Microsoft In-Market Audiences: Targeting Purchase Intent (2026)

Keywords tell you what someone wants right now.

Audiences tell you what they have been doing before the search.

That distinction matters.

A keyword is the moment.

An audience is the context.

A person searching:

crm software

could be many things.

They could be a business owner.

They could be a student.

They could be an employee writing a report.

They could be a founder comparing tools.

They could be a procurement manager shortlisting vendors.

They could be a competitor.

The keyword alone does not tell you enough.

This is where Microsoft In-Market Audiences help.

They add another layer of intent.

They help answer:

Has this person been researching this type of product or service recently?

That does not make them guaranteed buyers.

But it can make them more valuable than a generic searcher.

Microsoft says in-market audiences are curated lists of users determined to be in market and ready to buy within a category, based on intent signals including Bing search and user activity on Microsoft solutions. (Microsoft Learn)

That is powerful.

But only if you use it correctly.

The mistake is to treat in-market audiences as a replacement for keywords.

They are not.

They are a layer.

The best search campaigns combine:

1. Keyword intent.
2. Audience intent.
3. Location.
4. Device.
5. Time of day.
6. Conversion data.
7. Negative keywords.
8. Landing page relevance.

In this "Mega-Authority" guide, we cover:

1. Data Source: Where Microsoft gets the signal.
2. Bid Only vs Target & Bid: How to avoid killing volume.
3. Top Segments: Where in-market audiences are useful.
4. Seasonal Segments: How to use purchase windows.

The goal is simple.

Layer intent.

Do not restrict blindly.

---

Part 1: Microsoft's Data Advantage

Microsoft Advertising is not just Bing.

That is the first thing to understand.

Yes, Bing search is central.

But Microsoft also has a wider ecosystem.

Depending on market, product and privacy settings, Microsoft can use signals from across Microsoft properties and services.

That may include:

1. Bing search behaviour.
2. Microsoft Edge.
3. MSN.
4. Outlook.com.
5. Microsoft Start.
6. Microsoft Audience Network.
7. Microsoft account activity.
8. Windows ecosystem signals.
9. Search partner behaviour.
10. Microsoft-owned and operated properties.

Microsoft’s in-market audience documentation describes these audiences as based on Microsoft’s unique intent signals, including Bing search and user activity on Microsoft solutions. (Microsoft Learn)

That is the point.

Microsoft has its own view of intent.

It is not the same as Google.

It is not better in every case.

It is not worse in every case.

It is different.

And that difference can be valuable.

Why Microsoft Intent Can Be Useful

Microsoft’s audience often over-indexes in certain categories.

Common strengths can include:

1. B2B services.
2. Finance.
3. Insurance.
4. Automotive.
5. Travel.
6. Software.
7. Professional services.
8. Older and higher-income segments in some markets.
9. Desktop-heavy research journeys.
10. Workday search behaviour.

This does not mean Microsoft always wins.

It means you should not copy Google and ignore audience data.

Microsoft users can behave differently.

In-market audiences help you see those differences.

Example: CRM Software

Keyword:

crm software

Audience layer:

In-Market for Business Services

or a more specific relevant software or business segment where available.

A generic searcher may be weak.

A searcher who is also in a business-focused in-market audience may be more valuable.

This does not guarantee a sale.

But it can justify a higher bid.

Example: Used SUVs

Keyword:

used suv for sale

Audience layer:

In-Market for Autos

or a vehicle-specific segment where available.

A user searching and researching cars across Microsoft properties may be a stronger prospect than someone casually searching once.

Example: Mortgages

Keyword:

mortgage rates

Audience layer:

In-Market for Mortgages

This may help distinguish serious borrowers from casual readers.

But finance is regulated.

Always check policy and compliance.

The Important Warning

Do not write ads that imply personal knowledge.

Do not say:

Still looking for a mortgage?

or:

We know you are shopping for a car.

That feels invasive.

Use the audience in the bidding and targeting layer.

Keep the ad copy respectful and general.

---

Part 2: Targeting Mode

Audience setup can either expand intelligence or restrict reach.

