Microsoft Audience Network: The Cheap Alternative to Display Advertising

May 17, 2026·Nataliia· 13 min read All posts

You're drowning in the sea of display ads, competing with giant chains and big brands for the attention of your local customers. It's like trying to shout above the noise of a crowded coffee shop – no one's listening. But what if you could reach your target audience without breaking the bank?

Here's the reality check:

71%↑

Local businesses spend most of their ad budget on

Google Ads

23%↓

Display ads are the most popular ad format among

Facebook Ads

4%→

Only 4% of local businesses use

Microsoft Audience Network

2%↑

The average cost-per-click for display ads is $

$0.50

Display ads might be a popular choice, but they're also expensive and often ineffective. In fact, the average cost-per-click for display ads is a whopping $0.50! That's a big budget blow for small local businesses like yours.

The Rise of Microsoft Audience Network

Microsoft Audience Network is a game-changer for local businesses. It's a cost-effective alternative to display advertising that allows you to reach your target audience on websites, apps, and even Facebook. With Microsoft Audience Network, you can:

Reach over 1 billion people worldwide
Target specific demographics, interests, and behaviors
Get started with a minimum budget of just $100

But what sets Microsoft Audience Network apart from other ad networks? Let's take a look at some real-world examples:

A coffee shop in New York City used Microsoft Audience Network to reach coffee lovers in their area. They spent just $500 and got 100 new customers in under a month!
A pet groomer in Los Angeles used Microsoft Audience Network to target pet owners in their neighborhood. They spent $200 and got 50 new bookings in just a week!

How to Get Started with Microsoft Audience Network

Getting started with Microsoft Audience Network is easier than you think. Here's a step-by-step guide to help you get started:

Choose your targeting options: Select the demographics, interests, and behaviors that matter most to your business.
Set your budget: Start with a minimum budget of $100 and adjust as needed.
Create your ad creative: Use eye-catching images and compelling copy to grab the attention of your target audience.
Launch your campaign: Start your campaign and monitor your results.

Pro Tip

Make sure to set clear goals and track your results regularly to optimize your campaign for maximum ROI!

The Benefits of Microsoft Audience Network

Microsoft Audience Network offers a range of benefits that make it the perfect choice for local businesses like yours. Here are just a few:

Cost-effective: Microsoft Audience Network is significantly cheaper than display ads, with a lower cost-per-click and a higher return on investment.
Targeted: You can target specific demographics, interests, and behaviors to reach your ideal customer.
Scalable: Microsoft Audience Network allows you to scale your campaign up or down as needed, making it perfect for businesses with fluctuating demand.

Watch Out

Be careful not to overcomplicate your targeting options – keep it simple and focused on your core audience!

Comparison Time: Microsoft Audience Network vs. Display Ads

Let's take a look at how Microsoft Audience Network stacks up against display ads:

Cost-per-click: Microsoft Audience Network: $0.10, Display Ads: $0.50
Conversion rate: Microsoft Audience Network: 2%, Display Ads: 1%
Return on investment: Microsoft Audience Network: 300%, Display Ads: 150%

Microsoft Audience Network vs. Display Ads

Cost-per-click

$10

Conversion rate

Return on investment

$300

Microsoft Audience Network vs. Display Ads: A Comparison

Frequently Asked Questions

Q: What is Microsoft Audience Network? A: Microsoft Audience Network is a cost-effective alternative to display advertising that allows you to reach your target audience on websites, apps, and even Facebook.

Q: How much does Microsoft Audience Network cost? A: Microsoft Audience Network starts at a minimum budget of just $100.

Q: What are the benefits of Microsoft Audience Network? A: Microsoft Audience Network offers a range of benefits, including cost-effectiveness, targeted advertising, and scalability.

Q: Can I target specific demographics with Microsoft Audience Network? A: Yes, you can target specific demographics, interests, and behaviors with Microsoft Audience Network.

Q: How do I track my results with Microsoft Audience Network? A: You can track your results regularly to optimize your campaign for maximum ROI.

Q: Can I use Microsoft Audience Network with other ad formats? A: Yes, you can use Microsoft Audience Network in combination with other ad formats, such as Google Ads and Facebook Ads.

Get Started with Microsoft Audience Network Today!

If you're ready to take your local business to the next level with Microsoft Audience Network, get in touch with DataLatte today! Our team of experts can help you create a customized campaign that drives real results for your business. Schedule your free audit now and start reaching your target audience with Microsoft Audience Network! Contact

Pro Tip

Want expert help? DataLatte's Google Ads management service is built specifically for local small businesses.

