There are many Facebook ad marketers who report conversion costs from a few cents to a fraction of a penny. Others are not so lucky. In fact, most inexperienced marketers report the opposite and burn due to astronomical advertising costs.
Now many factors play a role when it comes to the cost of Facebook ads. But of course you should have a budget in mind before you even start (unless you have an unlimited amount of money). There are three ways to lower your Facebook ad budget:
1. Know your target audience
Ideally, you should already have an idea of who will be interested in your product or service. Whether you are a first-time entrepreneur or a battle-hardened businessman, you need to know who your target audience is. Is your product geared towards women or men? Are you looking for young professionals or travelers?
If you know your audience, you can lower your ad budget as they are more likely to be interested in your offers.
Targeting an audience that does not suit your ideal user leads to higher ad costs, as they do not pay attention to your ad.
2. Set a bid cap
You can set a daily or lifetime budget for your Facebook ads. But did you know that you can also set a bid cap? If you did not know it before, do it now. A bid cap is what the name implies.
Facebook will limit your bid. For example, if you can afford to pay $ 0.5 per click, you can set this amount as the highest bid. Otherwise, Facebook may charge you $ 1 per click or more, depending on the competition. With a bid restriction, you can ensure that your budget is not exceeded.
3. Do not advertise during the holidays
During the holidays, people tend to buy a lot of things online. This buying frenzy drives marketers and companies to create Facebook ads to grab buyers' attention, which in turn increases the cost of advertising for all.
So, if you do not want to compete with many other companies, do not advertise at peak times like Black Friday, Cyber Monday, Christmas, Thanksgiving and other major holidays.
There are 365 days a year and you can always advertise before or after the buying season to reduce your advertising spend.