This is where many advertisers make mistakes.

Microsoft Advertising lets advertisers associate in-market audience lists to ad groups or campaigns and target or modify bids for those audiences. (Microsoft Advertising Help)

In practical terms, you need to understand the difference between two modes:

1. Bid Only
2. Target & Bid

The wording can vary slightly depending on interface updates, but the logic matters.

Bid Only

Bid Only means:

Show ads based on the keyword. If the user is also in the selected audience, adjust the bid.

This is the safer starting point for most search campaigns.

Example:

Keyword:

crm software

Audience:

In-Market for Business Services

Bid adjustment:

+30%

Result:

The ad can still show for users searching crm software.

But if the user is also in the selected in-market audience, you bid more aggressively.

This is powerful because it does not cut off volume.

It adds a performance lens.

Target & Bid

Target & Bid means:

Only show ads when the keyword matches AND the user is in the selected audience.

This restricts volume.

It can be useful.

But it is dangerous if used casually.

Example:

Keyword:

crm software

Audience:

In-Market for Business Services

Targeting mode:

Target & Bid

Result:

You only reach people who both search the keyword and sit inside that audience.

That may improve conversion rate.

But it can reduce traffic sharply.

If the audience is too narrow, the campaign may struggle to spend.

Recommendation

For most Search campaigns:

Start with Bid Only.

Use positive or negative bid adjustments based on performance.

Only use Target & Bid when you have a deliberate reason.

Good reasons include:

1. Very broad keywords.
2. Expensive short-tail terms.
3. Limited budget.
4. High CPA risk.
5. Strong audience performance data.
6. Remarketing search campaigns.
7. Competitor campaigns.
8. B2B qualification.
9. High-value niche services.
10. Test campaigns.

Example Strategy

Broad keyword:

business software

This is vague.

You may use Target & Bid with a relevant in-market audience to reduce waste.

Specific keyword:

crm software for accountants

This already has strong intent.

Use Bid Only first.

Do not over-restrict.

Smart Bidding Warning

If you use automated bidding, manual audience bid adjustments may not behave in the same way as manual CPC.

Always check how Microsoft applies audience bid adjustments to your chosen bidding strategy.

Do not assume every lever works identically across every bid strategy.

Review performance after launch.

The principle remains:

1. Add audiences.
2. Observe performance.
3. Adjust based on data.
4. Avoid unnecessary restrictions.

---

Part 3: Top Performing Audiences

There is no universal best audience.

Performance depends on the account.

But some categories are especially worth testing in Microsoft Ads.

1. Financial Services

Finance often performs well on Microsoft because users may be older, desktop-based and research-heavy.

Potential audience categories may include:

1. Credit cards.
2. Mortgages.
3. Loans.
4. Insurance.
5. Investment services.
6. Banking products.
7. Tax services.
8. Retirement planning.
9. Personal finance.
10. Business finance.

Use carefully.

Finance advertising is regulated.

Do not make misleading claims.

Do not imply personal financial circumstances.

Do not overpromise approval.

Good ad copy:

Compare Mortgage Advice Options
Speak With A Qualified Adviser
Clear Guidance For Home Buyers

Bad ad copy:

Still struggling with debt?

2. Autos

Automotive intent is naturally research-heavy.

Users compare models, prices, reviews, finance options and local dealers.

Potential segments:

1. New cars.
2. Used cars.
3. SUVs.
4. Electric vehicles.
5. Car finance.
6. Auto insurance.
7. Car parts.
8. Servicing.
9. Luxury vehicles.
10. Commercial vehicles.

Search examples:

used suv near me

electric car lease deals

ford transit finance

Audience layering can help separate active buyers from casual browsers.

3. Software

Software research often takes multiple sessions.

A person may search:

crm software

then:

crm pricing

then:

best crm for small business

then:

hubspot alternative

In-market audiences can help identify commercial research behaviour.

Potential segments:

1. Business software.
2. Productivity software.
3. Cloud services.
4. Cybersecurity.
5. Accounting software.
6. CRM.
7. HR software.
8. Project management.
9. Marketing software.
10. Collaboration tools.

