Skip to main content
Advertising

Download the Marketing with Purpose playbook to get actionable tactics to start your inclusive advertising journey today

Microsoft Advertising Blog
Page 1 of results

Upcoming Changes to Bid Adjustments in the Yahoo Bing Network

As part of our goal to constantly improve the product based on your feedback, we will be making some changes to the way incremental bids work in Bing Ads. These changes will not only give advertisers more options to control how bidding on keywords works to maximize ROI but will also ensure more accurate information is brought in when importing ad campaigns from Google AdWords.

Overview of Current Bid Adjustment Features

Bid adjustments allow you to better target customers by increasing or decreasing bids for customers that fit a particular criteria in a specific campaign or ad group.  For example, let's say you want to improve the odds of showing your ads to customers who live in the city of Chicago. Your bid on the keyword "shoes" is $1.00. You add a 20% incremental bid for people who live in Chicago. Now, when a search user in the targeted city searches for "shoes", your bid is $1.20 and you're more likely to have a winning bid that gets your ads displayed.

Today in Bing Ads if a particular search user matches against multiple bid adjustments, the adjustments are combined using addition. For example, assume you have set up the following bids and targeting:

  • Keyword bid = $1.00
  • Target location = Chicago, Incremental bid = Bid + 20%
  • Target days = Saturday, Incremental bid = Bid + 10%

Given the above data, the potential maximum amount for your bid is as follows:

Lives in Chicago

Searching on Saturday

Max bid

Search user #1

(Add .20)

(Add .10)

$1.30

Search user #2

(Add .10)

$1.10

Search user #3

(No matches)

(No matches)

$1.00

Bing Ads supports bid adjustments for geographical location, gender, age, day of the week, or time of day.  The range of supported bid adjustments is from 0% to 100% in increments of 10%. This means a 20% bid adjustment for people living in Chicago is supported but not a 17% bid adjustment.

An item of note is that today, bid adjustments are ignored when importing campaigns from Google AdWords. The key reason for this is that there is a significant discrepancy between how bid adjustments are supported in Google AdWords and how they are supported in Bing Ads. As part of our upcoming changes, we plan to support the importation of bid adjustments from Google AdWords. 

New Features: Negative Bid Adjustments, Bid Adjustments for Device Targeting and Increased Bid Ranges.

Later this year we will be making a number of changes to the bid adjustment feature based on your feedback. The first change is that we’ll support the ability to specify a negative bid adjustment for various criteria. For example, you may decide to adjust your bid by -20% if people are searching on Sundays because that may historically be a lower performing day for your business. 

Figure 1: Illustrative image showing updated dialog for bid adjustments in Bing Ads web site

Secondly, we will be adding support for adding bid adjustments for the device targets. This means as an advertiser you can either increase or decrease your bid if the searcher is on a desktop/laptop, tablet or smartphone. Given the different conversion rates one sees on mobile devices versus desktops and laptops, we believe providing this option will give advertisers a powerful tool to maximize their return on investment.

Figure 2: Illustrative image showing upcoming bid adjustments for device targets in Bing Ads web site

Both of these changes require that we update our range of supported bid adjustments. The new supported ranges will be as follows

  • Device bid adjustments will range from -90% to +300%
  • All other bid adjustments will range from -90% to +900%

Changes to how Multiple Bid Adjustments are Combined

As mentioned above, today when a target user matches against multiple bid adjustment in Bing Ads these adjustments are added together. We’ve received some feedback that the practice of adding together bid adjustments doesn’t align with industry practices or advertiser expectations in this space. This becomes especially problematic as we plan introduce negative bid adjustments to the system. For this reason, we will be adjusting bid adjustments so that they are combined as multiplicative percentages as opposed to being added together.

For example, assume you have set up the following bids and targeting:

  • Keyword bid = $1.00
  • Target location = Chicago, increased bid = Bid + 20%
  • Target days = Saturday, increased bid = Bid + 10%
  • Target gender = Male, decreased bid = Bid - 20%

Given the above data, the potential maximum amount for your bid is as follows:

Lives in Chicago

Searching on Saturday

Is Male

Max bid

Search user #1

(Multiple by  1.20)

(Multiply by 1.10)

$1.32

Search user #2

(Multiply by 1.10)

$1.10

Search user #3

(Multiply by 0.80)

$0.80

Search user #4

(No matches)

(No matches)

(No Matches)

$1.00

It should be noted that the maximum bid is increased in the multiplication-based model when multiple bid adjustments are combined. 

Recap and Timeline

In conclusion, advertisers will now get more capabilities when it comes to bid adjustments including the ability to specify negative bid adjustments, use higher bid ranges (maximum of 300% for device targets and 900% for others) and take advantage of more granular bid adjustment percentages. When these new features show up in Bing Ads, bid adjustments will be imported correctly from Google AdWords campaigns as opposed to being ignored as they are today. The timeline for these changes being generally available is at the end of the 3rd quarter of this year

To prepare for these changes, the way multiple bid adjustments are combined when a search query matches multiple conditions will be updated to use a multiplication based model rather than the current addition-based model. These changes will begin to roll out at the end of June.

Thanks again for your using Bing Ads and for your great feedback which has guided us in improving the product. I look forward to your feedback in the comments to this blog post.

Dare Obasanjo

Program Manager, Bing Ads Platform