Compared to other major social networks, LinkedIn has a smaller number of users. What it lacks in quantity, though, it makes up for in quality. Four out of five LinkedIn members drive business decisions at their organizations. Advertising your business-to-business (B2B) company on LinkedIn can drive tremendous success in your business.
If you’re considering advertising on LinkedIn, you probably have questions. You may be wondering: How much do LinkedIn ads cost? What type of ad is best?
This article breaks down the core things you need to know to get started on LinkedIn advertising.
LinkedIn Ads Statistics You Should Know
If you’re looking for a reason to advertise on LinkedIn, consider these stats:
- LinkedIn has the highest lead conversion rate, which is three times higher than other major ad platforms.
- About 82% of B2B marketers experience more success on LinkedIn than on other social networks.
- Around 40% of B2B marketers say LinkedIn is the most effective channel for driving high-quality leads.
- Brands advertising on LinkedIn have seen a 33% increase in purchase intent because of ad exposure.
- LinkedIn ads offer over 200 targeting characteristics.
- More than 45% of traffic from social media to company websites comes from LinkedIn.
- About 80% of B2B leads come from LinkedIn.
- There are over 57 million companies on LinkedIn.
Types of LinkedIn Ads
Depending on your campaign objective, you can choose from any of these LinkedIn Ads.
Sponsored content ads appear on your audiences' feed whether they are using desktop or mobile. They can be single-image ads, video ads, carousel ads, or event ads. They are marked “promoted” to distinguish them from normal content.
Sponsored messaging is an ad delivered directly into your target audience's inbox. It may be as a message ad with a call to action, or a conversation ad that appears like a personalized message from your company's representative.
Lead Generation Forms
With lead generation forms, your prospects can send you their information in a pre-filled form with a few clicks. You can use lead generation forms with sponsored content or message ads.
Text Ads and Dynamic Ads Forms
Text ads appear on the right side of desktop users’ LinkedIn feeds. Dynamic ads are personalized to each of your target audience based on their LinkedIn profile.
LinkedIn Billable Events and Ad Pricing
LinkedIn uses objective-based pricing. This means that LinkedIn charges you based on the objective you choose and when a user performs an action that meets your goal. For example, if your campaign objective is engagement, LinkedIn will charge you anytime a user engages with the ad for the first time. In this case, your billable event is engagement clicks.
The answer to the question, "how much is LinkedIn advertising?" is a combination of the ad pricing model you choose and your bidding strategy. There are three ad pricing models.
- Cost per click (CPC): You pay for each click your ad gets.
- Cost per impression (CPM): The cost of every one thousand impressions of your ad.
- Cost per send: You pay for every ad delivered to people’s inboxes.
Actions Available for Different LinkedIn Ads
For every LinkedIn ad you set up, you can direct your target audience to take any of the following actions:
- Lead generation
- Job applicants
- Video view
- Website conversion
- Website visit
How Much Are LinkedIn Ads?
How much you'll spend on Linkedin advertising is entirely up to you. But, there are some minimum costs of advertising on the platform. The least amount you can bid on a Linkedin CPC and CPM is $2. The average CPC is $5.26, the average CPM is $6.59, and the average CPS is $0.80.
Running a successful LinkedIn ad requires you to ensure that the ad type and the ad pricing model you choose are the most suitable for your marketing goal.
How To Decide on the Right LinkedIn Ad
Your marketing goal influences the type of LinkedIn ad you’ll run and your campaign objective.
LinkedIn Campaign Objectives
This is the action you want your target audience to take after viewing your ad. LinkedIn offers three different objectives.
- Awareness: Ideal when you want to increase your brand presence and get people talking about your brand.
- Consideration: Used to drive users to take specific actions to know more about your business, like website visits, engaging with your content, and video views.
- Conversion: This is used for lead generation and tracking specific actions on your website.
Navigate LinkedIn Advertising
Advertising on LinkedIn is a proven way of generating quality B2B leads. But you’ll need to develop a winning strategy to identify and attract your ideal prospects. Cleverly has helped clients generate over 151k leads on LinkedIn.
If you need help with developing or implementing an advertising strategy, contact Cleverly for a free consultation.