For B2B, combine audience layering with strong negative keywords.

Exclude:

jobs
salary
course
free
template
definition
login
support

4. Travel

Travel can perform well on Microsoft, especially where users research on desktop.

Potential segments:

1. Cruises.
2. Hotels.
3. Flights.
4. Package holidays.
5. Luxury travel.
6. City breaks.
7. Family holidays.
8. Business travel.
9. Travel insurance.
10. Car hire.

Use seasonality carefully.

Someone in-market for travel may be planning months ahead.

Ad copy should match the booking window.

5. Home and Property

Home improvement and property-related intent can be valuable.

Potential segments:

1. Home renovation.
2. Furniture.
3. Mortgage.
4. Estate agents.
5. Moving.
6. Garden.
7. DIY.
8. Kitchen design.
9. Bathroom design.
10. Home insurance.

For home services, use in-market audiences as a supporting layer.

Do not rely on them alone.

Urgent searches still matter most.

Example:

emergency plumber near me

The keyword is already strong.

Audience layering can help, but do not restrict emergency volume too much.

---

Part 4: Summary & Checklist

In-market audiences are not a magic switch.

They are a signal.

They help you understand who is more likely to be in a buying journey.

Used well, they improve bidding.

Used badly, they restrict reach and hide opportunity.

Your Action Plan:

1. Go to Audiences and find relevant In-Market segments.
2. Add 5 to 10 relevant lists to Search campaigns using Bid Only.
3. Wait at least 14 days before making major decisions.
4. Review CPA, ROAS, conversion rate and spend by audience.

Here is the deeper checklist:

1. Add relevant in-market audiences.
2. Start with Bid Only.
3. Use modest bid adjustments.
4. Do not add irrelevant segments.
5. Check performance after enough data.
6. Increase bids for strong audiences.
7. Reduce or exclude weak audiences where appropriate.
8. Test Target & Bid only when volume risk is acceptable.
9. Segment by campaign type.
10. Review monthly.

Layer your intent.

Do not guess it.

---

The Layering Strategy

The strongest use of in-market audiences is layering.

Do not think:

Keyword OR Audience

Think:

Keyword + Audience Context

The keyword tells you current intent.

The audience tells you recent research behaviour.

Together, they can improve your decision.

Example: B2B Software

Keyword:

project management software

Audience:

In-market business software segment

Bid adjustment:

+25%

Why?

The keyword shows active interest.

The audience shows wider commercial research.

This may justify a stronger bid.

Example: Generic Finance

Keyword:

business loan

Audience:

In-market finance or business services segment

Bid adjustment:

+20%

Why?

Finance clicks can be expensive.

You want to bid more for users showing stronger buying patterns.

Example: Broad Travel

Keyword:

cruise deals

Audience:

In-market cruises or travel segment

Bid adjustment:

+30%

Why?

Someone who has been researching travel is more valuable than someone making one casual search.

Layering Rules

1. Use audiences to increase confidence.
2. Do not over-layer too early.
3. Start broad enough to learn.
4. Use data before restricting.
5. Keep keyword relevance strong.
6. Use negatives to remove bad intent.
7. Watch volume.
8. Watch CPA.
9. Watch conversion quality.
10. Split tests where possible.

Bid Only vs Target & Bid

This decision changes everything.

Use Bid Only When

Use Bid Only when:

1. You want to learn.
2. You want to keep volume.
3. The keyword is already high intent.
4. You are adding audiences for bid adjustment.
5. You are not sure which segments perform.
6. Campaign volume is limited.
7. You are using exact or phrase match.
8. You are testing new audiences.
9. You want reporting data.
10. You do not want to restrict reach.

Use Target & Bid When

Use Target & Bid when:

1. The keyword is very broad.
2. Budget is limited.
3. CPCs are high.
4. You have strong audience proof.
5. You want a sniper campaign.
6. You are running RLSA-style campaigns.
7. You need to filter students or researchers.
8. You have a high-value segment.
9. The audience has enough size.
10. You are comfortable losing volume.

