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The difference between sales ads and lead generation ads: What beginners need to understand correctly before spending money.

Hoc Tai

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One of the most common mistakes made by new advertisers is mistaking sales ads and lead generation ads for each other. Many people run lead generation ads but expect immediate sales. Conversely, some try to sell directly to customers who have never heard of the brand.

To avoid this mistake, newcomers need to clearly understand the nature and role of each type of ad in the entire customer journey.

Sales ads and lead generation ads differ in their objectives.

Sales ads are designed to encourage customers to take immediate purchase action. Every element of the advertisement is geared towards generating orders in a short period of time.

Lead generation ads don't focus on immediate sales, but rather on gathering information from potential customers. The goal is to create a customer base to nurture and convert later.

Differences in advertising content thinking

Sales ads

The content needs to be clear, direct, and highly action-oriented .

  • Specific benefits of the product
  • Reasons to buy now (special offer, scarcity, urgent solution)
  • Convenience in the purchasing process

Ads generate leads

We need content that is thought-provoking and creates value .

  • Useful knowledge
  • Free consultation
  • Checklist, ebook, or free tool
  • A solution to a specific problem they are facing.

Differences in the customer journey

Sales ads - Final stage of the funnel: Suitable for customers who are already familiar with the brand, understand the product well, and have a relatively clear need to buy.

Lead generation ads - Early/Mid-funnel stage: Suitable for the stage where customers are researching and not yet ready to buy.

How to create standard advertising content for the sales funnel.

See also:5 steps to creating effective content that follows the funnel.

The risks of new users choosing the wrong type of ads.

Mistake 1: Running ads to sell to indifferent customers.

Running sales ads from the start targeting a "cold" customer base is problematic. Without sufficient trust and information, customers find it difficult to make a purchase decision. The result: Ads fail to generate sales despite a substantial budget.

Mistake 2: Running ads to generate leads but without a supporting system.

Leads were generated in large quantities but were not followed up, given timely advice, or nurtured. The result: Ultimately, no revenue was generated.

When should you run lead generation ads, and when should you run sales ads?

You should run lead generation ads when: you're just starting out and don't have a customer base yet, the product needs consultation, you want to build a database, or the product is high-value and requires time to decide.

You should run sales ads when: you already have a customer base that has previously interacted with your product, the product is simple and allows for quick purchase decisions, your order processing system is ready, or you are running a special promotion.

What support does GTG CRM offer for sales ads and lead generation ads?

GTG CRM helps businesses centrally manage customer data collected from advertising:

  • Complete contact information and interaction history
  • Clearly categorized: new leads, customers ready to buy, existing customers needing reactivation.
  • Track the entire journey from ads to orders.
  • Accurately measure the ROI of each campaign.
GTG CRM manages customers from Ads.

Conclude

Sales ads and lead generation ads aren't inherently better or worse than each other ; they're simply right or wrong depending on the specific situation . Understanding this from the start will help you save on advertising budget and optimize conversion rates.

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