Introduction

LinkedIn is the go-to platform for B2B advertising, but great creative and strong offers mean nothing if you’re showing them to the wrong people. Bad targeting doesn’t just waste ad spend — it inflates your cost per lead, fills your CRM with unqualified contacts, and makes it harder for sales teams to close deals.

In this article, we break down the most common LinkedIn targeting mistakes, the real costs they create, and how to fix them.

1. Why Targeting Matters More on LinkedIn

LinkedIn’s ad costs are higher than other platforms — CPCs typically range from $5–$12 depending on the industry (LinkedIn Marketing Labs, 2024). That means every wasted click has a bigger financial impact.

For context:

• If you run a £5,000 campaign with a CPC of £8, that’s 625 clicks.
• If just 40% of those clicks are from the wrong audience, you’ve effectively thrown away £2,000 before the sales team even gets involved.

2. The Most Common Targeting Mistakes

a. Overly Broad Job Titles

Targeting “Manager” or “Director” without narrowing by function means you’re reaching irrelevant decision-makers. A “Director” in HR is unlikely to care about your cloud security SaaS.

b. Ignoring Seniority Filters

Your ideal customer profile might be senior managers and C-level executives, but if you skip seniority filters, you’ll end up paying for clicks from entry-level staff who have no buying power.

c. Using Skills Instead of Job Functions

Skills can be misleading — someone might list “Marketing Strategy” but actually work in a non-marketing role. Job function and seniority are more reliable indicators.

d. Neglecting Company Size & Industry Filters

If you sell enterprise software but don’t set company size filters, you risk wasting spend on SMEs who can’t afford your solution.

3. The Financial Impact of Bad Targeting

Let’s take an example:

• Campaign budget: £10,000
• CPC: £8
• Clicks: 1,250

If 35% of clicks are irrelevant:

• Wasted clicks: 437
• Wasted spend: £3,496

Worse still, sales teams end up chasing dead leads, which lowers morale and damages marketing–sales alignment. HubSpot’s State of Marketing Report 2024 found that 61% of sales teams cite poor lead quality as their biggest frustration with marketing.

4. How to Fix LinkedIn Targeting

a. Start with a Clear ICP (Ideal Customer Profile)

Document your ICP with details like:

• Job titles (specific, not generic)
• Seniority levels
• Industry
• Company size
• Geographic region

b. Use Boolean Targeting

LinkedIn allows Boolean logic (AND, OR, NOT) for precision. Example: “Marketing Director” AND “Financial Services” AND “United Kingdom”.

c. Layer Audience Filters

Combine job function, seniority, industry, and company size to narrow your audience without over-restricting it.

d. Test & Exclude

Run A/B campaigns with slightly different targeting sets. Exclude audiences that consistently underperform — e.g., regions, industries, or company sizes with low CTR or conversion rates.

5. Retargeting: The Underused Goldmine

Most B2B advertisers focus on cold audiences and forget retargeting. Retargeting site visitors, LinkedIn video viewers, and engaged prospects can dramatically improve ROI.

LinkedIn’s own data shows that retargeting ads have 2–3× higher CTR than cold campaigns.

6. Case Study Snapshot

A SaaS client came to Rad.Digital spending £12,000/month on LinkedIn ads. CTR was a healthy 0.7%, but lead quality was low and cost per opportunity was £1,200.

By tightening targeting to their actual ICP, excluding non-buying regions, and building a retargeting layer:

• Lead quality improved by 46%
• Cost per opportunity dropped to £690
• Sales cycle shortened by 14 days

7. The Bottom Line

LinkedIn targeting isn’t just about reach — it’s about relevance. Every irrelevant click eats into budget and sales team bandwidth. Fixing your targeting can mean the difference between a £500 CPL and a £200 CPL without increasing spend.

Key Takeaway:
If you’re paying LinkedIn’s premium ad rates, every impression needs to count. Precision targeting isn’t optional — it’s the lever that drives both ROI and sales team confidence.

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