Common Mistake

A common mistake:

Add 10 audiences and set Target & Bid accidentally.

The campaign suddenly stops spending.

The advertiser thinks Microsoft Ads does not work.

But the real issue is targeting logic.

Always check the setting.

One audience setting can destroy volume.

Audience Bid Adjustment Framework

Start conservative.

Do not immediately add +100%.

You are still learning.

Suggested Starting Points

Do not set bid adjustments based on feelings.

Use performance.

Metrics To Review

Review:

1. Impressions.
2. Clicks.
3. CTR.
4. CPC.
5. Conversion rate.
6. CPA.
7. ROAS.
8. Revenue.
9. Lead quality.
10. Assisted value where available.

Conversion rate alone is not enough.

An audience may have high conversion rate but low volume.

Another may have lower conversion rate but strong total profit.

Judge by business impact.

Minimum Data

Do not overreact to tiny data.

Before changing bids, look for enough signal.

As a rough rule:

1. At least 100 clicks for early read.
2. At least 300 clicks for stronger confidence.
3. At least 10 conversions for directional CPA judgement.
4. More data for high-value B2B.

This is not a law.

But it stops panic decisions.

Seasonal Segments

In-market audiences become more useful when demand is seasonal.

People enter and leave buying windows.

The audience signal changes.

Travel

Travel intent is seasonal.

Examples:

1. January holiday planning.
2. Summer breaks.
3. Easter travel.
4. Christmas markets.
5. Cruise booking windows.
6. Ski season.
7. Business travel peaks.

Use audience layering before and during booking windows.

Do not wait until the last week.

Automotive

Car buying can be influenced by:

1. New plate releases.
2. Tax year.
3. Used car market shifts.
4. EV incentives.
5. Finance offers.
6. Weather.
7. Family life stages.

Layer auto in-market audiences during key sales windows.

Home Services

Seasonal examples:

1. Boiler repairs in winter.
2. Air conditioning in summer.
3. Garden services in spring.
4. Roofing after storms.
5. Gutter cleaning in autumn.
6. Pest control in warmer months.

In-market audiences can support campaign timing, but urgent keywords still matter most.

Finance

Finance categories can peak around:

1. Tax season.
2. Mortgage rate changes.
3. New year planning.
4. Business funding cycles.
5. Insurance renewal periods.
6. End of financial year.

Watch trends.

Adjust bid layers.

Reporting Workflow

Set up a monthly audience report.

Do not leave audiences added and forgotten.

Weekly Review

In the first month, review weekly:

1. Which audiences spend.
2. Which convert.
3. Which waste.
4. Which have no volume.
5. Which have high CTR.
6. Which have low CPA.
7. Which have good lead quality.
8. Which overlap with key campaigns.
9. Which need bid changes.
10. Which should be removed.

Monthly Review

Every month:

1. Increase bids for winners.
2. Reduce bids for weak segments.
3. Add new relevant segments.
4. Remove irrelevant segments.
5. Test one Target & Bid campaign if data supports it.
6. Review search terms alongside audience performance.
7. Compare Microsoft against Google.
8. Update negative keywords.
9. Review device and location interactions.
10. Document findings.

Audience work compounds.

The first week is setup.

The value comes from ongoing optimisation.

Search Terms Still Matter

Do not let audiences distract you from search terms.

A bad search term is still bad.

Even if the user is in a good audience.

Example:

Keyword match:

crm software

Bad search term:

crm software jobs

Audience:

In-market business services

This is still a bad click.

Add negatives.

Audiences improve signal.

They do not replace hygiene.

Use both.

Final Rule

In-market audiences are a second layer of intent.

Keywords tell you what the user is asking for today.

In-market audiences suggest what they have been researching recently.

When both point in the same direction, the click is more valuable.

That is when you bid harder.

When the signals disagree, be cautious.

Microsoft Ads works best when you combine platform data with human judgement.

Do not just add audiences.

Use them.

Measure them.

Then let the data tell you where the buying intent really is.