Internet advertising costs (2022): Google and social networks

Table of contents

How much does internet advertising cost?
The costs of advertising on the Internet are as follows:

On Google , average prices range from $0.63 per click to $2.69 per click.

In social networks , the initial prices can go from $0.72 per click (Instagram) or from one dollar a day (Facebook).

Advertising on Google: Prices to be announced

There are two ways to advertise on Google:

-On the search engine results page (Google Ads Search).

-On a specific website (Google Ads Display).

The average cost of a click on Google Ads Search is $2.69.

In such a campaign, the average CTR is 3.17% (3 out of 100 people click on the ad) and the conversion rate is 3.75% (4 out of 100 people buy after clicking on the ad).

The average cost of a click on Google Ads Display (banners on websites) is $0.63.

In these campaigns the average CTR is 0.46% and the conversion rate is 0.77%.

Social Media Advertising: Pricing
Each platform charges for ads differently:

On Facebook , with a dollar a day you can get impressions (people see your advertising).

If you want them to interact with her, you will need to spend about $5 every 24 hours.

On Instagram , depending on targeting, the average cost per click is around $0.72.

In this network you can also pay according to interactions or according to impressions.

On Twitter , on the other hand, there is no mandatory minimum investment.

How much does advertising on web pages cost?

The cost of advertising on web pages is closely related to Google Ads Display.

Thanks to the most famous search engine in the world, you can advertise on the website you want, paying less than a dollar per click.

One of the advantages of Google Ads Display is that brand awareness is free.

What does this mean?

That your ad can be on the page you choose and you will not have to pay anything until a user clicks.

If nobody clicks, you do not pay, but in the same way, the recognition of your brand will increase.

This is box title
Due to the ease of installing AdBlocks and consuming content on demand on platforms such as Netflix and Amazon, the best way to sell today is not to pay for advertising.

Instead, offering value to users and showing them what they are looking for right when they ask for it is a much more effective digital marketing strategy.

Appearing at the right time in front of consumers and not interrupting them in their other activities is possible thanks to search engine optimization ( SEO ).

In this article, we will delve into each of these figures and conclusions so that you can make the best decision that will help you increase your sales on the Internet .

You can click here if you want to jump to the conclusion.

We anticipate that, mathematically, the most profitable option to improve your online conversions is to appear on the first page of Google and earn the trust of your audience.

Social media advertising (price)

Advertising your products or services on social networks means that you will pay one of these platforms (Instagram, Facebook, Twitter, YouTube) to place the message that you want to a specific audience at a specific time.

The intention is that potential prospects who are browsing there can come across your proposal and, hopefully, become customers.

What is the best social network to advertise your products or services?

Let’s evaluate what the numbers say.

How do you pay for advertising on Facebook?

Rand Fishkin said at MozCon 2019 that Facebook engagement is 0.09% per post.

That is, only 1 in 1,000 people interacts with the publication that appears in front of them.

Average click-through rate on Facebook (by industry)

The click-through rate or CTR is what indicates how many clicks an ad receives for every 100 times it is shown to users.

IndustriaCTR Promedio
 Vestimenta 1.24%
 Automotriz 0.80%
 B2B 0.78%
 Belleza 1.16%
Servicio al consumidor 0.62%
 Educación 0.73%
 Servicios de empleo 0.47%
 Finanzas y seguros 0.56%
 Fitness 1.01%
 Artículos del hogar 0.70%
Salud 0.83%
Servicios industriales 0.71%
 Jurídico1.61%
 Bienes raíces0.99%
Venta al por menor1.59%
Tecnología 1.04%
Viajes / Hospitalidad 0.90%

Source: WordStream .

How much does Facebook advertising cost? Prices

You can advertise on Facebook, weekly, for less than the cost of a cup of coffee .

The official announcement page of the platform says the following:

“You tell Facebook how much you want to spend on advertising. We will try to provide you with as many results as possible for the specified amount. If you want to spend 5 USD per week, you can. If you want to spend $50,000, you can too.”

