

Sample Hybrid Plan:

Start with 70% of your budget on Google and 30% on Microsoft. Import Google campaigns into Microsoft Ads to save time. Apply LinkedIn targeting for B2B. Run a 30-day test, compare ROAS, CPC, and CPA, then reallocate based on results.

 

Industry-Specific Insights

  • Google Ads: Excels in eCommerce, retail, travel, and mobile-first brands.
  • Microsoft Advertising: Best for B2B, finance, professional services, and industries targeting older or desktop users.

 

Conclusion

In 2025, Google Ads is still the go-to for reach and versatility, but Microsoft Ads is the smart choice for cost efficiency, B2B, and desktop campaigns. The best strategy? Use both. Start with a split budget, track your data, and let performance guide your investment.

Test, measure, and optimize – your data will tell the story.

 

Frequently Asked Questions

 

Q. Is Microsoft Ads cheaper than Google Ads in 2025?

Yes, Microsoft Ads typically offers 30–70% lower CPCs and CPAs, especially in B2B and professional sectors.

Q. Which platform is better for B2B targeting?

Microsoft Ads, due to built-in LinkedIn targeting and a professional audience.

Q. Can I run the same campaign on both platforms?

Yes. Use Microsoft’s import tool to bring Google campaigns over, then customize targeting.

Q. How does privacy impact PPC in 2025?

Both platforms are privacy-first, using first-party data and AI to target users without cookies.

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Varsha Bairagi

SEO Specialist

Varsha is a Digital Marketing & SEO Specialist at Conversios, with deep expertise in on-page SEO, GA4 tracking, and performance optimization. She focuses on helping eCommerce brands grow through strategic content, analytics, and ad integrations.

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