08 Jan How much does a Facebook ad cost?
That’s may not be the right question to ask because there’s no one right answer that fits all scenarios.
You should consider to ask, instead, how Facebook charges advertisers? Is it CPC, CPM?
Facebook ads’ default charging method is by CPM, or cost per thousand impressions, according to Facebook Blueprint. Technically, you get charged every time your ads is being served, whether the audience paid attention, took action, watched your video, or not.
I get this question often – how much budget should I allocate for my Facebook advertising campaign? Frankly speaking, it’s up to you. If you are a new advertiser, I’ll propose a budget based on industry standard and we will work on the adjustment as we learn. If you’ve been advertising on Facebook for awhile, I’ll be asking you a few questions:
- How much do you spend to get one new customer?
- How much do you make from each new customer?
- What’s your conversion window?
- What is your customer lifetime value?
If you have not asked yourself these questions, you should start today.