The world today is going through a digital revolution. It is touching almost every life and leaving a very deep impact on it. Social media, especially facebook it has covered almost the entire world, connecting us like never before. But is Facebook all about entertainment? If you feel so, then you might be wrong. Digital marketing via Facebook and other social media platforms is the fastest growing business throughout the world. One of the most efficient digital business tools is advertising. So are you still wondering about the Facebook advertising cost? This article may help you clear all your doubts about it.
What type is your ad?
Here are the 5 types of Facebook advertising with their estimated costs.
1.Cost Per Click (CPC)
In this type, the advertiser pays money every time their ad gets a click by the user. Advertisers set the call to action (CTA) that a user clicks on. For example options like “Shop Now”, “Sign Up.”, “Learn More” etc.
The average estimated cost for this type of advertising is 130 INR. The cost may greatly vary from industry to industry. It may be as less as 32 INR for apparel to 190 INR for employment and job training advertisement.
2. Cost Per Mile (CPM)
Expenditure on this type of ad is based on the number of impressions or displays of the ad. It is a low-cost alternative as compared to CPC ads. Although impressions are not necessarily equal to interactions yet it is the best option for the advertisers using Facebook ads with the objective of brand awareness.
The average estimated cost for this type of advertisement is 783 INR, which is equal to 7 rupees per impression. The costing may also vary based on your targeted audience and the competition level for that particular chosen audience.
3. Cost Per View (CPV)
The Cost Per View model is ideal for video ads. The charges that the advertiser has to pay for this depend on the number of times the video ad is watched by the Facebook user. It is a very useful alternative for advertisers as the message becomes clearer when presented through both audio and visuals. But the only challenge that the ad makers face in case of CPV is they have to be really creative to transfer the complete message in a meaningful way because the Facebook considers a view if the video crosses 3 seconds. So the content should either be highly engaging or advertisers should seek different costing structure to reach their goals.
The average estimated cost for this type of advertisement may range between 7 INR to 11 INR, though the pricing may vary greatly based on the industry.
4. Cost Per Action(CPA)
The Cost per Action type is very similar to CPC (cost per click). The only key difference between the two is instead of paying for a click on the ad, the advertiser is paying for a particular action performed by the user on their website. The action may be anything like signing up, subscribing to their newsletter, downloading their app or may be an online purchase which is tracked via Facebook pixel.
This being the most expensive model the average estimated cost of Facebook ads is 1300 INR. Again the pricing may vary from industry to industry, for example, the ad for the education industry may cost 550 INR while technology at 3860 INR per action.
5. Cost Per Like (CPL)
Cost Per Like model costs closer to CPC, but with the goal of attaining “like” on the business page instead of a mere click. This typically costs less than the aforementioned models and is ideally suitable for the business that is new on Facebook with the objective of creating brand awareness. One planning for CPL advertisement must be very active on their Facebook business pages otherwise it will not be able to produce the desired result.
The average estimated cost for such facebook ads will cost between 9 INR to 12 INR, making it the most inexpensive model of advertisement on Facebook.
Other Factors influencing Facebook Advertising Cost
Size of the audience is a major factor
Advertising on Facebook is quite beneficial as it gives you the flexibility of choosing your own audience. It totally up to you what audience size do you want to reach also can control other demographics like gender, age, geographical area, etc. This feature will obviously help you to reach your targeted audience but connecting with the different audience will cost you differently.
Quality affects the costing
One must never forget that the user is not on Facebook for viewing the ads. The user always pays partial attention to ads. It is on the ad makers whether to divert that little attention or to attract more of it. And the only way to attract the user is great quality content which may be short but should be high in quality. It’s natural that when the quality of visuals and content goes up it will affect the cost. But as the saying goes “Creativity is not expensive but definitely it is rare”.
Although Facebook is a strong medium to grow your business yet one should research thoroughly on the Facebook advertising cost before creating one. Since there are a number of updates for Facebook ads consistently, it is better to hire a professional Facebook ad management company or to undergo digital training yourself to maximize your return on investment with ads.