How much you spend will depend, in part, on an auction: How much are people paying on average for that type of ad? As Facebook indicates :

“You define your ad budget (the total amount you want to spend each day or throughout the campaign) and you can change it at any time. You also set a bid (the maximum amount you’re willing to pay when someone sees your ad or takes the desired action).

What are the minimum budgets?

The social network explains the following:

“When you create a campaign or ad set, we ask you for a minimum budget that allows us to consistently deliver your ads. Whether you use the daily budget or the total budget, that minimum budget is calculated as a daily amount. For example, if you have a total budget of $50 for an ad that runs for five days, your minimum daily budget must be at least $10.”

In general, the minimum you should invest is the following:

– Impressions : at least 1 USD per day.

– Clicks, likes, video views and interactions with a publication : at least 5 USD per day

– Offer requests, app installs and other events with reduced frequency : at least 40 USD per day.

Average cost per click (industries)

WordStream (2019) did a study and found that the average cost per click on Facebook, taking all industries into account, is $1.72.

IndustriaCPC promedio
 Vestimenta$0.45
 Automotriz$2.24
 B2B$2.52
 Belleza$1.81
Servicio al consumidor$3 .08
 Educación$1.06
 Servicios de empleo$2.72
 Finanzas y seguros$3.77
 Fitness$1.90
 Artículos del hogar$2.93
Salud$1.32
Servicios industriales$2.14
 Jurídico$1.32
 Bienes raíces$1.81
Venta al por menor$0.70
Tecnología$1.27
Viajes / Hospitalidad$0.63
Average costs per click (countries)

According to Metricool , these are the average costs per click in different countries of the world:

PaísCPC promedio
Reino Unido$0.23
EE.UU.$0.13
España$0.09
Costa Rica$0.08
Grecia, Panamá y Chile$0.05
Puerto Rico, Argentina y Uruguay$0.04
México$0.03
Francia, Paraguay, Rep. Domunicana, Guatemala, Ecuador, Colombia$0.02
Bolivia$0.01
Average cost per click (ad target)

Vilma Núñez , in a text about Facebook Ads , also mentions the average CPC according to the objective of each ad:

Objetivo del anuncioCPC promedio
Descarga de aplicaciones$0.30
Generación de clientes potenciales$0.19
Ventas de catálogo$0.16
Visitas en el negocio$0.14
Conversiones$0.13
Alcance$0.11
Likes en la página y reconocimiento de marca$0.07
Reproducciones de vídeo y tráfico$0.05
Mensajes$0.04
Interacción en publicaciones$0.02

According to Hootsuite , the average cost per click (CPC) is $0.27 and the average cost per thousand impressions (CPM) is around $7.19.

Do you want us to help you with your social networks or advertising on Google? Leave us your details and we will contact you!

How to advertise on Facebook?

The platform itself offers a detailed guide , step by step, to explain to users how to advertise on Facebook, “whatever your budget”:

1. Budget. You define the budget of your ad and you can change it at any time.

2. Public. You also choose who you want to see your ad. To connect with people, you can use demographic data, such as their age, gender, and current cities, or things like their interests, devices, or past actions.

3. Content. Finally, you decide what you want your ad to look like. You can use text, images, and videos to grab people’s attention. Once you create your ad, it goes to the ad auction where it starts showing to people.

How does advertising on Instagram work?

According to Rand Fishkin, engagement on Instagram is 1.73% per post.

This means that only 2 out of 100 people interact with the publication that appears in front of them.

On the other hand, according to Shopify (2014), the conversion rate on Instagram is 1.08%.

In other words, only 1 in 100 users buys after clicking on an ad.

How much does it cost to put an ad on Instagram? Prices

According to Marketing and Web School , you can advertise on Instagram from €1 a day.

Hootsuite says that on IG, you can pay by the number of interactions or by the number of impressions.

The same company notes that the average cost per click on an Instagram campaign for 2017 was $0.72.

