Instagram ads cost: how to set them up and keep costs down

September 02, 2021 | Smith Adela | Online Courses

Instagram ads cost: how to set them up and keep costs down

Advertising through social media is an excellent way of marketing. There are many social media sites to use for your business, for example, Facebook, Instagram, Linked In, Pinterest, etc. There are several strategies; you can create ads, launch campaigns, and promote your business.

What are Instagram ads?

You’re scrolling through Instagram peacefully. You come across a post or a story, and you don’t follow them. There is a ‘sponsored’ label on them. These are Instagram ads. These compel the user to visit their profile or to buy from them

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What are Instagram ads

Types of Instagram ads

There are three Instagram ads types so far,

Story Ads

The name states that these ads will pop up on your story. You can post ads on your Instagram story, but it disappears after 24 hours. Moreover, there is a “swipe up” option. The viewers swipe up, and they directly land on your page. This option is available if you have more than 10,000 followers.

Sponsored Ads

I mentioned these above. These are common, and these appear on your newsfeed. The post usually has an attractive photo, a small caption, and a direct link. 

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Sponsored Ads

Instagram reels

Instagram has newly introduced this feature, but it has become a part of Instagram marketing. These are longer videos, so you can post them on your news feed. People love watching interesting reels, and they spend hours watching them.

How to set up your Instagram ads?

You cannot directly post an ad on Instagram, but you can promote your existing post. That’s an ad right there. You will first need to create your business profile. Many businesses already have their profiles. 

Log in

Log in to your Instagram business profile. Select a picture with the highest number of likes and engagement. 

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Log in

Promote

There will be a promotion option in the lower corner of the picture. Click on that. You will deal with payment options which I will discuss in the next part of our blog.

Set up Instagram ads using the Facebook ad manager

This is another method to set up your Instagram ads. It is through the Facebook ad manager. Because Facebook and Instagram often go hand in hand. Therefore, Facebook ad managers can help you set up your Instagram ads. Facebook ad manager is a dynamic tool for managing campaigns and keeping records. You can open your Facebook business page and connect it with Instagram. Once you do everything, you can create your ad and launch it on Instagram.

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Set up Instagram ads using the Facebook ad Manager

Creating an ad is very simple. They will ask about your campaign type, location, budget details, target audience, etc. You select all this and launch your ad.

How much does an Instagram ad cost?

There is no particular cost for an Instagram ad. The reason is too many variables. The cost depends on your audience, the working hours, location, demographics, and other factors. For example, it costs more to convey your ad to people aged between 25 and 35, or ad posting during weekdays is expensive due to more engagement. 

The average Instagram ads cost ranges from $0.20 to $2.00, considering the above variables. There are two methods through which Instagram charges you.

Cost-per-Click (CPC)

CPC means you will pay every time a viewer clicks on your ad, and lands on your optimizing page. You can pay $0.2 to $2.0 per click.

Cost-per-Impression (CPM)

For CPM, you will pay per thousand impressions which means you will pay after a thousand people viewed your ad. CPM cost for Instagram ads is $6.70 on average.

How can you keep the Instagram ads cost low?

You can keep the cost low only through a well-planned marketing strategy. Instagram ads’ best practices start with some objectives and goals. Now, test different ads types and pitch the one which suits you the best. Furthermore, you must choose your bidding model, CPC or CPM wisely. 

Another thing is if your ad is no longer serving you any purpose then, pause the ad. You need to place a proper budget for your Instagram ad campaign. In addition to these, your content itself should be unique and creative. It must catch the eye of the viewer so they will click on your ad and buy from you.