Generative AI: How Microsoft’s Copilot is shaping audience engagement

Personalized and direct interactions are now more important than ever. Generative AI is leading this change, helping companies connect with their audiences in more meaningful ways. Microsoft is embracing this approach, using AI to make its products more useful and tailored to everyday needs.

Microsoft Copilot: the heart of AI engagement

Central to Microsoft’s AI journey is Copilot, an AI companion designed to redefine how users interact with content. With its increasing popularity, Microsoft reports that consumer interactions with Copilot have doubled year-over-year. Notably, user journeys involving both Copilot and traditional search have surged by 85%, with even more growth observed on mobile devices.

Since its 2023 launch, Microsoft has been pioneering advertising through generative AI experiences. This includes integrating ads into Copilot, which has shown impressive results for advertisers. Copilot-driven ads boast a 69% higher click-through rate and a 76% increase in conversion rates when compared to traditional search ads.

A new era for user-centric advertising

Microsoft Copilot’s latest evolution focuses on creating a streamlined and personalized advertising experience. Ads now appear in a more user-friendly format, directly aligning with the conversation at hand. This new approach aims to make ads feel like a natural part of the user journey rather than an interruption.

One of the most significant changes is the introduction of “ad voice,” a feature that connects ads to the user’s ongoing conversation. This summary acknowledges the organic content and naturally introduces advertiser messages, making interactions feel less intrusive. These updates are rolling out across Microsoft’s platforms, including Bing and Edge, promising a more cohesive user experience.

Empowering advertisers with AI tools

Microsoft is extending AI’s capabilities to its advertising platform, helping advertisers improve productivity and creativity. With Copilot, advertisers can now access two new features:

Diagnostics: This feature acts as an extra set of eyes, inspecting campaign setups, assessing account health, and suggesting next steps, all through conversational engagement.

Performance Snapshot: This tool allows advertisers to receive quick performance updates for campaigns and accounts using natural language queries.

These features, developed in response to direct feedback from advertisers, aim to simplify campaign management while enhancing performance.

Shaping the future of AI-driven advertising

The company envisions a future where brands create their own “copilots,” allowing for even more personalized advertising experiences. With plans to build advanced diagnostics and performance features, Microsoft is set to revolutionize digital advertising through generative AI. The integration of AI into advertising is poised to unlock new opportunities for brands to connect with consumers in more relevant and engaging ways.