How Do LinkedIn Ads Work?

September 9, 2021

It's no secret that PPC marketing is a great way to advertise your business. Most businesses are drawn towards Google Ads and Facebook Ads, given their mass appeal and large audience, but LinkedIn Ads can offer exceptional benefits to specific industries.

If you're in the healthcare, education, B2B, or non-profit industries, LinkedIn provides a perfect opportunity for you to connect with potential customers when they're in a business mindset.

To help you get started with advertising on LinkedIn, here is a quick guide on how LinkedIn Ads work.

Choose Your Objective

The first thing you have to do when creating a campaign is to decide on your objective.

LinkedIn offers objective-based advertising to help businesses build ad campaigns around their specific business goals.

They have three types of objectives for you to choose from:

  • Awareness
  • Conversion
  • Consideration

Your objective will determine the rest of your campaign creation process, so be sure about what you want to achieve.

Select Your Targeting Criteria

Targeting is crucial in PPC marketing. It ensures that your ads show up at the right place and at the right time, leading to higher engagement and higher conversation rates.

LinkedIn has numerous audience attribute categories, including company size, member interests, skills, job title, job seniority, etc., which make audience targeting so much simpler.

Choose Your Ad Format

LinkedIn offers four types of Ad formats:

Sponsored Content

Sponsored content appears on the feed of the professionals you want to reach. It can appear as an image, video, or carousel.

With sponsored content, you can target and reach a highly engaged audience, therefore building brand awareness, driving leads, and nurturing relationships at every stage of the sales cycle.

Message Ads

These ads allow you to reach your target customers on LinkedIn messaging, where most professional conversations happen.

They allow you to measure the value you're getting because you get to see which roles and companies are engaging most with your message.

They also drive stronger engagement and faster responses compared to email marketing.

Dynamic Ads

Dynamic ads use LinkedIn profile data to personalise your ads. They are great for increasing engagement and brand awareness.

Text Ads

Text ads are easy to create ads that allow you to tailor your message to your target audience in minutes. They are also pay-per-click or cost-per-impression ads, which means that you only pay for the ads that work.

Set Your Budget And Schedule

There are three ways to pay for your LinkedIn ads:

  • Cost per send [CPS]: This payment option is only for message ads campaigns. You pay for every successfully delivered message.
  • Cost per click [CPC]: This is for action-driven campaigns such as newsletter subscriptions.
  • Cost per impression [CPM]: This model is great for brand awareness campaigns.

Once you decide on a payment plan, you must set your budget and enter a bid amount.

LinkedIn's auction system rewards engagement, meaning that you can win an auction without necessarily being the highest bidder.

If you need help launching your LinkedIn Ad campaign, get in touch today and let me help you reach your business goals.

About Stacey Pledge

I'm a PPC Specialist helping clients across the UK, Europe and the US get the best from their pay per click campaigns and reaching their business goals.

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