Average Advertising Cost You Should Know Before Starting Business
Advertising is playing an important role in uplifting businesses. The most important factor in this practice is the budget. Before you plan to spend the money on advertisement, you should know about the average advertising cost.
Following is the average cost that you need for advertisement on different platforms including Google, Facebook, and Instagram.
The ads on google run on a pay per click model. There are three different types of pricing model. Google is also having display ads. Display ads are having three pricing models that include CPC pricing, CPM pricing, and CPA pricing.
Furthermore, there is also a quality score in which the ad is ranked on a scale of 1 to 10. The average cost of an ad on Google is $1.00 and $2.00 per click.
The cost for the Google Display Network (GDN) is $0.58. The business related to employment service is having a CPC of $1.66 per click whereas for the real estate industry the price is $0.88 CPC rate.
Average Advertising Cost for Facebook Ads
Facebook is also one of the important social media platform used for advertisement. The advertising model is very similar to Google. The average cost for a Facebook ad is $1.72. The average CPM that is the cost per thousand impressions is about $7.19. Small business prefers to spend $0.50 to $1.00 per customer/fan. In the case of expensive industries like finance and insurance it is $3.77, customer service is $3.08 and the cost for home improvement is %2.39.
Average Advertising Cost for Instagram Ads
- The advertiser’s bid.
- How likely the users are taking the action for the ad.
- The relevancy of ad content and the ad quality.
The CPM for Instagram is half as compared to Facebook. When first the ad was launched on Instagram, the CPM was $5 to $6.50. Now, the average CPM is $10 which is close to the CPM of Facebook.
These were the details about the average cost you need to run an advertisement on different platforms. If you are not able to handle the advertising, then you can hire PPC experts for help. They will guide you in a better direction.