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Thanks for reaching out!
Navigating B2B advertising can feel like a complete maze, and it's easy to burn through a lot of money without seeing much in return. A lot of agencies will promise the world but deliver very little, mostly because they apply consumer-focused tactics to the B2B world, which is a completely different beast.
The core issue usually isn't just about 'reaching' an audience; it's about reaching them with a message and an offer that actually resonates with the very specific, urgent problems they're facing. Let's unpack what that really means.
First off, let's talk about 'brand awareness'... and why you should probably ignore it.
One of the first traps many businesses fall into, and one that many agencies will happily lead you into, is the 'brand awareness' campaign. The logic seems sound on the surface: "We need more people to know who we are." So you set up a campaign on Facebook or Instagram, select the "Brand Awareness" or "Reach" objective, and let it run.
Here’s the uncomfortable truth about what you're actually doing. You're giving a platform like Meta a very direct command: "Find me the largest number of eyeballs for the cheapest possible price." The algorithm, being incredibly efficient, does exactly that. It scours your target audience and identifies the people who are the least likely to click, least likely to engage, and definately least likely to ever become a customer. Why? Because those people's attention is cheap. They aren't in demand by other advertisers who are trying to sell things. You are, quite literally, paying the world's most powerful advertising machine to find you the worst possible prospects.
For a business that needs to generate leads and drive growth, this is a catastrophic waste of money. Real brand awareness, the kind that actually matters, is a byproduct of success, not a prerequisite for it. It comes from a competitor's client switching to you and telling their network why. It comes from solving a real problem so effectively that your customers become your biggest advocates. That only happens through conversion.
So, the first bit of advice is to ditch the vanity metric of 'awareness'. Every pound you spend on advertising should be aimed at a conversion objective – a lead, a signup, a trial, a sale. This forces the algorithm to find people who actually take action, which is the only thing that will move the needle for your business. We've seen this time and time again. For instance, we helped one medical SaaS client reduce their cost per user from a painful £100 (likely chasing awareness) down to just £7 by focusing relentlessly on conversion actions. That's the difference between burning cash and building a business.
You'll need to define your customer by their nightmare, not their job title...
The next critical piece of the puzzle is your Ideal Customer Profile, or ICP. Most companies define this with sterile demographics: "We sell to CMOs at tech companies with 50-200 employees in the UK." This is almost completely useless information. It tells you nothing of value and leads to generic, ignorable advertising that speaks to no one.
To stop wasting money, you have to define your customer by their pain. By their specific, urgent, expensive, career-threatening nightmare. Your ICP isn't a person; it's a problem state. You need to become an obsessive expert in that problem.
Let’s get specific.
A Head of Sales isn't just a job title. She's a leader who lies awake at 3 AM terrified that she's going to miss her quarterly target for the second time in a row, putting her own job on the line.
A law firm partner isn't just looking for 'document management'. He's haunted by the fear of a junior associate missing a critical filing deadline, exposing the entire firm to a multi-million-pound malpractice lawsuit.
A founder of a growing e-commerce business doesn't care about 'supply chain logistics'. She's panicking because her warehouse is a mess, orders are being shipped late, and a flood of one-star reviews is about to tank her brand's reputation.
When you understand the nightmare, your entire strategy changes. You're no longer selling a product; you're selling a solution to that visceral, emotional pain. This deep understanding is the foundation for everything that follows: your ad copy, your targeting, your offer.
Once you've isolated that nightmare, your next job is to find out where these people live online when they're trying to solve it. What niche podcasts do they listen to on their commute? Which industry newsletters do they *actually* open and read? What influencers do they follow on LinkedIn or Twitter? What software tools do they already pay for? Are they in specific Facebook groups or Slack communities? This intelligence is the blueprint for your targeting. It's hard work, but doing this upfront is the difference between precision strikes and blindly firing a shotgun into the dark.
