Why B2B marketers are betting big on LinkedIn

B2B marketing is evolving rapidly in today's digital age - the rulebook that previously worked for the industry is being replaced by newer technologies and shifting consumer preferences. Businesses can no longer focus solely on lead generation - they must also prioritize brand building, audience engagement, and fostering deeper connections to stay ahead of the competition.

The focus for B2B marketing is now shifting towards LinkedIn. Advertisers are tapping into this platform because of its targeted audience and professional user base, it offers businesses an effective way to reach decision-makers and industry professionals.

According to the e-marketer portal, LinkedIn was estimated to generate $4.21 billion in B2B ad revenue in 2024, accounting for 47.2% of B2B display ad spending and 22.9% of overall B2B digital ad spending.

“LinkedIn Marketing Solutions, our ads business, continues to lead B2B digital advertising. The business surpassed $5 billion in annual revenue in July 2022 with the current annual revenue being north of this figure. Our biggest advantage is that we understand the B2B ecosystem and help companies deliver the right message, to the right audience, on a safe and trusted platform,” said Sachin Sharma, Director - Marketing Solutions, LinkedIn India.

Case By Case

Indian brands are also leveraging LinkedIn ad space for lead generation and brand building. 

According to Shubhranshu Singh, Chief Marketing Officer at Tata Motors, the brand has incorporated LinkedIn in their digital strategy by leveraging content seeding and targeted advertising to engage decision-makers in key industries. He said that by using LinkedIn’s precise B2B targeting, Tata Motors has ensured its content reaches core industry professionals, fostering organic discussions, industry credibility, and lead generation.

“For its International Business (IB) division, LinkedIn has been used to position Tata Motors as a trusted mobility partner in Saudi Arabia and Bangladesh, promoting flagship models like Ultra, Prima, and Xenon through teaser campaigns, video storytelling, and engagement-driven posts. Domestically, Tata Motors has utilized LinkedIn’s social ecosystem to amplify campaigns like Trucking into the Future, driving conversations around innovation, fuel efficiency, and safety in commercial vehicles,” Singh said.

Meanwhile, for Amagi - a company in the broadcast and streaming sector, LinkedIn helps reach a highly relevant audience base.

Sanjay Kirimanjeshwar, Vice President - Corporate Marketing at Amagi said, “Research tells us that LinkedIn users have 2x buying power compared to the average web audience. With more than 80 per cent of B2B leads from social media coming from LinkedIn, it's an attractive platform to create awareness and demand. In a niche segment like broadcast and streaming that we operate in, we can address specific ICPs through LinkedIn advertising,” he shared, citing the example of a recent campaign wherein they found nearly 60 per cent of the target industry audience to be highly relevant to the buying centres they wanted to reach out to.

Educational institutions are also using LinkedIn to reach the right audience. Narsee Monjee Institute of Management Studies (NMIMS) strategically leverages this for their postgraduate programmes, which often demand students to have certain qualifications. 

Burzeen Bhathena, Director of Marketing at NMIMS, further explained that the decision to use it specifically for postgraduate programmes stems from the understanding of the platform demographics and user behaviour.

Sharing another example, Bathena said: “We have successfully targeted the correct set of audiences for specialised programmes like MBA in Healthcare Management, where LinkedIn's filtering based on professions allows us to reach Doctors and healthcare professionals only.” 

Kirtan Mankad, CEO and Co-founder of Blackcoffee.media further suggested that LinkedIn is the easiest platform for lead generation. 

“LinkedIn has evolved into a key demand-generation channel, especially for high-ticket B2B industries. Businesses are investing more due to precise targeting, improved ad formats, and a shift toward content-driven sales cycles. Account-Based Marketing (ABM) and LinkedIn Lead Gen Forms have made it easier to engage decision-makers and convert them without relying on cold outreach only,” he added.

Challenges & limitations 

Despite LinkedIn’s stronghold in B2B marketing, it comes with its own set of challenges. LinkedIn's B2B advertising relies heavily on user-generated data, meaning the platform uses information that users voluntarily provide on their profiles, such as job titles, industries, skills, and company details. However, many users do not frequently update their profiles, leading to outdated or incorrect information. This discrepancy can result in inefficient ad spend and inflated customer acquisition costs.

Industry observers shared that with Linkedin, engagement rates can also be lower. Unlike platforms like Facebook and Instagram, where users actively engage with content, LinkedIn is primarily used for professional networking. Many users do not frequently interact with ads which may result in lower engagement rates.

