So, how much do Instagram ads cost in 2021 for your business? First of all, Instagram ads are easy-to-use and a campaign can be started by virtually every business owner. While going the budget can vary from a low to a high one, but the final cost depends on many factors.
How Much Does It Cost To Put Up An Instagram Ad in 2021?
The cost can vary from $0.60 to $2 per click, but it mostly depends on the pricing model.
Advertisers get to choose between Instagram Ads Cost the options of cost per click (CPC) or cost per thousand impressions (CPM.)
CPC is when you are charged every time someone clicks on your ad. And CPM is when your ad is viewed 1000 times. The cost for CPC reaches $3.00 per click, whereas the cost for CPM is $7.00. This difference is because it is more difficult to generate clicks than it is to garner views for your campaign.
You can maintain a daily budget to ensure you do overstep your campaign budget. No matter how much the ads cost you can fix a budget for the campaign.
However, the above prices may vary, and you never really know how much an ad campaign would cost, unless you run it.
Why You Should Use Instagram Ads?
- Here are some stats from Hoot suite to convince you to use Instagram ads:
- Over a billion people (every month) use Instagram to promote their business.
- Instagram has a reach of about 140 million users in the US alone.
- More than 80 percent of people use Instagram to search for products, brands, and services.
- About ninety percent of Instagram users follow a brand or business on the platform.
Based on the above statistics, you can say that if you are looking to convert Instagram followers into potential leads, then Instagram is a growing marketing platform. This social media platform is capable of driving traffic to your website and generating profits.
Which Platform to Choose For Advertising: Facebook or Instagram?
There are two schools of thought when it comes to comparing the ad costs of these two platforms. Firstly, some experts suggest that Instagram is more cost-efficient, whereas the rest remain in favor of Facebook. Secondly, to suit your purposes, you should choose each platform based on the audience viewing your ad campaign. Lastly, here are some pros and cons to help distinguish between the two:
Selecting a Target Audience
Facebook Ads can be used highly effectively by advanced users who understand how demographics work. Facebook’s Audiences feature provides a wide range of demographics. However, Instagram is highly useful for beginner advertisers who are new to running ad campaigns.
Choosing between Visual or Written Content
Before advertising on Instagram or any medium, you need to understand what kind of content is dominant in the industry and what kind of content showcases your product the best. If your industry is fashion, food, and travel, then Instagram is a useful platform as the industry relies on visual content.
A common question is which form of advertising is most economical: Instagram or Facebook? Studies show that the engagement rate on Instagram is higher. This means that, despite higher CPC, the CTR (click-through rate) is higher on Instagram.
How to Run Instagram Ads
Once you are sure that you wish to post ads on Instagram, follow these two ways to start running an ad campaign.
You can run an ad campaign from the Instagram app itself or the Facebook Ads Manager. However, if this is your first time, do it from Facebook.
Create a Facebook page for your business, and if you already have one, create a Facebook Business Manager profile.
Then, go to Instagram profile settings by clicking the three lines on the top right. Afterward, click on Settings>Account>Switch to Professional account. Then, follow the next step to connect Facebook with your Instagram account.
From here, you can now run Instagram ads from the app itself or Facebook Business Manager.
From the Business Manager, go to Ads Manager. Click Create then choose any of the following objectives:
- Brand awareness
- App installs
- Video views
Next, give your campaign a name.
In the Audience section, choose your targeted audience by age, gender, and interests. You can be as detailed or as general as you choose. Note that, the better the targeting of an ad, the more the relevancy score it gets.
The next section is where you can assign a budget and schedule for your campaign. Your budget can be Per Day or Lifetime. If you choose Lifetime, you need to set a start and end date for your campaign.
The next option lets you select whether you want to be charged for CPC or CPM.
This is also where you can opt to use manual bidding or automatic bidding. Experts recommend automatic bidding for beginners as it lets the system automatically optimize ads for the best results.
The next section is dedicated to the content and format of your ad. You can specify whether you are posting a single-image ad, a carousel (multiple images), or a video. Add a headline and call-to-action (CTA) buttons that will go with your ad.
Under the section Instagram Account, select the Instagram account connected to your Facebook page. You can then select where your ads will be displayed. You have the option to display your ad on both Facebook and Instagram. If you only want to run ads on Instagram, uncheck all other options and keep Instagram checked.
If you select Instagram, this is where you select the different placements or types of Instagram ads mentioned earlier in this post. Instagram sponsored ads cost can be higher or lower for different placement types.
When you’re happy with your settings, you can go ahead and click Publish. You’ll get notified when your ad is live.
Facebook has a detailed guide on how to set up and create Instagram ads from the Ads Manager.
How to Optimize Your Instagram Ads
Now that you’ve learned the answer to the question: “How much do Instagram ads cost in 2021” you should maximize advertising on Instagram and be cost-effective.
Sometimes the Instagram Ads Cost can be daunting and the fear of having no ROI can cause hasty decisions. Dealing with a company knowledgeable in Instagram advertising can help curb that fear.
Catch Your Audience’s Attention
Instagram is a visual platform, meaning you can grab their attention through visually appealing content. Captions and other elements are not as important as your visual content, and with visual content that pops out of your ad, you can drive people to check out what you are selling.
Use the Right Hashtags
Sure, using something unique that encapsulates your service should help. However, you will not receive enough engagements if you do not use popular hashtags that allow your ad to appear in more people’s feeds.
Discover the Perfect Time to Post
After running ads for a week, it is time to experiment with the time you should post them. Try running at different times during different days of the week. Check the response on each day and use your analysis to gauge the time you should post your ads. This is crucial to optimizing Instagram ads and requires a lot of time and experimentation.
Many business owners are cautious regarding using Instagram ads. Some advertisers are also wary of this platform as it is costly. Some advertisers are stuck with pitting Instagram and Facebook against each other. However, several resources can teach you how to run successful Instagram ad campaigns. Therefore, you should worry about generating ROI, and getting advertising right takes time.
Hiring an Instagram marketing agency enables you to get a better option. Also, you receive valuable guidance and can optimize your ads thus an ideal Instagram advertising agency sets you up for success.