Should Startups Use LinkedIn Ads? A Look at the Benefits and Limitations

LinkedIn Ads is a powerful advertising platform with unique targeting capabilities, but the cost per click and impression rates are significantly higher compared to other platforms. In this article, we will explore whether it is worthwhile for startups to use LinkedIn Ads. Should startups invest in LinkedIn Ads? Let's find out.

Key Requirements for Success on LinkedIn Ads

Budget and High Customer Lifetime Value (LTV)

LinkedIn Ads has relatively high click and impression costs, so companies advertising on this platform should have a high LTV to recoup their investments. If your product is relatively inexpensive (e.g., SaaS software priced at $50 or $100 per month) and you have few loyal customers, it is unlikely that you will recover your expenses. However, if your LTV is $10,000 or $15,000 or higher, using LinkedIn Ads can be a reasonable decision!

Significant Advertising Expenses

The high cost per click and impression entails corresponding advertising expenses. A substantial advertising budget allows you to generate more clicks, leads, and contributes to the rapid growth of your business. If you do not have a sufficient advertising budget to conduct a three-month testing period on LinkedIn Ads, it is not recommended to use this platform. This refers to audience cultivation, brand awareness campaigns, and lead generation throughout the entire testing period.

The Importance of AMO in Advertising (Audience, Message, and Offer)

Audience: LinkedIn provides access to a specific audience, so it is crucial to carefully select and test your target audience for effective platform utilization.

Message: This is what your customer sees immediately. The message consists of a combination of your chosen ad copy, visuals, and ad format.

Offer: The most important part or what you offer your potential customer in exchange for their attention.

Myths and Mistakes

There is a common misconception that startups inherently have a small budget and low LTV. However, this is not entirely true. Small companies often have a decent budget, compelling offers, and a high customer lifetime value.

Recommendations for Startups

  • Take into account potential limitations, such as a limited budget, a small team, and a lack of experience in strategy and planning.
  • Seek the assistance of external specialists to handle tasks for which you lack time or expertise.
  • Consider outsourcing design and content creation to compensate for limited resources.
  • Set realistic expectations for company management regarding LinkedIn advertising.
  • If your budget is limited, try concentrating it at the beginning of your campaign to achieve faster results and draw conclusions.

Additionally, to promote your startup, you can consider using Google Ads or TikTok Ads. However, cost savings on the advertising budget become an important aspect here. In this case, we strongly recommend using our service - the BudgetMaxx project.

You can successfully utilize BudgetMaxx to save on advertising expenses across various platforms such as Google Ads and TikTok Ads. In addition, we offer free courses that will help you develop your advertising skills and make your startup even more successful!


It is worth noting that LinkedIn Ads can be a powerful tool for startups, but only with a sufficient budget and high LTV. If your budget is limited or your product is niche-oriented, you might want to consider other advertising platforms.

It is also important to remember that success on LinkedIn Ads depends on proper audience targeting, messaging, and offers. Carefully consider these aspects before deciding on investing in advertising on this platform. If you have the necessary resources and are willing to spend time and effort on your advertising campaigns, LinkedIn Ads can be a good option for promoting your startup.