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About Linkedin Ads

Linkedin has ever been known as an attractive social media platform the networking of business professionals. Linkedin Ads is an online advertising tool comparable to Facebook Ads which has seen increasing popularity in the last years. Linkedin even boasts that advertisements on its site are 277% more effective at lead generation than Facebook and Twitter. As of October 2021, marketers could reach 790.4 million users with LinkedIn ads, an increase of 22 million in the three months leading up to October. (Kepios). Reason enough to have a closer look to this social media platform and its advertising opportunities.


Linkedin Ads are sold by auction, similar as handled in the previous posts about Google Ads with a budget chosen by the advertiser. The platform stipulates a minimum budget of 10 USD per day for advertisement. Higher budget amounts have the potential to reach more potential clients, of course.


More precisely there are three ways to control spending: total budget, daily budget and setting bids. Again, like Google Ads, the total budget will be spent by Linkedin evenly over the chosen duration campaign while considering higher and lower traffic days to optimize a campaign's performance. Contrary to this, daily budget is limited to the duration of one day and the advertisement stops, once the budget is depleted. Low budget advertisement however does not render significant data for analysis quickly which is considerable downside. With setting bids, it is finally possible to determine how much an advertiser is willing to pay on impressions and clicks and therefore controlling the budget manually.


In a nutshell, setting up Linkedin Ads includes the following features: self-service or account team, using campaign manager, Ad format, Ad creation, targeting, budget, measuring and optimising Ads.

Self-servicing is the option for marketers who want to control the advertising process on their own which is rather recommendable for experienced marketers. As the name suggests, the campaign manager is used for analytics and an essential feature for everybody to get familiar with from the beginning on.


Next to this, Linkedin offer 8 different Ad formats, text (which is an image with text), image only, “carousel image” (highlighting multiple photos), video ad, follower ad, spotlight ad (personalized type of ad), job ad, and finally the Message Ad (the most expensive one, delivered through Linkedin messenger).


When it comes to the creation of an Ad, it is possible to use a sponsored content option. Common text ads contain an image, headline and the text which will be sent to the campaign manager, ideally together with a link.


The next step is naturally targeting the right audience which is again done through the campaign manager which shows the estimated audience size. Here it is very important to consider the final goal of a campaign, e.g., reaching high numbers of persons for creating brand awareness or smaller numbers with higher conversion rates. Linkedin’s tool

Audience Expansion finds and targets audiences that are like the targeted group which is an efficient way to search Linkedin which may have been overlooked.


Finally comes the budget setting where like Google Ad a decision has to be made between cost per click (CPC) or cost per impression (CPM). Here again CPM is the better option for building brand awareness while CPC should be chosen when the final target are conversions with a call to action (CTA). Such CTAs could include entering a lead capture system, registering for a workshop, download podcasts and others.



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