What influences how much it costs to advertise on instagram?

How much does it cost to advertise on Instagram ads operate in an auction format that ultimately determines the price of your ad. You can set a maximum bid per click or impression but the actual cost of your ad is determined by supply and demand. This is why it’s important to optimize your ad creative and landing page for each individual ad so that it is highly relevant to your targeted audience. A poorly optimized ad can cause your cost to increase because Facebook and Instagram want to ensure their users are seeing the most relevant content they can get value from.

A number of other factors also influence the cost of your ad. These include your ad objectives, budget, and the size of your targeted audience. Selecting a more broad audience for your campaign will often result in lower prices as you are competing against fewer people for each ad placement. However, targeting a specific audience may result in higher competition for each click or impression which will push your ad costs up.

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The day of the week and holidays are also important to consider as these can drive a higher CPC. For example, competition will be high around Christmas and this can push your ad costs up.

It’s also worth considering your goals and how long it will take for you to reach your desired outcome. For example, driving brand awareness typically results in low ad costs while driving conversions will usually require a longer lead time for potential customers to build trust, research and compare, and then return through retargeting or other means to open their wallets.