How to increase your sales with LinkedIn
Désirée Aucello
August 3, 2021

LinkedIn offers companies the opportunity to advertise. But is it worth advertising on LinkedIn at all? What are the advantages and disadvantages?
Like Facebook, Instagram and so on, LinkedIn is a social network, but unlike the other platforms, it specializes in business and careers. Here, it’s all about making new business contacts or finding the right company when looking for a job. Everyone can create a free LinkedIn profile. The users are mostly professionals who are looking for job offers or want to exchange information with former colleagues, and employers or companies who are looking for new employees and business partners or want to promote their products and services themselves.


And how does LinkedIn Advertising work?

Anyone who has a standard account can place ads, no premium account is necessary. You can create campaigns to draw users’ attention to your company, for example, to increase brand awareness. This will direct more people to the company page, which in return will increase the number of clicks, post engagements and followers. The format of the ads can be chosen quite differently – depending on the goal of the ad (e.g. website clicks or video views).


What kind of ads can be placed?

  • Sponsored content are ads in the newsfeed in a wide variety of display formats. They can be created as a simple image, carousel or video ad.
  • With the help of Dynamic Ads (Follower Ads, Spotlight Ads, Content Ads), users can be addressed individually. The ads are tailored to the individual user based on LinkedIn profile data. In addition to Sponsored Content and Dynamic Ads, there is also the option of advertising with Sponsored InMails or Text Ads.
  • Sponsored InMails are messages that are marked as advertisements and land directly in the LinkedIn user’s inbox. The messages are only sent when a user is active on LinkedIn.
  • Text Ads are small ads with a headline, little text and a small image and are located next to the newsfeed.


Advantages of LinkedIn Advertising

  • Target group
    The ability to precisely define one’s target audience is probably the most crucial advantage of advertising on LinkedIn. From company name, industry and company size to personal details such as job title, field of activity, career level, university attended, subjects studied, degrees achieved, knowledge, groups joined, gender, age, previous years of work experience and company followers, the target group can be narrowed down or expanded.
  • Budgets
    Billing is either per click (CPC = cost-per-click) or per 1000 impressions (CPM = cost-per-1000-impressions). You can choose between a total budget (budget to be spent over the entire duration of a campaign), a daily budget (budget to be spent per day for a campaign) and a bid amount (set maximum amount) and specify the start and end date of the ad/campaign.
  • Tracking
    There is a possibility to measure all data using Conversion Pixel. This allows you to see what actions users perform on the website after seeing or clicking on the ad. This, in return, can be used to create audiences, i.e. specific target groups. Another option would be to use retargeting.
  • Ad formats
    The wide range of ad formats offers a lot of scope to customize and diversify the ads, for example

    • Carousel Ads:
      Users can swipe through a chain of display elements.
      This gives a company the opportunity to tell stories or present different offers / detailed information. The movement and interaction are ideal for getting attention from users (“eye-catchers”).
    • Conversation Ads:
      Integrated call-to-actions can be used to increase the engagement of the target audience. Since it is possible to insert several CTA buttons, the potential customer has the choice. Due to the many selection options she / he is now provided with, more interactions take place. Such call-to-actions can be, for example, “Subscribe to newsletter”, “Register for webinar”, or “Get demo”.


Disadvantage of LinkedIn Advertising

  • Location
    It is possible to place the advertisement locally, but it is not possible to define the distance to the kilometer. In addition, many small cities are not available at all. In combination with LocalUp, however, this is possible on Facebook. Here ads can be placed individually and locally – and even to the kilometer.
  • High advertising costs
    If you compare the costs of an ad on LinkedIn, for example, with an ad on Facebook, you can clearly see a difference. The advertising costs on LinkedIn are thus comparatively not cheap (the target group is all the more valuable for it). But here it is worth mentioning that even on Facebook the target group can be determined very precisely and thus also be of high quality if LocalUp is involved.


When should LinkedIn Advertising be used?

Since LinkedIn specializes in jobs and careers, the user base differs from other platforms right from the start. For the most part, only people who want to network professionally stay here. So it’s “all about business”! This means that an ad placed will not completely miss the target group anyway, as can be the case on Facebook, for example. If a company knows and can define its target group exactly, advertising via LinkedIn is very advantageous, because the ads can be perfectly tailored to the needs of the target group and are therefore more promising. Moreover, one has a wide range of lead generation, tracking and analysis tools, which provides a good overview of the ads and audiences. LinkedIn Advertising is therefore very exciting for companies and is particularly convincing as an advertising platform due to the precise target group targeting.

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