B2B Tech Lead Costs: The Complete 2024 Guide

Right, so you're after an average cost per lead (CPL) in the B2B tech industry. That's a pretty broad question. It's not like there's a one-size-fits-all answer, but let's break it down.

Firstly, costs vary wildly. We've seen B2B tech CPLs anywhere from £7 (pretty rare!) to $22 on LinkedIn. It really depends on your niche, your targeting, and most importantly, how good your landing page and offer is. But I'd say you'd be looking at between £20-£80 per lead, at least to begin with.

Here's the main questions you need to be asking yourself:

What platform are you using?

Different platforms are suited to different situations. What is your goal? Are you trying to get a conversation going? Or are you trying to have people download something, or sign up for a trial? As an agency, I assume you're selling to other businesses? First thing I'd do is think about your ideal customers. Who are the companies that buy from you, who are the decision makers? Are they actively searching for a solution? -> Most business services are pretty difficult to sell unless the company already has an urgent need they are looking to solve. -> Google Search ads will likely be your best option to get traffic from people searching for help.

LinkedIn Ads: It's great for B2B because you can target people based on their job title, industry, company size, and all that jazz. This precise targeting comes at a cost, mind you. It is the most expensive.
Google Ads: If people are actively searching for your solution, Google Search Ads can be a goldmine. The cost will depend on how competitive the keywords are (e.g. "cloud computing solutions" is gonna cost more than "bespoke widget software"). You have to have the right search intent and the right offer for Google Search to work.

Who are you targeting?

The narrower and more specific your target audience, the more you'll likely pay. Think about it: if you're targeting CMOs at Fortune 500 companies, you're competing with everyone else trying to reach those high-value decision makers.
To keep costs down, you could try broadening your audience a little, but be careful not to go too broad, or you'll end up wasting money on unqualified leads.

Is your landing page any good?

This is where a lot of people fall down. You can have the best targeting in the world, but if your landing page is rubbish, you're wasting your money. Your landing page needs to be clear, concise, and persuasive. It needs to tell people exactly what you do, why they need it, and what they need to do next.
I've seen B2B websites with terrible user experience (UX) and sales copy that nobody could understand. Get some professional copy written - it'll pay for itself in the long run.

What's your offer?

Are you offering a free trial? A demo? A free consultation? The stronger your offer, the easier it'll be to generate leads.
We've found that free trials work really well for B2B SaaS companies. Get people in the door, let them see the value of your product, and then upsell them to a paid plan later. But whatever you do, make sure it's something that's actually valuable to your target audience.

A few other things to consider

• Industry Trends: The B2B tech industry is constantly evolving. What worked last year might not work this year. Keep an eye on industry trends and adjust your strategy accordingly.
• Seasonality: Are there certain times of the year when demand for your product is higher or lower? Adjust your ad spend accordingly.
• Location: If you're targeting a specific geographic area, costs may be higher or lower depending on the competition in that area.

Case Studies

Looking at previous case studies can be helpful to get an idea of what to expect. Keep in mind that these results are from other campaigns and may not be representative of what you'll see.

We've seen quite a few campaigns for B2B SaaS. Some see ROI within a few days. But many take longer to optimise. A lot will depend on your offer, a completely free trial usually works best to get people in the door, then you can onboard them, nurture them, and upsell them to a plan later. To get people interested, you need a landing page with persuasive copy - we use a copywriter for this with experience writing for SaaS. Then need to decide on the right ad platform: for B2B it's usually either LinkedIn or Google Search ads.

Here's a few examples of cost and results we've achieved for previous B2B Software clients, although these won't necessarily be representative of your situation:

• A client saw 3,543 users at £0.96 each on Google Ads.
• We delivered 5082 Software Trials at $7 per trial on Meta Ads for another client.
• For a B2B Software client, we achieved 4,622 Registrations at $2.38 on Meta Ads.
• We reduced the CPA for a Medical Job Matching SaaS from £100 to £7 on Meta Ads and Google Ads.
• Another B2B SaaS client saw 1535 trials on Meta Ads.

These are average results across a range of campaigns, not best-case scenario examples or cherry-picked figures.

Okay so how do you bring down the cost per lead?

Here are a few tricks you can implement to bring down the cost per lead:

Split testing: Split testing is when you simultaneously test two versions of the same ad campaign. For example, you might test two different versions of your landing page to see which one converts better. Or, you might test two different ad creatives to see which one gets more clicks.

Campaign structure: Structure all your campaigns in a consistent manner. The reason for this is that, after a while, you're able to run reports across all campaigns and easily analyse performance. You can also see which ones are under-performing and implement split tests on these.

Retargeting: Retargeting is when you show ads to people who have already visited your website or interacted with your brand. For example, you might retarget people who have visited your landing page but haven't signed up for a free trial. These users are more likely to convert.

Website optimisation: Constantly optimise your website for conversions. This means making sure your website is easy to navigate, that your sales copy is clear and persuasive, and that your call to action is prominent. The more you can improve your website's conversion rate, the lower your cost per lead will be.

Campaign Optimisation: Keep on optimising your campaigns on an ongoing basis. This means constantly monitoring your results, identifying areas for improvement, and making adjustments to your campaigns accordingly.

Targeting: Look at your targetting options on the platform, and target the specific people who you think would be most likely to convert.

There are usually lots more audiences you could test out. Keep on testing until you find new winners.

Creative testing: Test different messaging. Test different formats. The more you mix things up, the more likely you are to find new winning creatives.

So what does this mean for you?

It means you need to be prepared to invest time and effort into your B2B tech advertising campaigns. There's no such thing as a "set and forget" strategy. You need to be constantly testing, optimising, and refining your campaigns to get the best results.

The most important thing to remember is that B2B tech leads are expensive. Don't expect to generate hundreds of leads for pennies. Be prepared to pay a premium for qualified leads that have the potential to turn into paying customers.

When might you want to consider expert help?

If you're struggling to generate leads at a reasonable cost, it might be time to bring in the experts. We've helped loads of B2B tech companies to get more leads, and we can do the same for you.
We'll start by doing a thorough audit of your current advertising campaigns and website. Then, we'll develop a custom strategy that's tailored to your specific needs and goals. And finally, we'll implement that strategy and monitor your results on an ongoing basis.
If you're interested in learning more, we offer a free consultation. We'll talk about your business, your goals, and how we can help you achieve them.

Hope this helps!