LinkedIn Ads: How to Use Them for Lead Generation

Learn how to leverage the power of LinkedIn Ads for lead generation with our must-do strategies for conversion optimization.
In today's business world, it's crucial to have a professional online presence, especially on social media platforms like LinkedIn. With over 700 million active users, LinkedIn has become one of the most popular social media platforms for professionals. But LinkedIn isn't just for job searching and networking. It's also a powerful tool for businesses to generate leads and drive sales. In this article, we'll discuss how to use LinkedIn Ads for lead generation, including must-do strategies for conversion optimization.

What are LinkedIn Ads?

LinkedIn Ads are a type of social media advertising that allows businesses to target their ideal audience and promote their products or services. These ads are particularly useful for B2B marketing since the platform’s user base consists mainly of professionals and decision-makers. LinkedIn offers several types of ad formats, including sponsored content, sponsored InMail, and display ads.

Why use LinkedIn Ads for Lead Generation?

LinkedIn Ads are an effective tool for lead generation because they allow you to target a specific audience based on criteria such as job title, company size, industry, and location. This targeted approach means that your ads are more likely to be seen by people who are genuinely interested in your product or service.

LinkedIn Ads also have a higher conversion rate than other social media platforms. According to a study by HubSpot, LinkedIn’s conversion rate for lead generation is 2.74%, compared to Facebook’s conversion rate of 0.77%1. LinkedIn Ads also offer a higher average order value than Facebook, making it a more cost-effective platform for B2B marketers. LinkedIn is the world’s largest professional networking platform, with over 700 million users in more than 200 countries and territories. The platform’s focus on professional networking makes it an ideal platform for B2B marketing and lead generation.

Here are some reasons why you should use LinkedIn Ads for lead generation:

Targeted Advertising

LinkedIn Ads allow you to target your audience based on job title, company size, industry, location, and other demographic factors. This means that you can reach the right people with your ads, which increases the likelihood of generating high-quality leads.

Large User Base

With over 700 million users, LinkedIn provides a large audience for your ads. This audience is primarily made up of professionals and decision-makers, making it an ideal platform for B2B marketing and lead generation.

Professional Context

LinkedIn is a professional networking platform, which means that users are in a professional context when they use the platform. This context makes LinkedIn an ideal platform for promoting B2B products and services.

High-Quality Leads

Because of LinkedIn’s professional focus, the leads generated through LinkedIn Ads tend to be of higher quality than those generated through other social media platforms. These leads are often decision-makers or influencers within their organizations, making them more likely to convert into customers.


LinkedIn Ads can be cost-effective, especially when compared to other advertising platforms such as Google Ads. With LinkedIn Ads, you can set a daily or lifetime budget for your campaigns, which helps you control your advertising costs.

Comprehensive Analytics

LinkedIn Ads provide detailed analytics that allow you to track the performance of your ad campaigns. This information includes metrics such as impressions, clicks, click-through rate, and conversion rate optimization (CRO). With this information, you can optimize your campaigns for better performance and a higher ROI.

How to Create a LinkedIn Marketing Strategy for Lead Generation

Define Your Target Audience

The first step in creating a LinkedIn marketing strategy for lead generation is to define your target audience. Knowing your audience will help you create ad campaigns that are tailored to their interests and needs.

To define your target audience, consider factors such as job title, industry, company size, and location. You can also use LinkedIn’s audience targeting options, such as job function, company name, and company industry, to narrow down your audience.

Create Compelling Ad Campaigns

Once you’ve defined your target audience, it’s time to create ad campaigns that will grab their attention and encourage them to click through to your website. Your ads should be visually appealing and have a clear message that speaks to your target audience’s pain points.

LinkedIn offers several ad formats, including sponsored content, sponsored InMail, and display ads. Sponsored content is a popular ad format that appears in users’ newsfeeds. Sponsored InMail allows you to send personalized messages directly to your target audience’s inbox. Display ads are banner ads that appear on the side of the page.

When creating your ad campaigns, make sure to include a strong call-to-action (CTA) that encourages users to take action, such as clicking through to your website or filling out a lead form.

