PPC for B2B. It doesn’t just sound catchy (or terribly obtuse, depending on your perception of acronyms). It also works very well, if done correctly. Pay-per-click advertising can be a business-builder for any firm, regardless of who you’re selling to.
There’s a common and unfortunate preconception that pay-per-click ads are at their most effective when used in a B2C context. Presumably, that’s because a B2C context involves lower-price-point, higher-volume purchases, allowing for more data to be optimized, more conversions, and, at the end of the day, more things to be sold.
There’s logic to that. Certainly, nobody would deny that PPC can work for B2C businesses. But the reality is that there are several factors that actually make this channel ideal when selling to businesses, too. In fact, when we market for B2B, PPC is one of the most common tools we pull from the toolbox.
Why? Here’s the reason, short and sweet: PPC for B2B works because it allows companies to reach high-value business customers at consumer costs, meaning you’re getting attention far below its market value.
Let’s unpack that.
What is B2B PPC and why does it matter for your pipeline?
B2B pay-per-click (PPC) works by placing targeted ads on platforms like Google and LinkedIn to reach business decision-makers. This approach helps B2B companies generate qualified leads and start sales conversations with the right people. When managed strategically, B2B PPC is a proven way to drive pipeline and revenue for technology firms and service providers.
Does PPC actually work for B2B companies?
Yes, PPC works for B2B, but it requires a different approach. Rather than chasing high-volume sales, B2B PPC is about connecting with decision-makers and generating quality leads for your business.
1. B2B buyers are people, too.
PPC ads target individuals. B2B companies sell to businesses. Taken at face value, these facts would seem to suggest that PPC ads would be ineffective in a B2B environment. But, of course, there’s more to the story.
I love this thought from Woden: “Businesses don’t buy things. People do.”
It’s true. B2B buyers are people, too.
Here’s how that plays out: when you’re selling high-consideration services or products, there may be several people involved in the buying process. But to be considered, your B2B company only needs to appear in front of one person who’s searching for a solution.
Targeting individuals in B2B PPC can be more complex than in B2C, but it allows for greater audience specificity. Over time, you can refine your messaging to better resonate with those searching for your services.
2. Customer relationships can be built online.
“I’m not sure this works for my industry.” Or, “That’s not how we get sales.”
Variations of those statements are rehashed by B2B firms every time a digital marketing channel arrives on the scene. Five years later, most companies have either adopted the new channels or become irrelevant.
I don’t want to be too harsh, though. The disconnect makes sense, especially when you consider that, traditionally, at least, the people making those claims are right. For a long time, the majority of B2B businesses have been built on the strengths of real-world relationships and referrals, neither of which are factors that translate simply into the digital world. So, when a longtime salesman for an engineering firm says that his best sales come from relational selling, he’s not being intentionally obstinate. He’s only telling the truth.
In recent years, B2B sales relationships have increasingly started online rather than at trade shows or networking events. Digital channels now play a key role in building trust and starting conversations.
PPC is one way to speak to a person’s need, and with good copy, a good landing page, and a good call to action, that can be the first step to developing a valuable relationship that translates into a sale.
How B2B PPC is different from B2C PPC (and why that matters)
While the mechanics of PPC are similar, B2B and B2C strategies differ significantly. B2B PPC targets niche audiences with logical messaging and aims for high-quality leads, while B2C focuses on broad audiences and quick sales.
| Aspect | B2B PPC | B2C PPC |
| Audience | Niche professionals | Broad consumers |
| Messaging | Problem-solving, logical | Emotional, impulse-driven |
| Goal | Qualified leads | Immediate sales |
| Sales Cycle | Longer | Shorter |
| Success Metric | Pipeline, revenue | Clicks, conversions |
Why B2B PPC can deliver outsized ROI (with simple math)
PPC for B2B offers a longer CPC runway.
Okay, so PPC can target individuals, and it can effectively be used to develop relationships. But to work, it still needs to be ROI positive. To show how that happens, let’s get slightly more technical (and throw in another acronym for good measure).
In a B2C world, the value of one customer is generally relatively small. Let’s say we’re selling shoes for $50, so in order for our PPC ads to break even, they’d need to produce a sale for every $50 spent (and that’s not even including any other overhead costs). Let’s say our landing page is converting at 5% (which is about average). That means we’d need to get 20 clicks to get one purchase. So, our break even CPC is $2.50. Realistically, in order to justify the cost of a prolonged campaign, we’re probably going to need to get our CPC substantially below a $2 threshold.
That’s certainly possible. But the margin for error is pretty slim.
Let’s back up and adjust the numbers to a B2B context, where the value of one customer is much higher. Let’s say we’re selling IT services for $60,000 per contract. In order for our PPC campaign to break even, we’ll need to get our CPC down to… $3,000.
I know, I know. Obviously, this example is hyperbolic. We aren’t accounting for overhead costs. We’re not accounting for opportunity costs. We’re assuming a $60,000 budget, which, unless you’re Fortune 500, may cause your face to twitch involuntarily.
But the baseline reality is undeniable: this is a real opportunity. PPC works for B2B because it targets real people to develop real relationships, and, in comparison to almost any traditional marketing channel, the ROI can be huge, because you’re still paying for attention at a consumer-priced level.
The fact that you’re selling a considered purchase only means that it’s easier to create profitable campaigns. There’s a bigger margin to capitalize on because the keywords are still priced to the level of a consumer. They’re appearing to individuals, yet for B2B, there’s a much bigger prize to win.
When B2B PPC works best, and when it doesn’t
PPC works best when you have:
- A clear understanding of your ideal customer
- A compelling offer that solves a real problem
- A website that converts visitors into leads
- A sales process ready to follow up
If your product-market fit is unclear or you lack sales capacity, PPC may not be the right investment yet. It’s most effective for scaling proven strategies, not fixing broken ones.
Turning B2B PPC clicks into qualified opportunities
A successful B2B PPC campaign is about attracting the right clicks, not just any clicks. To turn clicks into qualified opportunities:
- Target high-intent keywords that signal a user is searching for a solution
- Align ad copy and landing pages with the user’s problem and offer a clear next step
- Work closely with sales to follow up, qualify, and track every lead
Schedule a free consult today
If you’re tired of wondering whether PPC can drive real growth for your B2B tech company, let’s talk. We can help you determine if it’s the right fit, what a realistic budget looks like, and how to build a strategy that delivers qualified pipeline, not just clicks. Schedule a call to see how we can help you connect marketing spend to revenue.
Frequently asked questions about B2B PPC
How long does it take for B2B PPC to start generating qualified pipeline?
You may see initial leads in the first month, but most B2B PPC campaigns need 3-6 months to deliver a consistent, high-quality pipeline. This time allows for testing and optimization.
How much should a B2B tech company budget for PPC to start?
Most B2B tech companies should start with $3,000 to $5,000 per month in ad spend. This range allows for meaningful data and initial results before scaling.
Which platforms work best for B2B PPC, Google Ads, LinkedIn Ads, or something else?
Google Ads is best for capturing active demand, while LinkedIn Ads excels at targeting specific job titles and industries. Many B2B strategies use both for the best results.
What’s the difference between B2B and B2C PPC in practice?
B2B PPC targets niche audiences for quality leads, while B2C PPC aims for broad reach and quick sales.
When does PPC not make sense for a B2B company?
PPC is not ideal if you lack product-market fit, have very small deal sizes, or cannot follow up on leads. It works best for scaling proven strategies, not fixing broken ones.
