What's the cost of advertising on Facebook? This is a question frequently asked by companies wishing to market on the platform. We rounded up key data points, insights, and tips to give you an answer and explain how big of a budget you need to advertise your business on Facebook.
Before we delve into the details of Facebook advertising cost, we need to make one thing clear: there’s no one-size-fits-all price that brands running ads on Facebook are paying. How much you’ll pay for advertising on the platform depends on many factors, including:
On a basic level, Facebook relevance score is a metric estimating the suitability of an ad for its target audience. It is calculated based on the amount of positive and negative feedback an ad received and is expected to receive. The higher the quality of your ads – including their visuals, copy, and relevance to the targeted users – the lower the overall cost of Facebook advertising.
Maximizing positive feedback on your Facebook ads depends on how well you understand your target audience. Investing time into running an audience analysis can help you get to know your followers on a granular level and discover a great deal of useful information, including your audience’s interests, demographics, and behaviors. As a result, you’re able to map out your audience personas and craft tailored ads that resonate with your community.
Does your Facebook relevance score need improving? Find out how to get a better grade and decrease your Facebook advertising cost with our data-based guide!
Aiming for a high relevance score definitely pays off.
As you can see in the chart, CPC greatly decreases together with the growth of relevance score. This means that the quality of your Facebook ads directly translates into how much money you’ll have to invest, regardless of the ad objective:
High relevance score can greatly lower your Facebook advertising cost, whether your goal is to raise brand awareness or drive conversions. In fact, you’ll pay 6x less for ads that achieved the highest grade compared to ads with the relevance score of 1!
Because there’s no universal Facebook advertising cost and the price of your ads can be different from your competitors’, you need to keep an eye on the market to make sure you’re not overspending. How?
To understand if your Facebook advertising costs you more or less than it should, you need to assess it in the market context.
Once you see how your Facebook ad spend and performance stack up against countries, regions, and industries, you can assess if your investments are optimal. From there, it’s an easy step to tweaking your social media strategy, scaling Facebook ad spend, and delivering a better social media ROI.
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There’s a number of ways how you can optimize the cost of advertising on Facebook, such as:
The cost of advertising on Facebook depends on many factors, ranging from an accurate audience targeting to the season of the year. That’s why it’s important that you monitor your Facebook advertising cost and finetune your Facebook advertising strategy to make sure your ad spend is optimal and effective in delivering results.