06/02/2022

The Cost of Social Media Advertising: Master Guide

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It is not surprising that social media advertising budgets for nearly half of the world’s population will double in the next five years. How much will social media advertising cost in 2022?

Advertising cost of social media

How much does social media advertising cost?

It all depends on the social network. This guide will examine the costs of social media advertising per platform and bid types.

Here is a video explaining the average cost for social media marketing. Before you read on, please take a minute to view it. 

This guide gives you a breakdown on bid types like cost-per-click. It will help your company create an accurate advertising budget.

Our digital marketing specialists can help you with your Social Advertising Campaign. With our custom strategies and advanced AI Software, we can maximize the results of your advertising campaign.

Tell us about your company by contacting us online or by telephone!

1. Minimum ad budgets for social media

Most social media networks have a minimum daily advertising budget. Some platforms allow for a smaller budget.

Learn how to get the lowest advertising spend on the most used social media platforms:

Social Media PlatformMinimum Advertising Budget
FacebookImpressions: $1 per Day $5 per Day for clicks, likes, or views $40/day app installation or claim submission
InstagramImpressions: $1 per Day $5 per Day for clicks, likes, or views $40/day app installation or claim submission
YouTube$10 per day
LinkedIn$2 per click $10 per day
TwitterThere are no minimum
PinterestImpressions: $2.00 Clicks $0.10

Average cost per click for social media ads

You have two options for advertising on social media. Companies often research CPC (cost-per-view) before calculating the price of advertising.

This table shows you the average CPC on social media platforms for your campaign.

Social Media Platform     Average Advertising Cost (CPC).     
Facebook$0.97 per click
Instagram$3.56 per click
YouTube$3.21 per click
LinkedIn$5.26 per click
Twitter$0.38 per click
Pinterest$1.50 per click

CPM average for social media

The top social media networks also offer cost-per-thousand-impressions or CPM as a bidding option. This bidding option allows your company to focus on ad views and not clicks. CPM generally has a higher average cost because you pay per 1000 impressions rather than per click.

The below shows the breakdown of social media advertising costs per CPM. 

Social Media Platform     Average Advertising Cost (CPM).     
Facebook$7.19 per 1000 impressions
Instagram$7.91 per 1000 impressions
YouTube$9.68 per 1000 impressions
LinkedIn$6.59 per 1000 impressions
Twitter$6.46 per 1000 impressions
Pinterest$30 for 1000 impressions

Social media advertising costs

Many social media platforms offer CPC and CPM. There are other bidding options. For example, Twitter offers cost-per-follow or CPF. LinkedIn offers cost per open or CPO.

Ready to look deeper at social media advertising costs per platform Choose your platform to get started

  • Facebook
  • Instagram
  • YouTube
  • LinkedIn
  • Twitter
  • Pinterest

Advertising on Facebook

Facebook is a very popular advertising channel. Many businesses would like to know the cost of Facebook advertising in order to plan their budget.

Here’s a breakdown of the average advertising cost on Facebook.

Facebook Advertising Costs: An ExpenseAverage Cost
Monthly Ad SpendFrom $200 to $1500 Per Month
Monthly Campaign Management$1000-2500 per Month
Minimal BudgetImpressions: $1 per Day $5 per Day for clicks, likes, or views Conversions starting at $40 per Day
CPC$0.97 per click
CPM$7.19 per 1000 impressions     
CPL$1.07 per like
CPA$5.47 per action

These numbers do not represent averages.

Your budget will vary based on the type of business you are in and how aggressively you advertise. 

Facebook advertising: Bidding options

There are four options for bidding on Facebook:

  1. You only pay for clicks your ad gets.
  2. Cost-per-thousand-impressions (CPM): You only pay for your ad when 1000 people see it.
  3. Cost per Like: You only pay if someone likes your ad.
  4. Cost per Action: You only pay if someone converts to your ad.

CPC is the most common method of bidding. There are many options for bidding but CPC is the most cost effective. This is even if you want to attract likes or converts.

Specialists recommend this bidding method for many reasons.

CPC allows you to bid more effectively. Impressions do not support long-term goals such as purchases or follows.

When you advertise on Facebook, you have two options for bidding.

