While Allen Finn previously explained on nexus-security why Facebook ads are beneficial for B2B, a surprising statistic from Zoominfo reveals that only 39% of marketers have even experimented with Facebook ads for engaging B2B prospects.
If Finn’s insights haven’t persuaded you yet, let me present my own experiences that highlight Facebook’s untapped potential for B2B. I’ll also provide three strategies for generating high-quality B2B leads.
Why B2B Facebook Ads Work
According to Marketing Charts’s analysis of a Hubspot report, agencies in 2017 faced an average cost-per-B2B-lead of $172.72 across various channels. In contrast, our agency routinely achieves costs as low as $50 per lead for our clients using Facebook campaigns. A real campaign screenshot below demonstrates this cost-effectiveness. It’s important to note that we prioritize quality, so even cheaper leads are often excluded.
Furthermore, LinkedIn, the leading social platform for B2B, responsible for over 80% of B2B leads, has an average cost-per-click that was $6.50 in 2017. Meanwhile, Facebook offers comparable clicks for a mere $1-$2.
Evidently, a disconnect exists between Facebook’s potential for generating affordable B2B leads and its perception among marketers and business owners. Facebook’s image as a platform for leisure, unlike LinkedIn’s professional networking environment, contributes to this misconception. However, I’ve encountered numerous small businesses disillusioned by Facebook’s perceived ineffectiveness. They express frustration over attracting clicks that fail to convert into qualified leads. One business owner shared their experience of generating over 50 leads in a month, with only one meeting their criteria.
This disparity highlights the need to understand what successful marketers do differently. In this article, I’ll share proven strategies for enhancing B2B lead quality, based on our direct experiences, not mere theories. By implementing these tactics, you can avoid common pitfalls and optimize your B2B lead generation efforts. *We prioritize quality over quantity, which explains our relatively lower lead count. This is because we introduce friction in our funnel by requiring potential leads to confirm their status as full-time business owners or meet certain income requirements before scheduling a call.
Leverage Proof
Reflect on your last major business purchase. Did you meticulously analyze options, compare features, seek external opinions, and approach the decision with caution? Or did you hastily choose the first sponsored result after a cursory Google search?
Your clients likely follow a similar decision-making process. If you target million-dollar businesses with dedicated marketing teams, they won’t rush into hiring an agency. Qualified prospects value efficiency, transparency, and mutual respect for time. They avoid impulsive decisions.
Therefore, incorporating proof into your Facebook ads is crucial for attracting qualified prospects who are more likely to complete contact forms and engage in calls.
To showcase the impact of proof, we conducted a split test. Initially, one client’s ad already included proof:
We decided to amplify this by removing all numerical proof from one ad and its landing page while doubling down on proof in another, bolstering its headline:
The “Uber-Proof” version’s landing page sub-headline read:
Conversely, the other landing page had its sub-headline removed:
We ran this test for two weeks to gather data. The results were telling:
While not statistically significant due to the limited sample size, the results align with our intuitive understanding of how business owners evaluate potential partners. Proof builds trust and credibility.
Empower the Algorithm
Articles on B2B lead generation through Facebook ads often emphasize audience segmentation. Many suggest creating detailed client avatars with numerous characteristics:
- CEO or CMO?
- Male or female?
- Apple pie or cherry pie preference?
While not as trivial as the last point, these articles advocate for highly specific “uber-audiences” with numerous targeting parameters.
However, our testing reveals that these “smart” audiences often underperform compared to simpler alternatives.
Consider this “dumb” audience with only three interests:
Now, compare its performance to a “smart” audience with seven parameters (two demographic and five interests) in the same campaign:
The results speak for themselves.
While this is a single example, we’ve consistently observed similar patterns across numerous campaigns. “Smart” audiences rarely outperform simpler ones.
Two hypotheses explain this phenomenon.
First, as Nassim Taleb argues in “The Black Swan” and “Antifragile,” humans struggle to predict the future or accurately anticipate market behavior. “Smart” audiences attempt to preemptively define buyer characteristics, often with limited success.
A more effective approach? Trial and error.
We maintain a spreadsheet with up to 100 potential interests per campaign and continuously test at least five in parallel. This data-driven approach reveals which parameters yield the best results.
Second, Facebook’s algorithm excels at identifying the optimal audience for maximizing conversions, provided you track the right parameters (as emphasized by Allen Finn, understanding the tracking pixel is crucial).
When determining audience size, a balance is key. An excessively broad audience depletes your budget without yielding conversions, while an overly narrow audience restricts the algorithm’s reach. “Smart” audiences often fall into this trap, excluding potentially qualified prospects.
Craft Laser-Focused Ad Copy
A common marketing adage states, “Google is for decision-making; Facebook is for decision avoidance.”
Yet, as we’ve established, Facebook can be a goldmine for affordable, qualified B2B leads.
The key difference lies in intent. On Google, users actively seek solutions. On Facebook, they’re often seeking distraction:
This presents a unique challenge and opportunity. You must capture your audience’s attention while they’re browsing baby photos, not actively searching for solutions.
This is where specificity in ad copy becomes paramount.
Imagine you’re frustrated with your inventory software. You yearn for real-time updates across all devices, eliminating the need for employees to constantly log onto a central computer.
Now, envision a software company offering precisely that.
Would an ad proclaiming, “Finally – inventory software with real-time updates,” with a headline like, “Stop Wasting Time Logging On and Get Back to Business,” pique your interest?
Absolutely.
Compare this to a generic ad stating, “Acme Inventory Software, for all your inventory needs.”
The difference in impact is stark. Specificity is key to cutting through the noise and capturing attention on a platform like Facebook.
Ready to Explore Facebook Ads but Concerned About Unqualified Leads?
Ineffective Facebook ad campaigns often yield undesirable leads:
- Part-timers or “wantrapreneurs”
- Freeloaders
- Time-wasters
However, qualified prospects exist and are ready to engage with your business. You simply need the right approach:
- Provide compelling proof of your capabilities
- Clearly define campaign goals and strike a balance with targeting
- Craft laser-focused ad copy
By implementing these strategies, you’ll minimize unqualified leads and attract high-quality B2B prospects, maximizing your return on investment and fueling business growth.