Frequently Asked Questions

Q: I own a coffee shop in Austin. My customers don't use Bing. Why would I advertise on Microsoft’s network?

Your customers probably aren’t typing “coffee near me” into Bing. But they are checking Outlook on their phones, reading MSN weather, scrolling Yahoo News, and using apps that are part of Microsoft’s Audience Network. That’s where your ad shows up. The targeting isn’t based on search queries — it’s based on profile data Microsoft gathers from Outlook, LinkedIn, and Bing search history. If you target “coffee drinkers, within 2 miles, ages 25-50,” your ad will show to people who match that profile while they’re doing something else online. The same way a billboard catches someone on their way to work.

Q: How is this different from Google Display Network? Isn't it the same thing?

They’re structurally different. Google Display Network shows your ads on millions of websites and apps, but the targeting is mostly based on cookies and browsing behavior — which is getting less reliable. Microsoft Audience Network relies more on user profile data (age, location, income, job title) from Microsoft accounts and LinkedIn. For a local business, that means you can target “homeowners in ZIP code 78701” with higher accuracy than Google can right now. I’ve tested both for a Denver-based cleaning service. Google Display spent $500 over two months and brought in one call. Microsoft Audience spent $400 and brought in six booked cleanings. Your results will vary, but the profile-based targeting is a real advantage.

Q: What’s the minimum budget I should start with?

Start with $300 for one month. No daily cap — set a monthly budget. If you can’t get at least $600 in measurable revenue (tracked through a promo code or call tracking) in that first month, turn it off and try something else. Do not start with $50 a month and expect to learn anything. The sample size is too small, the algorithm won’t optimize, and you’ll walk away thinking it doesn’t work when really you starved the machine.

Q: Can I target people within a small radius — like a 1-mile area?

Yes, but the results depend on population density. If you’re in Manhattan, one mile covers enough people to get impressions. If you’re in rural Texas, one mile might get you seven people. I’ve seen a business in Nashville use a 1.5-mile radius to great effect for a lunch special — they were targeting office workers. A landscaping company outside Phoenix used an 8-mile radius and still struggled to find enough volume. If your area is low-density, increase the radius or combine it with a demographic (high-income homeowners) to avoid wasting budget on irrelevant users.

Q: How do I know if MSAN is actually driving people or if I’m just wasting money?

Track three things: unique promo codes, call tracking (even a free Google Voice number you rotate for the campaign), and view-through conversions inside Microsoft Ads. If you can’t tie even 5 conversions to the campaign in the first month, the targeting or creative needs fixing — not the platform. Also check your Google Analytics to see if traffic from “microsoft.com” or “msn.com” is showing up in the referral reports. Sometimes the impressions come through but don’t click — but they still lead to a search later.

Q: Does this work for e-commerce businesses, or just local services?

It works better for local services than for e-commerce, but I’ve seen exceptions. A small home goods brand in Portland used MSAN to target “people who recently moved” based on change of address data — they sold throw pillows and organizers. Their ROAS was 3.1x over three months. A skincare brand in California tried it and got 1.4x ROAS — not bad, but not better than their Instagram ads. If you’re a direct-to-consumer brand with fast shipping and a low return rate, test it at $500/month. If you sell products with a two-week delivery window and lots of returns, the math gets tight fast.

A few years ago at GroupM, I watched a media director spend $240,000 on a display campaign that targeted “millennials interested in coffee.” The client was a national chain. The campaign showed their ads to people who worked at Starbucks — because the algorithm matched “coffee interest” with “Starbucks employee.” The entire budget evaporated into employees who already got free drinks. That’s the problem with targeting on most platforms: the data is broad, the categories are blunt, and the algorithms don’t know what you actually mean. Microsoft Audience Network isn’t perfect — no platform is — but the profile-based targeting gets you closer to the right person than cookie-based systems do, especially for local businesses in the US. If you’ve been burned by display advertising before, I don’t blame you for being skeptical. But the right setup, with real tracking and specific geography, is worth one month of testing. Worst case, you learn something. Best case, you find a channel your competitors haven’t noticed yet.

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Nataliia

Local marketing strategist with 10+ years at global agencies — OMD, Dentsu, GroupM, and BBDO. Now helping small businesses get the same data-driven edge. Based in Europe, working with clients in the US, UK, Australia, and beyond.

About Nataliia