Microsoft sells ads on search results.  And like other search engines, Mircrosoft continually develops and improves its advertising offerings and tools.  Microsoft Adcenter is Microsoft’s complete search network advertising system.  It includes a unique pricing approach and a search engine optimization tool for excel – it helps advertisers find the best search terms for their ads.

Cost for Microsoft AdCenter

Advertisers control their costs based on a maximum desired costs – other search engines feature that.  But Microsoft’s unique approach is keyword bidding.  Advertisers bid on keywords:

• Broad Match Type – displays ads when keywords appear in any order.  For example, if the keywords are “giant elephant” the ad appears if someone searches “elephant giant.”
• Phrase Match Type – displays ads whenever a keyword or key phrase appears, even if he search includes other words.  For example, if the advertiser selects “giant elephant” the ad appears in a search for “giant elephant lettuce.”
• Exact Match Type – displays ads only when the keyword or key phrase exactly matches the search term.

Bids determine ad position.  For example, if two advertisers select the same keyword, “elephant,” then the higher bid ad appears above the lower bid ad more often.

Microsoft also provides a bid estimation tool.  It shows advertisers the expected costs if their desired keyword ads appear at the top.

Keyword Research in AdCenter

Microsoft’s keyword information goes beyond costs.  It includes an excel tool that analyzes keywords on:

• demographics
• search volume
• geography
• search relevance

With this, advertisers analyze and estimate all the important factors.  The idea is simple – the more advertisers target keywords, the more likely those keyword ads create user clicks, which becomes web site traffic and customers.

Conclusion

The Microsoft Adcenter keyword bid system helps Microsoft make more money, and it helps advertisers target their ads, and control costs.