How much do Facebook ads cost?
Clearly, Facebook ads work wonders when well-planned. But there’s also a cost. Here’s what you need to know about the cost of running ads on Facebook, as well as what you can do to keep that cost from getting out of hand.
There are two ways to measure how much your Facebook ads cost: by either the total amount spent or the cost of each result. Your Facebook costs will depend on factors like your Facebook ads reporting and conversion tracking, budget, bidding, and overall Facebook ads strategy,
Facebook ad costs for 2023
Running any type of advertising requires a budget. But some advertising strategies require more than others. For example, our research shows that the average cost per click for Google and Microsoft Ads is $3.53. So, with an average cost per click (CPC) of $1.72, Facebook ads are a more cost-effective way for small businesses to advertise. And it’s not just cheaper!
Say you ran a Facebook ad for a $100 product. Out of the 1,000 people who saw it, an average of 0.9%—about nine people—clicked through to your website. For each click, you paid an average of $1.72 for a total of $15.48. Out of the nine people who clicked through to your sales page, one became a customer based on the average CVR of 9.21%.
You’d have spent under $16 to make $100. And, if you were to retarget the eight people who didn’t buy immediately and continue running that ad, you could make even more. All for less than the cost of search ads!
Managing your Facebook ad costs
While Facebook ads will have a cost associated with them, the benefits your business gains in return can be priceless. Managing your Facebook ad costs may take some trial and error.
Use the benchmark data here as a starting point, and keep track of your costs and performance to progress your account over time. If you ever feel stuck when it comes to your Facebook ad costs, see how our marketing solutions can help you maximize your Facebook ads ROI!