Increased CPL

According to industry experts, LinkedIn ads are also comparatively expensive than other social media platforms. Despite its efficient targeting and lead generation, LinkedIn's Cost Per Click (CPC) and Cost Per Lead (CPL) remain high. 

Prady Kumaar, CEO and Co-Founder, NP Digital India, says, the ROI from LinkedIn advertising depends largely on campaign objectives and industry verticals. Compared to platforms like Facebook and Instagram, LinkedIn generally has a higher CPC and CPL. 

“However, the quality of leads tends to be superior, particularly for B2B brands, enterprise solutions, and niche services,” Kumaar added.

While platforms like Meta and Google are more effective for mass-market awareness and performance marketing, LinkedIn excels in precision targeting and engaging professionals in a business-first mindset, he noted.

Similar thoughts were echoed by Singh who said that LinkedIn provides higher-value engagement and lead quality in line with other social platforms with a different cut of targeting, which prioritizes relevant reach. He added, “While the CPI or CPL may be higher in certain cases, Tata Motors benefits from LinkedIn’s niche targeting, ensuring that content is consumed by relevant decision-makers rather than broad consumer audiences. Additionally, LinkedIn’s organic content seeding allows thought leadership posts, executive insights, and case studies to gain traction through professional networks, reducing dependency on paid promotions over time.”

Bhathena further shared that even though LinkedIn provides sharp targeting capabilities, he has consistently observed higher acquisition costs compared to other platforms. He explained, “The ROAS (Return on Ad Spend) is also generally lower than other touchpoints. However, we continue to invest in LinkedIn for specific programs where precision targeting justifies the higher costs. For instance, when driving admissions for specialised programs where reaching the right audience is crucial, LinkedIn's higher costs are offset by the quality of leads and registrations that are generated.”

Top Voices

With LinkedIn’s growing user base in India and its expanding presence in the advertising space, the platform is also seeing a rise in LinkedIn influencers also known as LinkedIn’s Top Voices. These influencers are often hired by brands to promote their products. Unlike other social media influencers, LinkedIn influencers are often industry leaders, CEOs, or domain experts who command high trust. 

“We're seeing a lot of B2B and even B2C brands leveraging LinkedIn influencers to reach their target audience. LinkedIn influencers already have established credibility and expertise in their industry. By partnering with them, brands can tap into that existing trust and authority. It's a win-win,” said Shubham Singhal, Co-founder and CEO of Dot Media. 

Vipul Arora, Head of Brand Solutions, Gozoop Group, further explained that LinkedIn influencers operate on a different level compared to others. They are usually well-respected individuals such as CEOs or leading business specialists who have a lot of trust within their social networks. “Unlike other platforms geared towards consumers, B2B is dominated by senior managers and professional experts on LinkedIn, who actively search for new information. This brings massive value to engagement. When a credible figure in a certain industry speaks about a product, showcases a case, or explains a brand’s offering, it carries more weight than conventional ads,” he added. 

According to Arora, forward-thinking companies are taking advantage of this by crafting pieces of co-created content, including leadership articles, LinkedIn Lives, AMAs, and engaging long-form posts. SaaS companies, financial institutions, and consulting firms have started adopting LinkedIn influencers as a way to convey messages in a more personal manner to potential clients and earn their trust.

Video Push

LinkedIn has also recently launched its own ‘Video’ feature which again promotes short-form ads and influencer engagement. 

Sharma highlighted that video content is increasingly becoming the most compelling format, with 66% of B2B buyers in India indicating that short-form video helps inform their buying decisions. He said, “Our investments in rich formats, like video, strengthen our leadership in B2B advertising and amplify the value we deliver to our customers. Weekly immersive video views increased 6x quarter-over-quarter and total video viewership on LinkedIn is up 36% year-over-year.” 

Sharma further added that in order to help marketers leverage this trend, LinkedIn is continually enhancing its video advertising capabilities. “Accelerate, our AI-powered campaign creation tool, now supports video ads, to help B2B marketers with new features to tailor their AI-generated campaigns to achieve their marketing goals. We’ve also enhanced Live Event Ads, allowing marketers to offer a 30-second sneak peek video during and post-event to drive registration and attendance.”

