Insider Insights: Average CTR for LinkedIn Ads Revealed

Insider Insights: Average CTR for LinkedIn Ads Revealed

Discover the Average CTR for LinkedIn Ads and if they are worth your investment. Get CTR benchmarks by industry and optimization tips to improve your ROI.

Oct 10, 2023
11 min read
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George Howes
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What is the Average CTR for LinkedIn Ads?

LinkedIn Ads are a B2B marketer's dream, offering access to a massive network of professionals and businesses. With over 65 million decision-makers and 4 out of 5 LinkedIn members in key decision-making positions, it's no surprise advertisors flock to the platform in droves.

The problem is LinkedIn advertising isn't cheap. With its various ad formats, granular targeting options, and lead generation capabilities, LinkedIn ad often come at a premium.

With this in mind, you’re now probably asking yourself: 

‘What is the average CTR for LinkedIn ads?’ 

And, just as importantly: 

‘Are they worth the investment?’

To help you answer these questions, we created this LinkedIn CTR ad guide for marketers, businesses, and other professionals. It covers different CTR benchmarks based on format and industry, as well as CTR optimization tips to ensure your campaigns generate the most ROI possible.

Let’s start. 

LinkedIn Ad Benchmarks Based on Content Type

LinkedIn equips marketers with various ad formats to showcase their products and services. But to achieve a good CTR for LinkedIn ads, it takes more than just picking the right ad format - it takes testing, refining, and optimizing your messaging.

To give you some context and perspective, let's look at the average CTR and average CPC for LinkedIn ads based on different ad formats:

Sponsored Content

Sponsored content is LinkedIn's most used ad format, resembling organic posts that appear in a user's feed. It's very much part of the natural flow of LinkedIn's feed, making it highly effective for driving engagement and clicks.

Ad formats for this type include:

  • Single-image ads: Displays a static image to promote a product, service, or brand.
  • Video ads:  Showcases a video to tell a brand's story, demonstrate products, and more.
  • Carousel ads: A combination of several images or videos that viewers can swipe through.
  • Event Ads: Instead of a product or service, these ads promote an event on LinkedIn.

Here's a summary table for LinkedIn Sponsored Content Ads:

Ad Format Includes CTR (%) CPC ($) CVR (%)
Sponsored Content Single-image ads, Video ads, Carousel ads, Event Ads 0.44% – 0.65% $8 – $11 1.5% – 15%

Sponsored content ad CVR (Conversion Rates) heavily depend on what you're promoting and your market's competitiveness.

Advertisers offering low-friction offers, i.e., a downloadable e-book or video, can average between 10% - 15%. Meanwhile, high-friction offers, such as a consultation or free trial, typically average between 1.5% - 4%. This is due to low-friction offers being easier to consume and commit to, therefore resulting in higher conversion rates.

Your target audience, meanwhile, also makes a big difference.

If your target market is hotly contested for marketers, you can expect to pay more for ad space. This is because competition drives up the price of advertising, as well as bidding wars between advertisers. As such, Cost-per-click (CPC) for ads can range between $15 and $20 for highly competitive industries.

Text & Dynamic Ads

Text ads are the simplest form of LinkedIn advertising, consisting of a headline, description, and an image. These right-rail ads are available only for desktop users, limiting their reach. 

LinkedIn Text Ad Metrics (Average) Value
CTR (Click-Through Rate) 0.025%
CPC (Cost Per Click) $3 - $6
CPM (Cost Per Mille) As low as $2

Due to the ad format's small and limited space, they're often missed or even ignored. While this results in relatively low CTRs, they're seen as a cheap and easy way to advertise - great for newcomers looking to dip their toes into the platform.

Dynamic ads, meanwhile, are highly personalized ad formats that display user-specific content based on their LinkedIn profiles. They typically target specific individuals, i.e., C-level executives at a specific company or professionals with a particular job title.