Monitor and Optimize Your Ad Campaigns

Once your ad campaigns are live, it’s important to monitor their performance regularly. Monitor metrics such as cost-per-click (CPC), click-through rate (CTR), and conversion rate optimization (CRO) to gauge the success of your campaigns.

If your ad campaigns are not performing as well as you’d like, it may be time to optimize them. A/B testing is a great way to test different ad formats, headlines, and CTAs to see what works best for your target audience.

Use LinkedIn Lead Gen Forms

LinkedIn Lead Gen Forms are a powerful tool for lead generation. Lead Gen Forms allow users to fill out a lead form without leaving LinkedIn, making it easy for them to share their contact information with you.

To use LinkedIn Lead Gen Forms, you’ll need to create a lead form template that includes the information you want to collect, such as name, email address, and job title. Once you’ve created your lead form template, you can add it to your ad campaigns.

Using LinkedIn Lead Gen Forms can significantly increase your conversion rates since users don’t need to leave the platform to fill out a form. Lead Gen Forms also make it easier for you to collect high-quality leads since you can pre-populate the form with the user’s LinkedIn profile information.

Create a Sales Funnel

Creating a sales funnel is an essential part of any lead generation strategy. A sales funnel is a process that takes potential customers from the awareness stage to the purchase stage. A typical sales funnel includes four stages: awareness, interest, decision, and action.

To create a sales funnel, start by creating content that will attract potential customers’ attention and encourage them to engage with your brand. This content could be in the form of blog posts, whitepapers, or webinars.

Awareness Stage

The awareness stage is the first stage of the sales funnel. At this stage, potential customers are becoming aware of your brand and the products or services you offer. To create awareness, you need to create content that will attract potential customers’ attention and encourage them to engage with your brand. This content could be in the form of blog posts, whitepapers, webinars, or social media posts.

Interest Stage

Once you’ve attracted potential customers’ attention, you need to nurture them through the interest stage. At this stage, potential customers are showing an interest in your brand and products or services. You can nurture potential customers by providing them with valuable information and building a relationship with them. This could include sending them targeted email campaigns, offering them personalized content based on their interests, or inviting them to attend a webinar or event.

Decision Stage

The decision stage is where potential customers are ready to make a purchase. At this stage, you need to provide potential customers with all the information they need to make an informed decision. This could include offering them a free trial or demo, providing them with detailed product specifications, or answering any questions they may have.

Action Stage

The action stage is where potential customers convert into customers. At this stage, you need to have a clear and easy-to-use process for them to convert, such as a lead form or a checkout page. You also need to ensure that the customer experience is seamless and that the customer feels confident in their purchase decision.

To optimize your sales funnel, you can use a variety of tactics such as A/B testing, personalized content, and lead nurturing campaigns. A/B testing involves testing different elements of your sales funnel to determine which elements are most effective at converting potential customers into customers. Personalized content involves creating content that is tailored to the interests and needs of potential customers. Lead nurturing campaigns involve sending targeted email campaigns to potential customers to build a relationship with them and encourage them to take action.

Measure Your ROI

Measuring your return on investment (ROI) is essential to ensure that your LinkedIn ad campaigns are generating a positive return. To measure your ROI, you’ll need to track the revenue generated from your ad campaigns and compare it to the cost of running those campaigns.

To track your ROI, use analytics tools such as Google Analytics or LinkedIn Campaign Manager. These tools will provide you with detailed information about your ad campaign’s performance, including metrics such as CPC, CTR, and conversion rate.


LinkedIn Ads is a powerful tool for lead generation in the B2B marketing world. By creating a targeted LinkedIn marketing strategy, creating compelling ad campaigns, monitoring and optimizing those campaigns, using LinkedIn Lead Gen Forms, creating a sales funnel, and measuring your ROI, you can generate high-quality leads that are more likely to convert into customers.

If you need help with your LinkedIn marketing strategy, contact Datawyze, a leading digital marketing agency that specializes in B2B marketing and lead generation. Our team of experts can help you create and optimize LinkedIn ad campaigns that will drive results for your business.

1. LinkedIn 277% More Effective for Lead Generation Than Facebook & Twitter [New Data] – Rebecca Corlis (HubSpot)

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