Facebook Ads Guide

How much do Facebook Ads cost?

You have an understanding of how Facebook Ads work and you want to know how much are Facebook Ads, to start your own campaign on Facebook? Well, after you have designed your Ad and targeted your audience, it’s time to set your budget and control how much you will spend to advertise on Facebook. Let’s take a look at the interface: Facebook Ads Setup Interface First you choose a currency for your account (depending on your billing preferences) and an Account Time and Zone that are necessary for the system to understand when the campaign starts and when it will end. Choose a name for your campaign and set a Daily Budget or a Lifetime Budget if you prefer. You decide how much you are going to spend for running Ads on Facebook and how to manage your campaign budget. If you choose to set a Daily Budget your ads will stop showing once the limit is reached.  Similarly, if you set a Lifetime Budget, once your budget is met, the ads will stop showing. You can decide when your ads will run by scheduling the campaign’s starting day and time, and decide whether to set an ending day and time for it, or let it run continuously (to do that you just have to flag the checkbox next to  ‘Run my campaign continuously starting today’, below the ‘Campaign Schedule’ selection boxes). Facebook itself suggests how much you should bid per click, but you can set a different bid if you want, just click on the ‘Set a Different Bid (Advanced Mode)’ on the bottom and discover Facebook’s Pricing options!

Facebook Ads Pricing

You can choose between two different systems: CPM and CPC. Ok, wait a minute. What do CPM and CPC mean? Facebook Ads pricing Before panicking, remember you can always revert to using Facebook’ suggested bid by clicking on ‘Use Suggested Bid (Simple Mode)’, but to really understand how Facebook Pricing works, you need to know the difference between CPC and CPM.

What does CPM stand for?

To Pay for Impressions you need to set a CPM bid. CPM is an acronym for Cost Per Mille, and it’s the cost you pay per thousand impressions (mille in Latin means ‘a thousand’). Every time your ad is shown to a user on Facebook, it counts for an “impression”. It doesn’t matter how much or how often your ad is clicked: You pay for the number of times your ad is displayed to users by the Facebook platform.

What does CPC stand for?

Well, this one is easier: CPC means Cost Per Click. The CPC bid is how much you are willing to pay for a click on your ad. Facebook suggests a bid that would allow you to win the auction among ads similar to yours (there is in fact a range of bids that are currently winning the auction), but you can decide to raise your maximum bid and become more competitive (winning more auctions would mean receiving more clicks.) Remember you will be charged the amount required to win the auction, which is likely to be less than what you set as maximum bid. If you multiply the number of clicks you wish to receive by the CPC, you can estimate how much the daily budget to achieve your goal could be.


CPC pricing can be safer, at least you are paying only when users click, and if you know your conversion rate, you can set a maximum bid that will guarantee profitable results. CPM pricing is ideal when your ads are compelling and have high click through rate. You can also notice that certain ads perform better at night, or during the day: In this case pausing campaigns when they aren’t profitable and only waste impressions would be wise. The problem is that Facebook doesn’t allow day parting, and you have to pause and resume campaigns manually. If you need to manage large campaigns or multiple campaigns that would benefit from automatic day parting, SAT is a Facebook advertising tool that would allow you to save time and run campaigns more effectively.