ICP: The Wrong Way vs. The Right Way
| The Wrong Way (Demographics) | The Right Way (Pain-Based) |
|---|---|
| Target: Heads of HR at companies with 100-500 employees. | Target: Heads of HR who are struggling to retain their top tech talent because of a toxic "always-on" culture, and are seeing their best engineers poached by competitors offering better work-life balance. Their nightmare is a constantly revolving door of talent and the massive costs of recruitment. |
| Target: Financial Directors in the manufacturing sector. | Target: FDs in manufacturing who have zero visibility into their true cost of production per unit. They rely on outdated spreadsheets, can't make accurate pricing decisions, and suspect their margins are being eroded but can't prove where. Their nightmare is presenting flawed numbers to the board. |
We'll need to look at the numbers that dictate your budget...
So, once you know who you’re targeting and why, the next question is always "How much should we spend?" and "What's a good cost per lead?". This is where most conversations go off the rails. The real question isn't "How low can my Cost Per Lead (CPL) go?" but rather "How high a CPL can I afford to acquire a truly great customer?"
The answer to that question is found in its counterpart: Customer Lifetime Value (LTV). If you don't know this number, you are flying blind. Calculating it is simpler than you might think, and it's probably the most important bit of math for your business.
Let's break it down:
-> Average Revenue Per Account (ARPA): What's a typical customer worth to you each month? Let's say it's £1,000.
-> Gross Margin %: What's your profit on that revenue after accounting for the cost of servicing them? Let's say it's a healthy 75%.
-> Monthly Churn Rate: What percentage of your customers do you lose each month? Let's say it's 5%.
Now, we do the calculation.
Calculating Your Customer Lifetime Value (LTV)
LTV = (ARPA * Gross Margin %) / Monthly Churn Rate
LTV = (£1,000 * 0.75) / 0.05
LTV = £750 / 0.05
LTV = £15,000
There it is. In this example, each customer you acquire is worth £15,000 in gross margin to your business over their lifetime. This number changes everything. A common rule of thumb is to maintain a 3:1 LTV to Customer Acquisition Cost (CAC) ratio. This means you can afford to spend up to £5,000 to acquire a single £15,000 customer.
Let's take it a step further. If your sales team closes 1 in every 10 qualified leads they speak to, you can afford to pay up to £500 per qualified lead (£5,000 / 10). Suddenly, that £150 lead you got from a LinkedIn ad that looked expensive now seems like an absolute bargain. This is the math that unlocks intelligent, aggressive growth. It frees you from the tyranny of chasing cheap, low-quality leads and allows you to focus on acquiring customers who will actually drive your business forward. Without this calculation, you're just guessing. I’ve seen B2B software campaigns where the CPL for decision makers was around $22, which seems high until you realise there LTV was well into five figures.
I'd say your ads need to speak directly to that nightmare...
With a clear picture of your customer's pain and what they're worth to you, you can now craft a message they simply can't ignore. Most B2B advertising is boring. It's a list of features and benefits that sounds exactly like every competitor. Your ad needs to be different. It needs to enter the conversation already happening in your prospect's head.
There are proven formulas for this. Two of the most effective are Problem-Agitate-Solve (PAS) and Before-After-Bridge (BAB).
Problem-Agitate-Solve (PAS): You state the problem, you poke the bruise to make it hurt more, and then you present your solution as the painkiller. This works incredibly well for high-touch services.
Example for a fractional CMO service:
(P) Problem: Are your ad campaigns bleeding money with no clear ROI?
(A) Agitate: You know you need to scale, but every pound you put into ads feels like a gamble. Meanwhile, your competitors seem to be everywhere, confidently stealing market share.
(S) Solve: Get expert marketing leadership for a fraction of a full-time hire. We build predictable lead generation engines that turn your ad spend into measurable revenue.
Before-After-Bridge (BAB): You paint a picture of their current, frustrating world (Before). You then show them the ideal, transformed world (After). Finally, you position your product as the bridge to get them there. This is perfect for SaaS products.
Example for a project management SaaS:
(B) Before: Your team is drowning in spreadsheets, missed deadlines, and endless status update meetings. Nobody knows who is doing what, and critical projects are falling through the cracks.
(A) After: Imagine a single dashboard where every project is on track, every team member is clear on their priorities, and you have a real-time view of progress without ever having to ask "what's the status?".
(B) Bridge: Our platform is the bridge that gets you there. Ditch the chaos and start delivering projects on time, every time. Start your free trial today.