  • Auto bidding: Also known as lowest cost, auto bidding lets Facebook users adjust their bidding strategy to maximize their monthly budget. This allows businesses to earn the lowest possible cost per click or action.
  • Manual bidding: Also known as target cost, manual bidding allows your company to have complete control over your bidding strategy. This will allow you and your team to achieve the cost per click or action that you desire.

Depending on your experience, manual or automatic bidding might be the best option for your business. Kobe Digital can help you make the most of both to increase your success.

Facebook advertising

Facebook advertising is more competitive than ever. Many businesses work with advertising agencies to develop and manage their ad campaigns.

While every agency is unique, the best providers (like Kobe Digital) offer these:

  • Create an Ad Account
  • Ad account optimization
  • Design and Ad Development
  • Advanced targeting advertising
  • Facebook Pixel installation
  • Monthly report and analysis
  • Consultations with an personal advisor

Advertisement costs for Instagram

Snapchat has more than 500 million active users. This gives businesses an opportunity to reach new customers.

This table gives an overview of advertising expenses for Instagram.

Instagram Advertising Costs: ExpensesAverage CostMonthly Ad SpendFrom $200 to $1500 Per MonthMonthly Campaign Management$1000 to 2500 per MonthMinimal BudgetImpressions: $1 per Day $5 per Day for clicks, likes or views Conversions starting at $40 per DayCPC$3.56 per clickCPM$7.91 per 1000 impressions

Although Facebook and Instagram share the same monthly advertising spending, campaign performance may vary due to average CPC/CPM costs. You might consider increasing your monthly advertising budget if Instagram is performing well.

Instagram advertising: Bidding options

Instagram offers four bidding options, just like Facebook.

  1. Cost per click: You pay when someone clicks on your ad.   
  2. Cost-per-thousand-impressions (CPM): You pay every time 1000 people see your ad.
  3. Cost per Like: You pay when someone likes your post.
  4. Cost per-action: This is how much you pay for the action that you want (e.g. a purchase).

Companies have the option of choosing from any of these bidding options, but many prefer CPC. CPM is a way for established brands like Target, Starbucks and Home Depot to raise awareness and keep their business top-of-mind.

Instagram advertising: Professional Management

A professional social media team can help your company be more successful on social media.

Look for an agency that has a track record in management and advertising services for Instagram. Our clients have also used our social media platforms to publish over 165,000 posts.

Our clients have actually seen more than $3B in revenue over the last five years.

Kobe Digital is an agency that has more experience in social media advertising. Kobe Digital is a more experienced agency in social media advertising. However, their rates can be higher and they offer greater value. This can improve the effectiveness of your ads.

This strategy can help your company achieve its marketing goals.

It’s a mistake for a company to settle on cheap social media advertising services. They often fail to live up to their promises. This can be detrimental to your business and brand. 

Choose a trusted agency to maximize your online success.

Advertising on YouTube

Every day, over 1 billion people view YouTube videos online. YouTube is a popular social media platform that allows businesses to reach new customers.

Are you curious about YouTube advertising costs? See the table below:

YouTube Advertising Costs: ExpensesAverage Cost
Monthly Ad SpendFrom $200 to $1500 Per Month
Monthly Campaign Management$1000 to 2500 per Month
Minimal Budget$10 per day
CPC$3.21 per click
CPM$9.68 per 1000 impressions
CPVViews starting at $0.10 to $0.30

YouTube advertising: Bidding Options

YouTube offers four options for bidding companies to advertise on YouTube

  1. Cost-per click: CPC stands for cost-per Click. Each click on your YouTube advertisement is charged.
  2. Cost per thousand impressions: CPM stands for cost-per-thousand impression. You only pay if your ad is seen by 1000 people on YouTube.
  3. Cost per view: CPV charges you for each person who views your video advertisement. It is 30 seconds in length.
  4. Cost-per action: CPA (cost-per-action) is a system that charges you for each person who takes the desired action. visit your website ).

YouTube advertising is available to many businesses with CPC and CPV. You can still create an ad on-site but professional-grade video will give you the best results.

Advertising costs at LinkedIn

With over 590 million users, it is the most used professional social media network. LinkedIn provides a valuable lead generation platform for businesses-to-business (B2B), and companies seeking top talent.

Would you like to use LinkedIn to promote your company? Let’s look at the costs of advertising on LinkedIn.

