Manual vs Automated Extensions in Microsoft Advertising

Ishant

Ishant

Published : January 5, 2026 at 12:00 pm

Microsoft Ads has moved far past basic text advertising. In 2025, extensions will no longer be optional add-ons. They directly influence click-through rate, visibility, and conversion volume across search results.

Every advertiser now faces a practical choice. Should campaigns rely on Manual vs Automated Extensions in Microsoft Advertising, or a mix of both?

This guide explains how Microsoft Ads extensions function today, how automated enhancements are generated, and how to decide between Manual vs Automated Extensions in Microsoft Advertising setup deliver stronger results based on control, scale, and real performance behavior. This is not conceptual guidance. It reflects how Microsoft Ads actually works right now.

About Extensions in Microsoft Ads

Extensions expand ads by adding extra details, Sitelinks, image extensions, or credibility signals around the main ad copy.

Their role stays simple:

  • Increase ad space
  • Improve relevance
  • Build trust
  • Drive higher CTR and conversions

Microsoft Ads runs two extension systems:

  • Manual Extensions – advertiser-controlled
  • Automated Extensions – Microsoft AI-generated

Both can run at the same time, but when manual extensions qualify, they always take priority.

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What Are Manual Extensions in Microsoft Ads?

Manual extensions are created, written, and managed directly by advertisers inside the Microsoft Ads platform.

These include:

  • Sitelink extensions
  • Callout extensions
  • Structured snippets
  • Call extensions
  • Location extensions
  • Promotion extensions

Looking to explore more about manual extension? Read our detailed guide on the types of Bing Extensions.

Each manual extension must be:

  • Written manually
  • Applied at account, campaign, or ad group level
  • Reviewed and updated over time

Why Manual Extensions Exist

Manual extensions give advertisers complete control over messaging. They matter most for:

  • Compliance-heavy industries
  • Brands with strict language rules
  • Regulated offers
  • Situations where wording precision is critical

Strengths of Manual Extensions

Complete Messaging Control

Advertisers decide exactly what shows. This avoids:

  • Unapproved statements
  • Incorrect pricing mentions
  • Misleading language

Stable Funnel Mapping

Manual sitelinks allow clear intent routing:

  • Pricing pages
  • Service pages
  • Location pages
  • Contact pages

This keeps user paths predictable.

Better Compliance Management

Industries like legal, finance, healthcare, and insurance depend on manual extensions to prevent automated copy that may break internal rules.

Limitations of Manual Extensions

High Maintenance

Manual extensions require:

  • Ongoing updates
  • Routine checks
  • Seasonal refreshes

When neglected, performance drops.

Static Delivery

Manual extensions do not adjust based on:

  • User behavior
  • Location
  • Search context
  • Device type

All users see the same message.

Missed Coverage

If a manual extension does not qualify in an auction, nothing fills that space unless automated extensions are active.

What Are Automated Extensions in Microsoft Ads?

Automated extensions, previously known as annotations, are AI-generated enhancements applied automatically by Microsoft Ads.

Advertisers do not create them.

Microsoft decides:

  • When they appear
  • What content shows
  • Which users see them

Where Microsoft Gets Data for Automated Extensions

Automated extensions pull from multiple data sources:

  • Website content
  • Existing ad copy
  • Search queries
  • Bing Shopping feeds
  • Third-party review platforms
  • Location and mapping data
  • Partner and social data
  • Traffic and engagement signals

This data is continuously analyzed to predict performance impact. 

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Types of Automated Extensions in Microsoft Ads

Automated extensions dynamically expand ads based on intent, site signals, historical performance, and external data. They appear only when Microsoft predicts higher engagement or conversion likelihood.

  1. Dynamic Sitelinks
  2. Dynamic Callout Extensions
  3. Dynamic Structured Snippets
  4. Dynamic Locations
  5. Seller Ratings Extension
  6. Consumer Ratings Extension
  7. Dynamic Multimedia Extensions
  8. Business Logo Extension
  9. Dynamic Partner Data Enhancements
  10. Previous Visits Extension
  11. Longer Ad Headline Enhancements
  12. Syndication-Only Automated Extensions

Below we have detailed every type of automated extension advertisers should understand and monitor.

Dynamic sitelinks generate clickable links beneath ads that lead to relevant website pages.

Microsoft decides:

  • Which pages match the query
  • Which URLs show strong engagement history
  • How users usually move through the site

These links change by intent and often surface category or service pages.