Notice how neither of these examples talks about features. They talk about outcomes. They talk about escaping pain and achieving a desired state. This is what sells, especially in B2B where decisions are driven by the need to solve significant business challenges. It’s a technique that has worked wonders. For example, we helped a B2B software client achieve over 4,600 registrations at just $2.38 each, demonstrating the power of direct, pain-focused messaging.
You probably should focus on where your customers are actually looking...
The next question is where to run these ads. The platform choice is absolutley critical. You need to go where your audience is, but more importantly, where their *intent* is highest.
-> Google Search Ads: This is for capturing active demand. People here are actively searching for a solution to their problem. They are problem-aware and solution-aware. If you're selling "cybersecurity compliance software for financial firms", you want to be the #1 result when a CTO searches for exactly that phrase. The intent is sky-high. This is often the lowest-hanging fruit for B2B. You're not trying to convince someone they have a problem; you're just showing them you have the best solution for the problem they already know they have. The key is meticulous keyword research, focusing on phrases that signal commercial or transactional intent ("best software for...", "pricing", "alternative to...", "service provider near me") rather than purely informational queries ("what is...").
-> LinkedIn Ads: This is your tool for precision targeting when there isn't active search volume, or when you need to get in front of a very specific type of person. LinkedIn's targeting is unmatched for B2B. You can target by company size, industry, specific job titles, seniority level, and even members of specific professional groups. This is where your deep ICP research pays off. You're not targeting "HR Managers"; you're targeting "Heads of People at UK-based SaaS companies with 100-250 employees who are members of the 'People Geeks' group". The costs are higher than other platforms, but the quality of the lead can be phenomenal if your message and offer are right. We've run many successful campaigns here, including, as I mentioned, one for a B2B software that achieved a $22 cost per lead targeting specific decision-makers. You'd typically test sponsored content (image or video ads in the feed) combined with a Lead Gen Form to make it easy for people to convert directly on the platform.
-> Meta (Facebook/Instagram): This can be trickier for B2B but shouldn't be dismissed. It can work very well if you sell to small business owners (who are often reachable via interests like "Facebook Business Page Admins") or if your service has a strong visual or lifestyle component. One of our B2B SaaS clients, as I talked about earlier, saw great success on Meta, getting over 4,600 registrations at just $2.38 each because their software appealed to a broad base of entrepreneurs who are very active on the platform. The key here is, again, to run conversion campaigns and leverage lookalike audiences once you have enough data from your website pixel.
The right strategy often involves a mix. Google Search to capture existing demand, and LinkedIn to proactively generate demand from your perfect ICP.
You'll need to kill your 'Request a Demo' button...
This might be the most important, and most contrarian, piece of advice I can give you. We now arrive at the most common point of failure in all of B2B advertising: the offer on your landing page. The "Request a Demo" button is quite possibly the most arrogant Call to Action ever created.
Think about what you're asking. You're asking a busy, important person—the one whose nightmare you're trying to solve—to stop what they're doing, give you their contact details, and book time in their calendar to be sold to by one of your sales reps. It's high friction and low value. It immediately frames the interaction as a sales pitch, not a problem-solving session. It's the digital equivalent of a cold call, and people hate it.
Your offer's only job is to deliver a moment of undeniable value. An "aha!" moment that makes the prospect sell *themselves* on your solution. You must solve a small, real problem for free to earn the right to solve the whole thing.
What does this look like in practice?
-> For SaaS companies: This is your ultimate advantage. The gold standard is a free trial (no credit card required) or a freemium plan. Let them use the actual product. Let them feel the transformation for themselves. When the product proves its own value, the sale becomes a formality. You're not generating Marketing Qualified Leads (MQLs) for a sales team to chase; you are creating Product Qualified Leads (PQLs) who are already convinced. I've seen countless B2B SaaS companies struggle until they switched from a "Demo" to a "Free Trial" model. We helped one B2B SaaS client, as I mentioned earlier, get 1535 trials this way.