LinkedIn Advertising Costs: ExpensesAverage Cost
Monthly Ad SpendFrom $200 to $1500 Per Month
Monthly Campaign Management$1000 to 2500 Per Month
Minimal Budget$2 per click $10 per day
CPC$5.26 per click
CPM$6.59 per 1000 impressions
CPSSend $0.80
CPO$1.70 per open

Bidding options to advertise on LinkedIn

You can choose from three types of bids when you advertise with LinkedIn:

  1. Cost-per click: CPC stands for cost-per Click. Only those who click your LinkedIn ad will be charged.
  2. Cost-per-thousand-impressions (CPM): With CPM, you only pay when 1000 people see your LinkedIn ad.
  3. Cost per Send: CPS charges for each email that you send to users.
  4. Cost per open (CPO) This means you pay for every person who opens your sponsored emails. 

CPC is a key component of many businesses’ advertising strategies. CPC is the best option for lead generation, but there are CPO and CPS options.

LinkedIn advertising: Professional management

Many companies find advertising on LinkedIn difficult. A social media agency can help your company by sharing their expertise and experience in advertising. This will enable you to connect with top talent and establish valuable relationships. 

Kobe Digital is an award-winning team of digital marketing professionals, which includes over 450 social media advertising experts. Kobe Digital removes the uncertainty and stress associated with social media advertising.

Advertising on Twitter

Twitter is smaller than other social media networks like Facebook and LinkedIn. Twitter has more users than Facebook. This is why many businesses use its advertising services 

This table gives you an in-depth look at the cost to advertise on Twitter.

Twitter Advertising Prices: ExpensesAverage Cost
Monthly Ad SpendFrom $200 to $1500 Per Month
Monthly Campaign Management     $1000 to 2500 Per Month
Minimal BudgetThere are no minimum
CPC$0.38 per click
CPM$6.46 per 1000 impressions
CPE$1.35 per engagement
CPFFollower: $2.50 – $4.00
CPDDownloads starting at $1.95 to 2.25

Twitter advertising: Bidding Options

Advertise on Twitter to get five bidding options

  1. CPC: Cost-per-click allows you to pay for every click on your Twitter ads.
  2. Cost-per-thousand-impressions (CPM): CPM lets you pay for every 1000 impressions on your Twitter ad.
  3. Cost per engagement: CPE stands for cost-per-engagement. It charges you for every interaction with your Twitter ads.
  4. Cost per follow: CPF (cost-per-follow) charges you for each click on your ad that leads to your business.
  5. Cost per download: Each person who downloads an application or another software program is charged.

CPC can be a great way for businesses to advertise on Twitter, but it can also make it very expensive. 

This will make people more likely to act, which can have many advantages.

This can increase brand awareness. This could lead to a new lead or purchase.

Twitter advertising: Professional management

You can now exceed Twitter’s 280 characters limit. Professional management services may be available to help make the most out of your social media advertising budget.

We will design a social media campaign specifically for your company. You can always reach out to us for feedback and suggestions.

Kobe Digital is not a social media advertising agency, but a partner. We measure our success by your results. Our client recommendation score of 488%, is much higher than the industry average.

Advertising on Pinterest

Pintin is used by a quarter of a billion people every month.

This table provides additional information on the advertising costs of Pinterest.

How Much Does it Cost to Advertise on Pinterest?Average Cost
Monthly Ad SpendFrom $200 to $1500 Per Month
Monthly Campaign Management$1000 to 2500 per Month
Minimal BudgetImpressions: $2.00
CPC$1.50 per click
CPM$30 for 1000 impressions

Pinterest advertising: Bidding options

Pinterest offers two options to bid:

  1. Cost per click: This bid strategy charges you for each person who clicks on your Pinterest ads.
  2. Cost-per-thousand-impressions (CPM): This bid option charges your business when 1000 people see your Pinterest ad.

CPC is cost-effective because of the high average cost per impression. This could be a blog post or a product.

Pinterest advertising: Professional Management

Pinterest is a very popular social media channel for businesses. It will require more time to work with your team. 

These actions can help you grow your company.

About the author

Kobe Digital is a unified team of performance marketing, design, and video production experts. Our mastery of these disciplines is what makes us effective. Our ability to integrate them seamlessly is what makes us unique.