Important note:

Dynamic sitelinks are paid extensions. Clicks are charged.

Best suited for large sites, ecommerce brands, and multi-offer services.

2. Dynamic Callout Extensions

Dynamic callouts pull short value phrases directly from website content.

They highlight:

  • Shipping benefits
  • Support access
  • Guarantees
  • Key differentiators

They boost trust without extra clicks.

Most effective when landing pages clearly state value points.

3. Dynamic Structured Snippets

These show categorized business details in list form.

Examples include:

  • Services offered
  • Product categories
  • Solution types

Microsoft selects categories based on query relevance and page context. Useful for agencies, SaaS platforms, and broad catalogs.

4. Dynamic Locations

These show nearby business locations using Bing Maps signals.

They may display:

  • Distance from user
  • Nearby location prompts
  • Direction links

Strong for local and high-intent searches.

5. Seller Ratings Extension

Seller ratings show star scores and review counts from approved sources.

They:

  • Build fast trust
  • Improve CTR
  • Reduce hesitation

Eligibility depends on review volume and data approval.

Highly effective for ecommerce.

6. Consumer Ratings Extension

These show aggregated brand reviews instead of product-level ratings. They focus on brand trust and reputation. Helpful for high-consideration purchases.

7. Dynamic Multimedia Extensions

These attach images or visual assets from your site to ads. Microsoft selects visuals based on:

  • Page relevance
  • User intent
  • Engagement history

They increase visibility on competitive results pages. Best for ecommerce, travel, real estate, and product-heavy brands.

8. Business Logo Extension

Displays a verified brand logo beside the ad headline. It improves:

  • Brand recall
  • Trust
  • Ad prominence

Approval is required before display.

9. Dynamic Partner Data Enhancements

These pull trust signals from Microsoft partners.

Examples include:

  • Official Site badges
  • Free Shipping tags
  • Visitor volume indicators
  • Promotion markers

They act as proof and urgency cues.

At Hustle Marketers, we boosted visitors on website for online store

10. Previous Visits Extension

Shows users how often they visited the site and when. This increases familiarity and return visits. Best for subscriptions and repeat-purchase models.

11. Longer Ad Headline Enhancements

Microsoft may extend headlines using page titles or contextual signals.

This provides:

  • More screen space
  • Higher relevance
  • Clearer messaging

Most common on competitive terms.

12. Syndication-Only Automated Extensions

These appear on partner networks like Yahoo and AOL. They may include:

  • Extra buttons
  • Visual badges
  • Partner-specific formats

They support performance outside Bing search.

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Strengths of Automated Extensions

Zero Setup

No manual creation required.

Dynamic Personalization

Extensions adjust by:

  • Query intent
  • Location
  • User familiarity
  • Device type

Expanded Ad Visibility

Automated extensions often appear when manual ones do not.

Performance Uplift

Microsoft reports CTR gains of 10–15% when extensions run.

Limitations of Automated Extensions

Limited Control

Advertisers cannot fully manage:

  • Message tone
  • Page choice
  • Claims displayed

Website Dependency

Weak site structure leads to weak extensions.

Compliance Risks

AI text may surface content unsuitable for regulated industries.

Manual vs Automated Extensions in Microsoft Advertising: Key Differences

FactorManual ExtensionsAutomated Extensions
SetupManualAutomatic
ControlFullLimited
PersonalizationStaticDynamic
MaintenanceHighNone
ComplianceSaferRisk-dependent
ScaleSlowerFaster

Manual vs Automated Extensions in Microsoft Advertising: Which Should You Use?

The right answer in 2026 is both. Strong Microsoft Ads accounts layer systems instead of choosing sides.

  • Manual extensions define core messaging
  • Automated extensions expand reach and relevance
  • Manual extensions take priority
  • Automated extensions fill gaps

This approach delivers:

  • Maximum ad space
  • Message control
  • Stronger conversion learning

You can read our other blog post on a guide to Advertising on Bing, which provides a complete playbook for Microsoft advertising.

How to Manage Automated Extensions in Microsoft Ads?

Automated extensions run by default, but they should never run unchecked. Smart management guides the system instead of blocking it.

Advertisers who disable everything often see performance drops. Those who monitor and refine see higher CTR and steadier conversions.

Here is how to manage them correctly.

1. Control Risk by Selective Opt-Out

Know about opt out concept in Manual vs Automated Extension in Microsoft Advertising

Microsoft allows opt-out by extension type at the account level.