-> For Service/Consulting businesses: You are not exempt. You must bottle your expertise into a tool or asset that provides instant value. For a marketing agency, this could be a free, automated website audit that reveals their top 3 SEO opportunities. For a data analytics firm, a free 'Data Health Check' that flags the biggest issues in their database. For us, as a B2B advertising consultancy, it’s a free 20-minute strategy session where we audit failing ad campaigns and provide actionable advice. It's not a sales pitch; it's a demonstration of expertise. We're giving value first.
Kill the "Request a Demo" button. Replace it with something that offers immediate, tangible value. Your conversion rates will thank you for it.
Finally, let's talk about finding the right agency...
So, with all that in mind, how do you choose a partner to help you execute this? It's not easy, as many agencies talk a good game. Here’s what to look for:
-> Look for Case Studies, Not Promises: Any agency can promise you the moon. A good agency will show you their work. Ask to see detailed case studies, especially for businesses similar to yours. Do they have experience in B2B? In your industry? Have they delivered tangible results like leads, trials, and revenue, or just fluffy metrics like 'reach' and 'impressions'? For example, we've helped clients achieve significant results, such as driving B2B leads for high-ticket industrial products, or reducing cost per lead by 84% for a client in environmental controls. The proof should be in the results.
-> Gauge Their Expertise on a Call: The best way to vet an agency is to get on a call with them. Book a consultation or an initial meeting. Don't listen for a sales pitch; listen for expertise. Are they asking you smart questions about your business, your LTV, your ICP's pain points? Or are they just talking about themselves? A good agency will give you valuable advice for free on that first call, because they're confident in their knowledge. It should feel like you've already learned something important just by talking to them.
-> Trust is paramount: You need to feel you can trust them to manage your money wisely. Look at reviews, see what past clients say. But ultimately, it comes down to a gut feeling after you've reviewed their work and spoken to them. Tbh, if a potential client has seen our detailed case studies, had a free strategy session with us, and *still* asks to speak to our other clients for a reference, we see it as a red flag. It signals a fundamental lack of trust that will likely plague the entire relationship. You're hiring an expert partner, not a junior employee you need to micromanage.
I've detailed my main recommendations for you below:
This is a lot to take in, I know. Here is a summary of the main advice I have for you, which is the framework a good agency partner should be implementing for you.
| Recommendation | Why It's Important | Actionable First Step |
|---|---|---|
| 1. Ditch 'Brand Awareness' Campaigns | They target the lowest-quality audience for the cheapest price, burning cash without generating leads. True awareness is a byproduct of sales. | Audit all current/past campaigns. Ensure every single one is optimised for a conversion event (e.g., lead, trial, sale). |
| 2. Define Your ICP by Their 'Nightmare' | Demographics are useless. Targeting a specific, urgent pain point makes your messaging a thousand times more effective. | Interview 5 of your best customers and ask them what life was like *before* they used your product/service. Identify the core pain. |
| 3. Calculate Your LTV and Affordable CAC | This is the core financial metric that dictates your entire advertising budget and strategy. It turns advertising from a cost into an investment. | Gather your ARPA, Gross Margin %, and Monthly Churn Rate and calculate your LTV using the formula provided above. |
| 4. Replace "Request a Demo" with a High-Value Offer | "Request a Demo" is a high-friction, low-value CTA. You must provide immediate value to earn a prospect's trust and time. | Brainstorm a valuable asset you can offer for free: a free trial, a custom audit tool, a high-value checklist, or a free strategy session. |
| 5. Prioritise Intent-Based Platforms | Focus your budget where your prospects are either actively searching for a solution (Google) or where you can target them with precision (LinkedIn). | Start with a small budget on Google Search targeting high-intent keywords, and a seperate campaign on LinkedIn targeting your pain-based ICP. |
Getting this right isn't simple. It requires a strategic mindset, deep platform expertise, and a relentless focus on business outcomes, not just ad metrics. This is why many businesses choose to work with a specialist partner. An expert can help you build this entire engine, from defining the strategy to executing the campaigns, saving you from costly mistakes and accelerating your growth.
If you’d like to discuss how these principles could be applied specifically to your business, we offer a free, no-obligation initial consultation. We can take a look at your current situation and give you some actionable advice on the best path forward.
Hope that helps!
Regards,
Team @ Lukas Holschuh