How Much Does It Cost to Advertise on Social Media?

How much do social media ads cost? What are the types of ads on social media? At HatchMark Studio, we have clients who come to us with a wide range of social media questions. More specifically, lots of business owners want to know how much money they should expect to invest in social media advertising. In this article, we will go over what social media ads are, how much they should cost you, and how you can know whether or not they are working. 

Should You Be Running Social Media Ads?

Social media ads are essentially paid advertisements that are displayed on social media platforms. For the purposes of this article and to keep things easy, we will only be referencing Meta ads, which are ads on Instagram and Facebook. The truth is, there are advertising opportunities on TikTok, X, YouTube, you name it. For every business, you should seek out where your target audience is most active. Some businesses crush it on Facebook but get crickets on Instagram. Knowing where your audience is key to getting started with paid ads. The question remains: should you run ads on social media? Well, that depends. Do you already have a robust organic strategy that keeps you posting at least three to five times per week? Do you have a clear handle on your product and value proposition? Most importantly, do you have room in your advertising budget for social media? If you answered “yes” to all of these questions, it might be time to consider running ads on Meta.

Where Do Paid Social Ads Pop Up?

Now that we’ve determined that you should be running Meta ads, let’s dig a little deeper to determine what exactly you’re paying for when you pay for ad space. Have you ever found yourself scrolling through Facebook or Instagram and seen a product or service you know you don’t follow with a clear call-to-action button on what otherwise looks like a typical post? That’s an ad. You will run into these ads in so many other areas, including in your stories section, reels, discover pages, and even the messenger app. The reason social media ads are so effective is it gives you a chance to target your ideal audience based on demographics, age, gender, and more. Furthermore, these people who are seeing your ads don’t need to be following your account, meaning you get to focus solely on new client acquisition.

What Is a Good Budget for Social Media Ads?

If you’ve made it this far, you’re sold on social media advertising. Now, you need to reach into your pockets to see if you can afford to squeeze it into your budget. The good news is, it’s not nearly as expensive as you might think. We have found that averaging around $250 to $1,000 per month for any social account is the sweet spot to start seeing results. Where you fall in that range depends on your available budget and your desired results. However, you will want to split that monthly budget over a few different ads. With these different ads, you can advertise different service lines, A/B test ad copy, experiment with video vs. static photos, and more. If you put all of your money behind a single ad, your potential customers can experience ad fatigue after seeing the same ad too many times. With most things, the more you invest, the more you will get out of it as a result. (Note: these figures are applicable for smaller, local businesses. National campaigns in competitive spaces should expect to spend much more money to be effective.)

How Long Should Your Paid Campaign Last?

Your ads are finally up and running. How long should they stay running? That’s a great question! The baseline for ads is two weeks at a minimum before pulling the plug. This is because the algorithm needs time to learn the behaviors and characteristics of the people who are clicking on your ads. The longer your ads run, the more precise your targeting becomes. You can even take it a step further with A/B testing your ads, pouring more money into whichever ad performs better. That being said, you don’t want to let your ads run too long or get stale. Even if an ad is performing well, you should plan to refresh your ads every two to three months.

How Do You Know If Your Social Ads Are Working?

Like any business owner, you want to make sure you’re getting a return on investment for all of the money and resources you’re investing into your paid ads. Meta provides performance analytics for your ads where you can monitor clicks, impressions, and more. You want to make sure you’re checking in on these dashboards at least every two to three days to make adjustments. Additionally, you will want to get the Meta pixel from your ads manager to install on the website or landing page you’re sending clicks to. This will give you an abundance of important information that will let you know how much money is being generated by your social media ads.

Do You Have to Hire Someone to Manage Your Social Ads?

This might be the million dollar question for running social ads. The quick answer is that you can definitely do these on your own. You don’t need to hire anyone to manage your organic or paid social media. That being said, if you decide to manage your own social media, you need to make it a priority. The problem is that many business owners simply don’t have enough hours in the day to dedicate the time social media deserves. This is where it pays to have an experienced professional in your corner to manage it for you, taking a huge task off your plate so that you can focus on other aspects of the business. If you’re debating on whether to hire an agency or an employee, you can read more about it in this article

Partner With a Social Media Agency

Partnering with a social media agency can help you get the ball rolling and stay rolling. At HatchMark Studio, we have experts in social media management, content creation, paid ad strategy, marketing, brand development, and graphic design. We use all of these areas of expertise to pull together a social media strategy tailored for you that is intentional and focused on helping you grow your business. If you’re ready to explore a partnership with HatchMark Studio or want to learn more about how we can help take your social game to the next level, reach out to us today!

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