Dynamic Ad Metrics (Average) Value
CTR (Click-Through Rate) 0.08%
CPC (Cost Per Click) $6 – $8

This ad format, while highly versatile, isn't known for driving enormous amounts of traffic. As such, bidders can expect a higher CPC for Dynamic ads.

Sponsored Messaging

Sponsored messaging ads come in two forms: Message ads and Conversation Ads. They're designed to resemble regular messages in your LinkedIn inbox, making them a more personal way to reach targeted individuals.

Despite coming under the same umbrella, these ad types have unique differences. Sponsored messages consist of a single message sent to individuals, while Conversation Ads allow multiple messages to be sent back and forth. As such, the latter is seen as the more progressive and engaging option.

Note that all actions after opening the initial message count as a click. This includes clicking on a link or responding to a message.

Here's a summary table for LinkedIn Messaging Ads:

Ad Type Includes Average CTR (%) Average CPS (%) Average CPC ($) InMail Open Rates (%)
Sponsored Messaging Message Ads, Conversation Ads 3.2% $0.50 – $1 $25 – $60 38%

Sponsored messaging CVR isn't so clear-cut, as your written copy and targeting play a crucial role. For example, an offer like "Sign up now and get 50% off your first purchase!" will likely have a higher CVR than a general branding message.

However, if you can nail the copy and targeting, it's possible to see open rates as high as 70%. This naturally will lead to a lower CPS and, ultimately, more conversions.

Check out LinkedIn's comprehensive guide to learn more about Conversation Ads and how to use them effectively.

LinkedIn Organic Posts

If you’re regularly advertising on LinkedIn, you may wonder what’s considered a good CTR for LinkedIn organic posts.

While not an ad format, LinkedIn organic posts are the foundation of any successful LinkedIn marketing strategy. They perfectly complement paid advertising for generating leads, often proving more cost-effective and engaging.

On average, a good CTR for LinkedIn organic posts is between 3-5%.

If you can hover around or exceed that benchmark, it indicates that your posts resonate with your target audience.

LinkedIn Ad Benchmarks by Industry

Below is a breakdown of the average Cost Per Click (CPC) by industry, leading to deeper insights into LinkedIn ad performance metrics like Click-Through Rate (CTR), Cost Per Lead (CPL), and Conversion Rates:

LinkedIn Single Image Ads CTR by Industry

Industry CTR
Business Consulting and Services 0.40%
Electronics Manufacturer 1.16%
Electronics Manufacturing 0.51%
Fintech 0.45%
Hospitals and Health Care 0.64%
Pharmaceutical 0.35%
Real Estate 0.52%
Software Developer 0.33%
Tech 0.52%
Average 0.39%

LinkedIn Single Image Ads CPC by Industry

Industry CPC
Business Consulting and Services $2.12
Electronics Manufacturer $2.72
Electronics Manufacturing $5.74
Fintech $10.77
Hospitals and Health Care $4.21
Pharmaceutical $11.15
Real Estate $4.08
Software Developer $10.01
Tech $4.86
Average $4.41

LinkedIn Single Image Ads Conversion Rate by Industry

Industry Conversion Rate
Business Consulting and Services 0.94%
Electronics Manufacturing 4.78%
Pharmaceutical 9.12%
Real Estate 1.61%
Software Developer 3.67%
Average 2.11%

LinkedIn Single Image Ads CPA by Industry

Industry CPA
Business Consulting and Services $255.31
Electronics Manufacturing $127.47
Pharmaceutical $145.54
Real Estate $260.26
Software Developer $271.91
Average $241.88

LinkedIn Carousel Ads CTR by Industry

Industry CTR
Business Consulting and Services 0.36%
Electronics Manufacturing 0.49%
IT Services 0.20%
Average 0.35%

LinkedIn Carousel Ads CPC by Industry

Industry CPC
Business Consulting and Services $4.11
Electronics Manufacturing $7.16
IT Services $18.54
Average $4.49

