We'll just be frank here — no one really enjoys spending money on social ads but it has become a necessary evil. It's not all bad though; advertising on social media allows you to target specific audiences to an extent traditional advertising could never touch. You want to target women aged 25-44 in the greater Pittsburgh-metro area who are considering divorce? Done. In this post, we'll narrow our focus to just one channel and explore why LinkedIn advertising is blowing up and successfully converting potential clients.
1. LinkedIn users tend to be a more sophisticated bunch.
Because LinkedIn is primarily used as a professional resource, there is a lot less mindless clutter popping up in feeds. People on LinkedIn (and there are about 467 million of them) are typically looking to connect with similar professionals or verifying the legitimacy of a business with which they are considering working. Essentially, LinkedIn users are usually more serious about their searches and content consumption than users on Facebook or Twitter.
2. People on LinkedIn have money.
Furthermore, the demographics of LinkedIn users tell us that 60% of them hold management or leadership positions in their companies. This means they probably have the dough needed to afford your services. In fact, 75% of LinkedIn users have incomes of over $50,000 as reported by Hootsuite. Even if you attract fewer clicks than on other social channels, the ones you do snag are more likely to convert.
3. It's easier to become a big fish in a small pond.
Advertising on LinkedIn is still relatively uncrowded in comparison to Facebook or Google AdWords. It's also a little more expensive than other channels, which helps curb competition. The daily minimum ad spend for a LinkedIn campaign is $10 at $2 per click; whereas Facebook has a daily minimum of only $1 and $0.50 per click. We think it's worth it to spend more knowing the people seeing the ad are more likely to convert and pay their invoices.
4. Cost per lead decreases over time.
A lead in the digital sense means that a user did more than just click on your ad; they took a further action, such as filling out a contact form. Unlike Google AdWords, LinkedIn will actually reward your successful campaigns by lowering your cost per lead as more time passes. The better your ads, the cheaper they are! That's a big win in our book.
Many companies have reported huge success in this arena. For example, Top Rank Marketing released a white paper outlining how one of their healthcare clients wanted to promote content and generate leads. Using LinkedIn's native PPC service in two campaigns targeting slightly different audiences, their lead conversions increased by 75% and their cost per lead ultimately decreased by 40% at the end of the campaigns. Good stuff.
Similarly, NewsCred Insights provided this delightful piece of data: "Every dollar invested in LinkedIn Sponsored Updates yields more than $17 in revenue, almost 6x the ROI of Adwords."
Too Much Info? We Can Help.
A truly successful paid ad campaign needs to be monitored and adjusted daily. This can be an overwhelming task if you're just starting to get acquainted with social media advertising and trying to run a law firm. Fortunately, Upsource can do it for you. If you're interested in launching a PPC campaign, call us at (800) 893-2590. And for more digital marketing tips in general, be sure to visit us on Facebook and Twitter.