Drive Holiday Season Sales with Microsoft Advertising

85% of U.S. shoppers plan to take part in major sales events this year, with similar growth seen worldwide, 76% in the U.K. (up from 68%) and 81% in Australia (up from 71%). This surge in shopper participation highlights just how crucial the holiday season has become for retailers everywhere.

For e-commerce merchants, this holiday season presents a golden opportunity to drive sales with holiday sale ads through Microsoft Advertising by moving your low-moving inventory with various offers and promotions. Let’s dive into some proven Microsoft Ads strategies that can help you reach more holiday shoppers and turn their clicks into conversions.

Navigate the holiday rush and draw on insights from Microsoft’s Advertising holiday sales trends to drive success, to ensure you’re fully prepared to capture the attention of holiday shoppers.

Holiday Strategies with Microsoft Advertising: Maximize Your Seasonal Sales

Plan Microsoft Advertising Holiday Campaigns Early

Launching your Microsoft campaigns early allows you to capitalize on increased shoppers’ activity. This will help you stay ahead of competitors and capture early deal-seekers, with maximized sales across the entire season.

Key Insight: According to Microsoft Advertising, 41% of U.S. shoppers start looking for deals days before big sales, and over 70% watch prices closely. Running ads in October lets you catch this early demand, save on CPCs, and grow remarketing lists for the peak season.

Target Thanksgiving & Cyber Monday for Maximum Impact

Two key events drive most holiday revenue and require dedicated campaign planning.

• Start your Microsoft Thanksgiving Sale campaigns by early November to catch shoppers planning holiday weekend purchases. Focus on family-oriented gifts, bundle deals, and early bird specials. Thanksgiving marks the traditional kickoff of holiday shopping, making it essential to establish your brand presence before the market gets crowded.
• For Microsoft Advertising Cyber Monday, prepare for the biggest online shopping day of the season. Increase budgets by 30–40% in mid-November, focus on online-exclusive deals, fast shipping, and monitor performance closely to capture traffic spikes.

Holiday Shopping Statistics

Microsoft Advertising research highlights how shoppers across the globe are increasingly engaging with major sales events:

• United States: 85% of shoppers plan to take part in significant sales this year.
• United Kingdom: 76% of consumers are planning to participate, up from 68% last year.
• Australia: Participation has risen from 71% to 81%.

Holiday Product Feed Optimization for Microsoft Advertising

A well-optimized product feed is critical to campaign success. During the holiday season, focus on integrating relevant seasonal keywords and offering clear promotions.
Best Practices:

• Include holiday-specific keywords and promotions to drive performance
• Shoppers searching for deals respond better to terms like “gifts,” “holiday specials,” and “seasonal discounts.”
• Ensure your products have the best titles and images with respect to the holiday season

Pro Tip: You may resolve all your feed-related concerns with our Simprosys Google Shopping Feed App.

Use PMAX Campaigns for Microsoft Holiday Sales

Leverage Microsoft’s AI-powered campaign offering, Performance Max (PMAX), to boost visits to your website and increase conversions. Performance Max uses AI to optimize your creative and targeting across Microsoft properties, reaching the right customers at the right time. Based on Microsoft Advertising’s Performance Playbook 2025, campaigns have shown significantly higher site visits and conversions compared to standard approaches.

Implementation Strategy:

• Launch the campaign in late October or early November to ensure the prospective audiences are targeted.
• Use high-quality images and keyword-centric assets to maximize the impact of your campaigns.

For a deeper understanding of why Microsoft Performance Max campaigns are worth adopting, read our detailed guide on reasons to adopt Microsoft Performance Max Campaigns.

Boost Reach with Microsoft Audience Ads During Holidays

Microsoft Audience Network can extend your holiday sale ads reach beyond search, helping you tap into a larger audience across MSN, Edge, Outlook, and partner sites.