LinkedIn Carousel Ads Conversion Rate by Industry

Industry Conversion Rate
Business Consulting and Services 1.75%
Electronics Manufacturing 5.45%
Average 1.83%

LinkedIn Carousel Ads CPA by Industry

Industry CPA
Business Consulting and Services $277.43
Electronics Manufacturing $125.11
Average $268.05

LinkedIn Video Ads CTR by Industry

Industry CTR
Business Consulting and Services 0.45%
Electronics Manufacturing 0.37%
Fintech 0.28%
Hospitals and Health Care 0.42%
Software Developer 0.24%
Average 0.42%

LinkedIn Video Ads CPC by Industry

Industry CPC
Business Consulting and Services $3.45
Electronics Manufacturing $8.00
Fintech $24.09
Hospitals and Health Care $6.91
Software Developer $7.28
Average $4.30

LinkedIn Video Ads Conversion Rate by Industry

Industry Conversion Rate
Business Consulting and Services 1.32%
Software Developer 1.09%
Average 1.28%

LinkedIn Video Ads CPL by Industry

Industry CPL
Business Consulting and Services $441.18
Software Developer $663.24
Average $477.06

How to Improve Your CTR on Your LinkedIn Ads?

While knowing your average CTR for LinkedIn ads is a must, it means nothing if your ads aren't getting clicked on.

So, how can you improve your CTR and get more out of your ad budget?

Follow these tips:

Add Emotional Elements

Have you ever caught yourself off guard by a headline or ad that you feel was written just for you?

That emotional pull is precisely why the copywriter wrote it in the first place.

Evoking the right emotions spurs your target audience to read your sponsored messaging and take action.

Research shows emotional campaigns are twice as effective as rational ones, with success rates of 31% for emotional ads versus 16% for rational ads. And while LinkedIn's professional user base may be a bit more subdued than, let's say, TikTok, that doesn't mean they don't respond to emotional triggers.

When creating a LinkedIn ad, especially for Sponsored Messaging, consider what emotions you want to evoke in your audience.

Do you want them to feel excited? Curious? Motivated?

Use that emotion as a foundation for your ad copy and watch your CTR increase.

Optimize Your LinkedIn Profile

Sometimes, advertisers forget to optimize their LinkedIn profiles with proper job titles and company industries. This is important because ad recipients want to know the person or company behind the advertised offer.

If your profile appears incomplete, unprofessional, or completely unrelated to your ad, you'll be perceived as untrustworthy and lose potential clicks.

To ensure your LinkedIn profile is primed for ad click-throughs, ensure it's complete, up-to-date, and accurately represents you or your company. This includes your job title, industry, and relevant skills, professional headshot, and company details.

Remember that you represent your company when advertising on LinkedIn, so make sure to put your best foot forward.

Maximize Your LinkedIn Impact! Update your profile with your current job title, industry insights, and a professional photo. Show potential clients and partners the best of your expertise and your company. Visit MagicBrief for tips on crafting effective ads. Improve your LinkedIn today!

Get Your Targeting Right

Regardless of how good your ad copy or design is, you'll see your CTR drop if you reach the wrong audience. To combat this,  you must build a highly targeted audience using LinkedIn's robust targeting options.

Consider your ideal customers, create an ICP, and build your targeting parameters around them. This can include job titles, industries, company size, location, professional attributes, demographics, and more.

Remember that LinkedIn members are likelier to engage with content that speaks directly to their career interests. Furthermore, if you're selling a product or service, you'll want to target people most interested in your particular offering.

For example, targeting project managers or executives could be a good targeting strategy if you sell time management software. 

Don't forget to also exclude any audiences that are not relevant or would be unlikely to engage with your ad. This will help ensure your ad is shown to the most relevant and interested audience, increasing the likelihood of a high CTR.

Expand Your Connections

Ever wonder why brands focus on brand awareness campaigns? After all, they don't lead directly to increased revenue.