Best practice:

  • Disable only risky extensions
  • Keep strong performers active
  • Avoid full shutdowns unless required

Precision beats panic.

Note: If you don’t want to use a specific automated extension, you can opt out. Just go to Extensions, open Automated, and disable the ones you don’t need.

1. Review Automated Extension Reports Regularly

Microsoft Ads provides a report showing which automated extensions appear and how they assist clicks and conversions.

This helps you:

  • See which extensions trigger most often
  • Track assisted conversions
  • Catch irrelevant messaging early

Many extensions support conversions indirectly. Removing them without review often cuts profit.

2. Use Website Content to Shape What Microsoft Shows

Automated extensions rely heavily on site content. To improve outputs:

  • Keep pages clearly structured
  • Highlight shipping, support, warranties, and guarantees
  • Use accurate headings and titles
  • Remove vague or misleading copy

Your site acts as source material for automation. Clean inputs matter.

Dynamic sitelinks charge per click. You should:

  • Track conversion impact
  • Watch page relevance
  • Compare cost versus assist value

Poor-fit pages should be removed. Strong contributors should stay.

5. Align Manual Extensions to Override Weak Automation

Manual extensions override automation when eligible. Use them to:

  • Replace weak sitelinks
  • Lock high-performing URLs
  • Control core offers

Automation then works as backup, not a leader.

6. Account for Industry Compliance and Brand Safety

For regulated sectors:

  • Review automated text carefully
  • Watch for unapproved claims
  • Use manual extensions for control
  • Disable only risky elements

Automation must never override compliance.

7. Treat Extension Management as Ongoing Optimization

Automated extensions evolve as:

  • Websites change
  • User behavior shifts
  • New pages launch
  • Microsoft updates systems

Regular reviews keep them accurate and profitable.

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Do Dynamic Extensions in Microsoft Ads Really Work?

Short answer: yes, when the account foundation is solid. Dynamic extensions amplify existing intent. They do not fix a broken structure. In strong accounts, they pull from real signals. In weak ones, they expose gaps.

Why Dynamic Extensions Drive Conversions (When Set Up Right)

Dynamic extensions appear at decision moments and reduce friction.

  • Dynamic Sitelinks shorten conversion paths.
  • Dynamic Location Extensions capture proximity intent.
  • Dynamic Partner Data Enhancements add trust.
  • Dynamic Callouts adapt messaging to live intent.

With clean tracking, pages, and feeds, these extensions capture extra conversions that static ads miss.

Where Most Conversions from Dynamic Extensions Actually Come From?

Conversion impacts clusters around a few types.

  • Dynamic Sitelinks: Often deliver strong assisted conversions through intent-aligned pages.
  • Dynamic Location Extensions: Perform well for mobile and local searches.
  • Dynamic Partner Data Enhancements: Increase trust and click confidence.

These extensions complete the journey rather than replace ads.

At Hustle Marketers, we tested the performance of dynamic extensions on a live account for ArmorProxy, a USA-based client.

Under the guidance of Ishant Sharma, dynamic sitelinks generated 243 conversions at a CTR of 3.30% from 9,701 impressions, and Dynamic Partner Data Enhancements contributed 27 conversions at a CTR of 2.55%.

Overall, automated extensions increased ad coverage, click-through rates, and assisted conversions, proving that when properly structured and monitored, automation can strengthen performance rather than hinder it.

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Conclusion

Manual vs automated extensions in Microsoft Ads is not an either-or choice. It is about control. Automated extensions give Microsoft room to surface trust signals, dynamic links, and relevance cues that manual setups often miss. Used well, they expand reach and lift CTR. But automation without structure wastes spend.

At Hustle Marketers, automated extensions are built into the account structure, reviewed consistently, and aligned with pages, feeds, and conversion data. That is why dynamic sitelinks, partner signals, and location extensions drive real conversions rather than just noise.

If your Microsoft Ads campaigns ignore intelligent extension use, you are not competing on an even playing field.

Use automation to scale. Use manual control to protect margins. That balance drives steady, profitable growth.

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Ishant

Ishant Sharma is a Google Ads and Meta Ads specialist, SEO strategist, and paid media expert with over 10 years of experience in digital marketing. He’s passionate about search trends, performance marketing, and the evolving ad ecosystem. Known for his analytical mindset and creative edge, Ishant writes to simplify complex topics and stay ahead of digital shifts.

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