Strategic Approach:

• Combine remarketing and in-market audience strategies to ensure you reach past customers and shoppers actively searching for holiday deals
• Start your Audience Ads in October and combine them with remarketing to guide shoppers through your sales funnel.
• Integrate Audience Ads with other ad types to maximize reach and impact

Performance Boost: As per Microsoft Advertising’s Holiday Insights, In-Market Audience Ads show a 6% higher conversion rate and are 6x more likely to convert.

Utilize Microsoft Ads Promotional Offer Features & Special Holiday Deals

Promotions are a powerful way to differentiate yourself during the crowded holiday shopping period.

Monitor your Microsoft Campaigns in real-time

• Holiday shopping trends shift rapidly, and real-time monitoring of your campaigns will help you stay on top.
• Monitor your inventory closely, as order volumes tend to increase during the holiday season.
• Keeping your stock aligned with incoming orders is crucial to maintaining supply and meeting holiday demand.
• Track campaign performance metrics for quick optimization.

Diversify Microsoft Holiday Ads with Multiple Formats

Users spend more when they’re exposed to more unique ad formats. Diversifying ad formats can lead to higher user engagement and, consequently, increased conversions

Conclusion

The holiday season is one of the biggest chances of the year for e-commerce brands to boost sales, and Microsoft Advertising can help you make the most of it. If you plan early, optimize your product feed, and mix up your ad formats, you’ll be in a strong position to grab shoppers’ attention when it matters most.

What really makes life easier is conveniently managing everything from a single platform. Yes, you heard it right. Simprosys Shopping Feed App can help you optimize your feed, review and manage Microsoft campaigns, submit promotions feed, and more.

Don’t wait until November, start preparing your Microsoft Advertising holiday campaigns now to ensure you capture every opportunity this peak shopping season has to offer. Launch your campaigns early and let Microsoft holiday advertising help you win the holiday season.

Get ready for the upcoming holiday season and watch your e-commerce store perform its best!

Frequently Asked Questions

When should I start my Microsoft Ads holiday campaigns?

Launch Microsoft holiday advertising campaigns in early October. This captures early shoppers, builds remarketing lists, and secures lower CPCs. Your Microsoft holiday planner should include: general campaigns by mid-October, Microsoft Thanksgiving sale by early November, and Microsoft advertising Cyber Monday by mid-November.

How much budget do I need to allocate for a Microsoft Ads holiday campaign?

Increase your typical spend by 50-100% for the holiday season. Allocate an additional 30-40% for peak events like microsoft thanksgiving sale and microsoft advertising Cyber Monday.

Can I run both Performance Max (PMAX) and feed-based / Audience Ads simultaneously?

Yes. This is a recommended Microsoft Ads strategies approach. PMAX handles broad reach and conversions, while Audience Ads targets remarketing and in-market audiences. Combined, they increase Microsoft holiday advertising reach by 40-60%.

Do I need separate product feeds for holiday campaigns?

Not mandatory, but recommended. A separate feed allows holiday-specific keywords, seasonal messaging, and easier Microsoft Ads promotional offer management for holiday sale ads. 

What role do Audience Ads / in-market targeting play in holiday campaigns?

Audience Ads extend holiday sale ads beyond search to MSN, Outlook, and partner sites. In-market targeting identifies active shoppers, delivering 6% higher conversion rates. Essential for Microsoft Thanksgiving sale and microsoft advertising Cyber Monday remarketing as part of your Microsoft Ads strategies.

How do I submit holiday promotions in Microsoft Merchant Center?

Go to Merchant Center → Tools → Promotions. Submit a promotions feed with offer details (discount type, dates, product eligibility). Allow 3-5 days for approval.

What metrics should I monitor during my holiday Microsoft campaigns?

Track conversion rate, ROAS, CPC, impression share, and CTR for your Microsoft holiday advertising campaigns. Monitor inventory levels closely during Microsoft Thanksgiving sale and Microsoft Advertising Cyber Monday to avoid stockouts. Check holiday sale ads performance hourly during peak periods and adjust bids in real-time.

Can I import my Google Performance Max or Shopping campaigns to Microsoft?

Yes. Go to Microsoft Advertising → Import → Import from Google Ads. This simplifies your Microsoft Ads strategies by replicating campaign structure.