The answer is simple -  brand awareness campaigns leave a lasting impression on potential customers, which leads to engagement and, eventually, sales.

The same logic applies to LinkedIn advertising - the more connections you make, the more known and trustworthy your brand will be. Of course, how you're connecting with potential customers on LinkedIn matters.

Focus on building genuine connections, not just adding random people to your network. Join relevant groups and participate in discussions, engage with other users' content, and share valuable resources and insights.

The goal is to showcase your expertise and build credibility among potential customers.

Repurpose your content

We all know content is key to many digital marketing strategies, but constantly creating new content wastes a lot of time and resources.

A solution to this is repurposing your existing content.

Dive into your previous blog posts, videos, and infographics and tailor them to fit LinkedIn's platform and user base. This can include breaking down long-form content into short snippets, optimizing visuals for LinkedIn's dimensions, or even using parts of your previous content as part of a new LinkedIn article or video.

If you don't have reusable content, consider curating relevant industry articles and sharing them on your profile or in LinkedIn groups. You can add your thoughts and insights, helping you stand out as a thought leader in your industry.

Experiment with All Types of Ads

Unless you're a seasoned marketer with tons of ad campaign data for reference,  it's hard to know which ad type will work best.

At first glance, Sponsored Content may seem like the default go-to for LinkedIn ads. Still, for many businesses, it's actually Sponsored Messages or even Dynamic Ads that yield the best results.

If you have the budget or are unsure,  don't be afraid to experiment with different ad types.

After collecting data and analyzing the results, you can decide which ad type to invest more resources into.

Test Your Campaigns Regularly

LinkedIn's dynamic platform and diverse user base are never static. While users and their preferences constantly evolve, LinkedIn's algorithm and features constantly change. As such,  it's crucial to regularly test and tweak your ad campaigns to avoid stagnation.

Testing can involve any or all of the following:

  • A/B testing different ad variations, formats, and targeting options to see what resonates best with your audience
  • Adjusting your bidding strategies, i.e, bidding higher for specific placements or audiences
  • Changing the call-to-action or landing page for different campaigns
  • Analyzing campaign data and making adjustments accordingly, and so on.

You'll eventually optimize your campaigns for maximum ROI with these strategies. Additionally, keep up to date with LinkedIn's new features and algorithm changes, as they can greatly impact the success of your ads.

Average CTR for LinkedIn Ads’ FAQs

What are the most popular CTAs on LinkedIn?

The most popular LinkedIn CTAs are 'Learn More' for Brand Awareness campaigns and 'Download' for Lead Generation campaigns. According to data from Metadata users, both have been shown to deliver high engagement and conversion rates.

What are the most effective CTAs on LinkedIn?

The most effective CTAs on LinkedIn include 'Download,' 'Learn More,' 'Sign Up,' and 'Register,' with 'Download' being the best for lead generation, showing high CTR and low CPL.

'Learn More' and 'Register', meanwhile, are staple CTA choices for brand awareness and event sign-ups​​, respectively.

What is the average CTR for LinkedIn ads?

Let's go through some average CTRs for LinkedIn ads based on industry benchmarks:

Sponsored Content Ad (single-image, video & carousel ads): 0.44% – 0.65%

Text Ads: 0.025%

Dynamic Ads: 0.08%

Sponsored Messaging Ads: 3.2%

These all represent averages across all industries. As such, you'll want to hit these marks with your ads and then work to elevate them for stronger performance.

 What is a good CTR for LinkedIn ads?

Anything above the average CTR mentioned above is considered a good CTR for LinkedIn ads.

If you fall below the average, it could be a sign that your market is highly competitive, ad design or copy isn't strong enough, or you're targeting the wrong audiences. This is why continual testing and optimization are essential for achieving a good CTR on LinkedIn ads.

What is the average conversion rate on LinkedIn?

The benchmark conversion rate on LinkedIn is 5%-15%, with 6.1% being the average CVR for LinkedIn ads in the U.S.