8 Microsoft Advertising Updates Including Predictive Targeting And Generative AI For RSAs via @sejournal, @kristileilani

Microsoft Advertising made several announcements in the past month about advertising capabilities for July 2023.

These updates span from unveiling Predictive Targeting, an AI-based tool for increasing ad conversions, to expanding Property Promotion Ads to include vacation rentals.

Learn how Microsoft plans to help advertisers reach more customers with greater efficacy and cost savings.

1. Predictive Targeting

Microsoft Advertising introduced Predictive Targeting, an AI-based advertising tool that uses machine learning to automatically identify and target new audiences for increased conversions, which could save advertisers’ time and boost campaign efficiency.

While it offers flexible application with existing strategies, potential downsides include losing control over target audiences and possibly wasted ad spend or brand damage if incorrect audiences are exposed to ads.

2. Generative AI And RSA

Screenshot from Microsoft, July 2023

Microsoft integrated generative AI into creating and editing responsive search ads (RSA), providing AI-generated headlines and descriptions based on the advertiser’s final URL.

The updated experience reportedly offers neatly categorized, high-quality, and diverse recommendations in 35 detected languages, enabling advertisers to select multiple suggestions in a single click.

You can also opt-in to auto-generation of assets, which dynamically creates assets when serving ads, enabling greater scalability and relevancy.

3. RSA IF Functions

Screenshot from Microsoft, July 2023

IF functions for RSAs could offer sophisticated targeting and ad customization based on device and audience.

This would reduce the need for separate campaigns and enables customized messages for specific user devices or audience segments.

4. Automated Multimedia Ads Within DSA Groups

Automated multimedia ads within Dynamic Search Ads (DSA) groups will reportedly utilize AI to automatically generate rich, visually engaging ads optimized for performance using your website’s content.

Combining users’ assets with machine learning technology, these ads will be displayed on the right side of the search results page and exclusive, with only one multimedia ad appearing per page per advertiser.

5. Property Promotion Ads For Vacation Rentals

Microsoft extended its Property Promotion Ads, which are highly visual ads designed to inspire potential travelers, including vacation rentals and hotels.

It allows travel advertisers to display more property offerings on Microsoft platforms.

Offering a rich, engaging experience with complete control over images and callouts, these ads could drive increased bookings with premium placements and automated management via familiar ad management workflows in the Microsoft Hotel Center, saving advertisers’ time.

6. Enhancements To Universal Event Tracking

Microsoft Advertising has enhanced its Universal Event Tracking (UET) tag dashboard, troubleshooting and monitoring UET events in real-time for more efficient testing and quality assurance.

Additionally, the UET overview tab now provides an expanded lookback period to review the performance of your tag across various dimensions, such as events, parameters, and event types.

7. Data-Driven Attribution Becomes Available

Screenshot from Microsoft, July 2023

Data-driven attribution (DDA) reporting became generally available, using advanced machine learning to calculate the actual contribution of each ad interaction on conversion, differing from the traditional Last Click Attribution (LCA) model.

This model comparison report, accessible through Reports > Default Reports > Performance > Conversion Model Compare, should allow for thorough analysis with a wide range of metrics at the ‘Keyword’ grain.

8. Deprecation Of Keyword Planner Legacy Features

Microsoft Advertising is deprecating several legacy features in Keyword Planner, including various service operations and the Product Category feature, due to their outdated nature and incompatibility with the system, effective August 21, 2023.

Help Improve Microsoft Advertising

The latest announcements by Microsoft Advertising underscore their commitment to fostering a more effective and intelligent advertising ecosystem.

Advertisers should look forward to continued improvements to targeting, more powerful analytics, and streamlined processes and always contribute by leaving feedback.

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