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AI in action: Five insights to unlock marketing ROI for every brand

April 10, 2025
A young person wearing a loose shirt, shorts, black socks, and a backward cap is performing a skateboard trick in mid-air at an outdoor skatepark.

Generative AI (GAI) is proving itself as one of the most practical tools in the modern advertiser’s toolkit Brands of all sizes are leveraging Generative AI to maximize the impact of their advertising investments, delivering stronger ROI by optimizing both time and resources.

From instant copy generation to performance-boosting automation, GAI is changing the way brands reach new customers, boost interaction and achieve their ROI goals.

And in our recent Microsoft Advertising webinar, Kenneth Andrew and Anny Zhang shared insights on how to translate AI-powered tools into real business outcomes.

Here are five takeaways you can use right now.

1. Generative AI is your competitive edge

AI is fundamentally changing how we build, test, and optimize advertising campaigns. Copilot in Microsoft Advertising Platform gives marketers a head start by making it possible to generate headlines, visuals, and campaign insights in seconds. The ability to iterate visuals for different audiences, develop fresh takes on ad copy, and get actionable details to shape your strategy is just a click or prompt away.

For example, the "Try a Different Tone" feature helps you refine messaging fast. A company that sells a product might ask for ad copy that’s professional and engaging in one version and a second version that incorporates humor. GAI supports the level of personalization today’s buyers expect, helping tailor creative to different audiences and formats instantly to deliver that experience across campaign touchpoints at scale.

And it’s not just about working faster. GAI also helps you work smarter, an impact that can be seen in the bottom line and performance KPIs. Since the Copilot refresh in October 2024:

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AI-powered search and chat tools deliver significant impact — boosting click-through rates by 1.5x, improving conversion rates, and accelerating customer journeys by over 30% since the Copilot refresh.

2. Conversational AI is reshaping search and buying behavior

Conversational AI is changing how people find, explore, and buy, often collapsing the entire customer journey into a single moment. Consumers are using conversational search to discover and decide, often bypassing traditional funnels entirely. While the fundamentals of good SEO remain key, there are new opportunities to explore beyond keyword optimization for expanding reach and discoverability.

Gartner predicts traditional search engine volume will drop by 25% by 2026 as chatbots and AI-powered discovery take over. Marketers who get ahead of that shift will have a major edge. 

To prepare for AI-driven search discovery, brands need to optimize content and advertising for natural language and intent-based queries. 

With greater context, GAI can infer search intent and serve up hyper-personalized results. Using tools like Bing Webmaster Tools helps advertisers better understand content opportunities and performance. Investing in conversational-AI friendly content, such as optimizing for natural language and intent-focused search terms, can help brands stay visible as search behavior evolves.

3. Ad campaign automation and personalization with Performance Max

AI solutions are also making it easier to optimize campaigns in real-time with targeted actions that impact conversions. Performance Max campaigns use automation to run across Microsoft’s entire network, dynamically adjusting creative, bids, and targeting based on performance.

You architect the strategy with assets, signals, and goals. Performance Max then dynamically creates and optimizes ads across Microsoft properties. Microsoft's audience intelligence paired with ongoing A/B testing drives predictions about which ads, audiences, and creative could perform best.

Brands saw 1.7x higher CTR for their Performance Max campaigns when Copilot was present versus only using traditional search.1 So if your team is looking to scale up without overextending, Performance Max offers a high-impact way to do it.

4.AI takes the guesswork out of targeting high-value audiences

Microsoft Advertising leverages AI-powered audience intelligence signals to help you show your ads to the most valuable audiences, taking the guesswork out of targeting.

Our ecosystem offers access to more than 1 billion consumers, including many you won't find on other platforms. As of December 2024, according to Comscore data in the U.S., Microsoft reaches 221 million people not on Pinterest, 125 million not on Instagram, and millions more not active on Google, Facebook, or Amazon.2

These users aren't just different; they're valuable. Microsoft's internal data shows these audiences are 49% more likely to have high incomes and 20% more likely to make a purchase.3

By combining this extensive reach with AI-driven creative and audience targeting, you achieve more efficient spend and higher conversion potential. It's not just about more impressions; it's about better ROIs.

5. Future -proof your marketing: Start optimizing with AI and Microsoft Advertising today

You don’t need to overhaul your entire strategy to start seeing results. A few smart steps can help you begin experimenting and optimizing with AI right now:

  • Ensure your brand shows up in conversational AI canvases with Ads in Microsoft Copilot, so you can connect with your customers in meaningful ways.
  • Launch a Performance Max campaign and let automation do the heavy lifting, so your ads can show up across all Microsoft surfaces—including Microsoft Copilot, Bing, Edge, and more.
  • Copilot in Microsoft Advertising Platform can help you manage and optimize campaigns, generate on-brand assets, and answer your various questions instantly within the platform.
  • The key is to start small, test thoughtfully, and build from what works. If you’re not sure where to start, begin by identifying your biggest pain point, such as long waits for visual assets, and then start using AI to see measurable improvements there. 

AI marketing tools are already delivering results across industries, and they’re designed to be accessible whether you’re a one-person team or managing global campaigns. With Microsoft Advertising’s AI-powered capabilities, you can get more done, reach better audiences, and turn insights into outcomes.

Want to dive deeper? Watch the full webinar on demand to see these tools in action.

If you are new to Microsoft Advertising, take advantage of a free consultation with our team of experts to help you set up an account or get started today.

[1] Microsoft 1P data | Dec 2024 – Jan 2025

[2] Comscore, US data, December 2024

[3] GWI Core, Q1 2023-Q1 2024, Global; Comscore, US Data, June 2024; Microsoft internal data, 2024

Authors

  • Anny Zhang

    PRODUCT MARKETING MANAGER FOR SMALL AND MEDIUM BUSINESSES AND GROWTH, MICROSOFT ADVERTISING

    Anny Zhang