Online Advertising Costs - Google Facebook Instagram YouTube

User Image YUVRAJ HINGER 10 months ago | Affiliate Marketing
Online Advertising Costs - Google Facebook Instagram YouTube


In this article you will find a brief guide on Social media advertising costs, cost of the four most popular paid ads options for eCommerce.

Social Media Advertising: How much do paid ads typically cost?

Tag: How much does it cost to advertise on social media?

Investing in paid ads may seem extremely intimidating at first, especially since, well, it isn't cheap. 

Tag: average online advertising costs

So maybe you're wondering, "How much would paid ads actually cost?" 

A very common and valid question to ask as you're learning about paid ads. 

So to help you get started, today I'll be discussing the cost of the four most popular paid ads options for eCommerce, which are Google Ads, Facebook Ads, Instagram Ads, and YouTube ads. 

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How much do paid ads for eCommerce typically cost? 

Well, with the multitude of options and with how costly paid ads can become, tailoring your tactics and channels will help you maximize your ROI. 

Let's discuss four of the most popular ad options for eCommerce. 

So first, Google Ads. 

Tag: how much online advertising costs

Google Ads

Google breaks its advertising offerings into two categories. There are search ads and then there's display ads. 

Tag: How much does it cost to put an ad on Google?

Google Ads

Search ads are those that appear on Google SERPs, and display ads are those that are placed on a variety of sites across the internet and usually include images. 

Search ads are where your cost-per-click or CPC factors in, since you will be competing against other businesses when leads proactively enter a query. 

According to WordStream, the average CPC on Google search ads across all industries in the U.S. is $2.32. 

Also, the average small business using Google Ads spends between nine to $10,000 per month for their online advertising campaigns. 

But keep in mind that all these costs vary by industry as well as by product. 

If you're wondering how the CPC is calculated, you take the total cost of your spending on your paid ad and then divide it by the total number of clicks on that ad, and you'll have your CPC. 

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Display ads have a lower click-through rate or CTR, because they'll appear more organically, without the lead specifically searching for it. 

To get the best bang for your buck for those display ads incorporate retargeting into your strategy to boost their effectiveness. 

Then, there's Facebook Ads.

Tag: How much does it cost to advertise on Facebook

Facebook Ads

Facebook ads will appear in your news feed and will be labeled as sponsored. 

facebook ads

According to Statista, the global number of Facebook users is expected to reach 1.6 billion. So there's a lot of opportunity to reach users on that platform. 

Facebook gives you lots of control over your strategy. You can pay for CPC, but you can also pay by cost per thousand impressions or CPM, or cost per like, CPL, or by cost per action, CPA. 

According to WebFx, Facebook advertising can cost around $0.97 per click. If you use CPM, it can cost around $7.19 per thousand impressions. 

But again, costs can vary widely depending on the industry. 

For example, WordStream determined that in 2020, the CPC for Facebook ads in the travel and hospitality industry is around $.63, while ads in the finance and insurance industry can cost around $3.77. 

Like other channels, you will be working with a bidding system, but you can select whether you want Facebook to automatically select a strategy within your budget or leave all the selections to your business. 


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Next, Instagram Ads.

Tags: how much does it cost to advertise on instagram

Instagram Ads

Similar to Facebook Ads, Instagram ads will appear on your feed and be labeled as sponsored as well, but they can also be seen as Instagram Stories. 

instagram ads

Since Instagram is owned by Facebook, the ad pricing mechanism is pretty similar. According to HubSpot, Instagram ads costs will range between $0.70 cents to $1.00 per click. 

But as with any channel, there's multiple factors that can make your cost go up or go down. Some of those factors include the time that you post, the age range you're targeting, and even the ad placement. 

If you're targeting a younger audience, Instagram can definitely help you reach that group. Instagram ads have seen rising costs in recent years. 

But on the bright side, it's shown that you'll experience much higher brand engagement from Instagram users than any other social platform. 

Lastly, let's talk about YouTube ads.

YouTube ads

If your team is equipped to create quality video content, then internet-video powerhouse YouTube may be your best platform. 

Since their main content is video, YouTube includes a metric a bit different from other platforms, which is CPV or also known as cost per view. 

Youtube ads

This clocks when a lead either finishes watching your ad or gets to the 30-second mark. Because Google owns YouTube, you'll be using the Google AdWords network to bid for ad placement. 

According to Influencer Marketing Hub, bids for this are around $0.10 to $0.30. 

YouTube ads also offer a variety of ad options, including the display ads that appear on the right of the video, the overlay ads that appear on the lower section of a video, and then also skippable video ads that play before, in the middle, or after a video, but that you can skip after five seconds. 

These skippable videos are probably the most common format for YouTube. 

Overall, YouTube ads are a great way to show your product in action. 

I'm hoping this has given you some insight into how much paid ads typically cost, but remember, costs can vary widely depending on your product or on your industry. 




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