Search Engine Marketing ChatGPT Generative AI

With ChatGPT integration Copilot growing Bing’s user base, advertisers must take note

By Lesley Menzies, PPC Lead

Space & Time

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February 13, 2024 | 5 min read

Bing’s chat function, Copilot, is far more than a fun AI experiment, says Space & Time’s Lesley Menzies. It’s making the world’s second-most popular search engine an attractive spot for advertisers.

The Bing logo

Bing's ChatGPT integration isn't just headline-grabbing, it might be genuinely transformative, says Lesley Menzies / Rubaitul Azad via Unsplash

It was once easy to dismiss any potential role for search engine Bing in your marketing strategy. Eclipsed by Google, it had a low market share, and there was a prevalent (if skewed) perception that it catered to a limited, older demographic.

Consequently, historically, many businesses played it safe with Bing, plowing their entire search budget into Google.

Bing, ChatGPT, and the early adopter market

But Bing has been experiencing consistent growth since 2015. The latest Ofcom Online Nation report showed that Bing’s UK online adult reach rose from 33% in January 2023 to 46% in May 2023. This growth was no doubt driven by Bing’s announcement that it would be integrating ChatGPT into its search engine in February 2023, bringing the much-needed early tech adopter audience to Microsoft.

This enhanced AI-powered search has seen roughly a third of the ‘new’ Bing’s users using the chat functionality daily, with usage skewed to young adults across all verticals. This significant shift in user behavior means that Bing now offers a real opportunity for advertisers seeking a new audience. But how exactly do we capture them?

What is the advertising opportunity?

The AI capabilities of Bing Chat (now ‘Copilot’) can help to make advertisers’ lives easier, from providing asset recommendations and content creation to performing as a chatbot to answer your queries on specific advertising products or reports. It’s a useful tool to have in any advertiser’s arsenal.

Microsoft’s internal data shows intent on Copilot skews toward ‘information seeking’, which can then trigger commercial ads. While Microsoft has ensured that the most popular search ad formats are already carried over into Chat, it’s more focused on creating the most relevant, engaging experiences for users.

As such, expect the search engine to begin testing bespoke conversational ads early this year. The first of these are called ‘compare & decide’ ads, which will pull relevant product data into a concise table, allowing the user to evaluate different options quickly and easily. This is only the beginning, though; Microsoft has promised that more formats will follow.

Microsoft also announced back in May 2023 that it would be launching an ‘Ads For Chat API’, which would provide publishers, apps and other online services with the opportunity to customize their chat experiences with ads. Social media channel Snapchat was an early adopter, integrating the Microsoft technology into its My AI chatbot feature. With over 22 million Snapchat users in the UK, this provides advertisers with a great way to serve users relevant content while they learn about topics and search for real-world recommendations.

The scale of the opportunity

Microsoft’s rebrand of Bing Chat to Copilot in November last year, with Android and IOS apps following in December, signals a sizeable ambition for the product. Copilot is also being rolled out directly in the Microsoft Ads platform.

And while huge progress has been made with generative AI over the past few years, there’s still a lot of untapped potential around search. In 2024, gen AI will continue to evolve rapidly; with Bing’s deepening connection to AI, its promise for reaching an incremental audience will only grow. Marketers should think twice about including Bing in their marketing plans and strategies.

Search Engine Marketing ChatGPT Generative AI

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