Overview of Cost Per Click (CPC) Comparison
Cost per click (CPC) is a key metric in pay-per-click (PPC) advertising, representing the average amount paid each time a user clicks on an ad. Google Ads, with its dominant market share, generally features higher CPCs due to intense competition, while Microsoft Ads (formerly Bing Ads) often provides lower CPCs thanks to a smaller but more targeted audience and less bidding pressure. Based on 2025 data, Microsoft Ads CPCs are typically 20-33% lower than Google Ads across industries.
Overall Average CPC Benchmarks for 2025
Averages vary slightly by source and methodology (e.g., U.S.-focused vs. global, search-only vs. all ad types), but the trend is consistent: Microsoft Ads are more cost-effective. Here’s a summary from recent reports:
Source | Google Ads Average CPC | Microsoft Ads Average CPC | Notes |
Improvado (Search Ads) | $2.32 | $1.54 | Based on 2025 search ad data; highlights lower competition on Microsoft. |
BrightBid | $2.85 | $1.45 | 2025 figures; Microsoft shows 20% lower cost-per-acquisition overall. |
Amra & Elma | ~$2.30 (implied) | $1.54 | Microsoft is 33% lower; U.S.-centric data as of April 2025. |
WordStream/LocaliQ | $5.26 | Not specified (combined avg. with Google) | Higher figure likely skewed by Google’s volume; suggests diversifying to Microsoft for cost savings. |
CPC by Industry (2025 Data)
Industry-specific CPCs fluctuate based on competition and keyword value. Data is more abundant for Google Ads; Microsoft Ads insights are sparser but show similar relative savings. Below are select examples:
Google Ads (from WordStream)
Industry | Average CPC |
Attorneys & Legal Services | $8.58 |
Dentists & Dental Services | $7.85 |
Home & Home Improvement | $7.85 |
Education & Instruction | $6.23 |
Beauty & Personal Care | $5.70 |
Restaurants & Food | $2.05 |
Arts & Entertainment | $1.60 |
Microsoft Ads (from Amra & Elma)
Industry | Average CPC |
Careers & Employment | $0.75 |
Apparel & Accessories | $0.91 |
Real Estate | $2.88 |
Key insights: High-value sectors like legal and real estate command premiums on both platforms, but Microsoft’s lower baseline makes it attractive for budget-conscious campaigns in B2B or niche areas.
Recommendations
- Choose Google Ads for maximum reach and high-traffic keywords, despite higher costs.
- Opt for Microsoft Ads (or a hybrid approach) to stretch budgets, especially targeting older demographics or professionals via Bing’s ecosystem.
- Factors like keyword competition, ad quality score, and bidding strategies can influence actual CPCs—monitor via platform tools for optimization.
For the most tailored benchmarks, consult platform dashboards or tools like WordStream Advisor.