With LinkedIn offering significant advantages for advertisers, the influencer scene on the platform is experiencing steady growth. Micro-niche influencers, with follower counts ranging from 10,000 to 50,000 with highly engaged influencers from specialized industries command fees between ₹15,000 and ₹50,000. Arora further explained that mid-tier influencers, with follower counts ranging from 50,000 to 150,000, fall into the second tier of the pay scale. These influencers have a broader reach but lower engagement and are typically compensated between ₹50,000 and ₹2 lakh for posts, live sessions, or campaigns.

At the top of the scale are CXOs, authors, and industry leaders, along with other high-profile influencers. With followings exceeding 150,000, they can charge up to ₹10 lakh for campaigns. Moreover, these influencers have the potential to earn more through brand ambassador roles, executive interviews, and other high-paying opportunities.

Sharma highlighted that B2B brands are recognising that people trust people and expert-driven thought leadership from influencers and expert voices plays a critical role in the consideration stage of the buying process - and ultimately helps drive purchases. He said, “In the year ahead, we’ll see B2B brands reallocate their budgets towards influencer marketing with 61% of B2B leaders saying they will increase spending on influencer content shortly.”

The Way Ahead

LinkedIn’s recent initiatives to enhance user engagement such as integrating daily puzzles, AI-generated career advice, and a shift towards more dynamic content formats signal a shift towards making the platform more interactive and engaging. 

Sharma said, “With nearly 150 million members, India is LinkedIn’s second-largest market in terms of member growth. To support brands in engaging decision-makers in India, whether they are target buyers or hidden buyers, we’re innovating solutions for every stage of the marketing and buyer journey. We’re building products to help brands build relationships with their audience, whether they are ready to buy today, tomorrow, or sometime in the future.”

He further highlighted the recent initiatives launched by LinkedIn to strengthen its advertising space. He added, “In the age of AI, authenticity and credibility take centre stage in the year ahead, and we’ve launched ‘Thought Leader Ads’ that allows brands to promote posts from their executive leaders, employees, influencers, creators, or industry experts. Additionally, with ‘Sponsored Newsletters’, brands can now amplify their own or any member’s newsletter as a Thought Leader Ad, driving higher engagement. Our other AI-powered tools such as AI-generated Copy Suggestions help marketers jumpstart their campaigns, building efficiencies, so marketers can focus on higher value work.” 

Experts believe that these initiatives will further help them in curating strategies that are more engagement-driven. 

“The platform is evolving from a traditional professional networking site into a dynamic content hub where users spend more time engaging with personalized insights, career resources, and thought leadership,” said Kumaar. He further added that we can expect richer ad experiences leveraging AI-powered personalization and immersive formats like interactive polls, dynamic carousels, and short-form videos. 

Kumaar further believes that as LinkedIn’s user base diversifies, sectors outside traditional B2B - such as high-value consumer brands and educational institutions—may also see greater traction on the platform. 

Meanwhile, Singh suggested that Tata Motors can benefit from leveraging these initiatives. “AI-driven recommendations will enhance content distribution, ensuring that product insights, fleet innovations, and industry discussions reach the most relevant professionals organically. Enhanced Data & Predictive Analytics: LinkedIn’s increasing focus on AI-driven ad targeting will refine audience segmentation, allowing Tata Motors to serve hyper-personalized campaigns based on user engagement patterns.”

Where brands and digital marketing experts seem to stand to benefit from the new initiatives, influencers are no different. 

“With the introduction of daily puzzles and AI-generated career advice, LinkedIn is pushing for more dynamic and engaging content formats. AI is also going to play a bigger role in analyzing content performance and tailoring strategies accordingly. This will be a game-changer for brands and influencers, as they'll be able to track their performance and adjust their approach in real time. Community building is another area that's going to see a lot of growth. As influencers foster closer connections with their niche audiences, we can expect to see more targeted marketing strategies that speak to specific groups,” said Singhal. 

He further added that with LinkedIn's emphasis on professionalism, these communities are likely to be highly engaged and receptive to relevant content. Also, with enhanced analytics tools, brands will be able to track the performance of their influencer campaigns more effectively. 

This growth in influencer engagement was further highlighted by Arora who concluded, “As LinkedIn grows, influencers will slowly begin to shift from text-based posts to interactive ones such as polls, quizzes, video story-telling, and carousels. Overall, LinkedIn is evolving into a more dynamic, community-driven, and AI-powered professional platform. Influencers who embrace interactivity, personalization, and deep audience engagement will thrive, making LinkedIn an even more powerful space for B2B and thought leadership-driven marketing.”