How is advertising done on Instagram?

The process to advertise on Instagram is very similar to that of Facebook.

The platform itself explains the process in four simple steps:

1. Create a company page and profile. You must have a Facebook Page to run ads and create a free business profile on Instagram. If you don’t have one yet, create one.

2. Set up the ad. Select the target of the ad, its audience and its format in the admin section. Or on a post you’ve shared on Instagram, tap “Promote.” We recommend allowing Instagram to automatically create an audience made up of people similar to your current followers.

3. Set a budget. Decide how long your ads will run and how much you want to spend.

4. Publish the campaign. Once the ads are ready, press “Publish”. You will receive a notification when they have been approved and are ready to go live.

On Instagram you can buy ads in stories; promote your products and services with a photo or video; and make sequences or collections.

How to advertise on Twitter?

According to Fishkin himself, the interaction on Twitter is 0.048% per post.

Only 1 in 2,000 people interact with the post in front of them.

On the other hand, according to Shopify (2014), the conversion rate on Twitter is 0.77%

That is, less than 1 person out of 100 bought the advertised product or service after clicking on an ad.

How much does Twitter advertising cost? Prices

As the platform’s website indicates:

Whether you’re a small business or a large brand, Twitter Ads campaigns can be tailored to fit your budget. There is no required minimum spend for Twitter Ads, and you always have complete control over how much you want to spend on your campaigns.

As in other social networks, the price will depend on an auction scheme:

The price you will pay for each billable share is not fixed. Our advertisements are published according to an auction system, through which all advertisers bid for the available advertising space for the audience they wish to reach.

The amount you pay in your campaigns will depend on the following factors:

-How attractive your ad is.
-How big is your segmented audience?
-How many other advertisers also target that particular audience.
-How much you decide to bid.

Average click-through rate (CTR) on social networks

According to the company Kenshoo , the average click-through rate of social networks for the year 2018 was 2.6%.

Of every 100 people who see an ad, 3 click on it (which does not mean that those 3 people end up buying the advertised product or service).

This Kenshoo study looked at 20 different sectors and 60 countries.

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Advertising, both on networks and in the search engine, is very expensive for the ROI it has. Why? Because it causes us rejection as users to know that the company only wants to sell.

Our recommendation? Do SEO .

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Advertising on Google: Prices

How to advertise on Google?

To promote your business on Google, you will have to use the pay per click method ( pay per click ).

This type of advertising consists of paying an amount of money to a medium —in this case Google—, in order for it to place your products or services in a certain place.

The advantage of this way of advertising is that you will only have to pay when someone has clicked.

If a thousand people saw your ad, but nobody clicked on the link, you will not have to cancel anything.

Advertising on Google has two modalities that we will explain later:

1) Google AdWords Search.

2) Google AdWords Display.

How much does an advertising campaign cost on Google?

These are the prices to advertise on Google, according to the different industries that exist in the world:

IndustriaCPC (Search)CPC (Display)
Abogacía$1,43$0,62
Artículos del hogar$2,94$0,60
Automotriz$2,46$0,58
B2B$3,33$0,79
Bienes raíces$2,37$0,75
Citas$2,78$1,49
E-commerce$1,16$0,45
Educación$2,40$0,47
Finanzas y seguros$3,44$0,86
Legales$6,75$0,72
Salud y medicina$2,62$0,63
Servicios al consumidor$6,40$0,81
Servicios de empleo$2,04$0,78
Servicios industriales$2,56$0,54
Tecnología$3,80$0,51
Viajes$1,53$0,44

Source: WordStream (2019).

The average cost of a click on Google Ads Search, taking into account all industries, is $2.69.

That is, you will have to pay Google $2.69 every time someone clicks on your ad.

The average cost of a click on Google Ads Display, taking into account all industries, is $0.63.

That is, you must pay Google $0.63 each time someone clicks on your ad.

Now what does Google Ads Search mean and what does Google Ads Display mean? Let’s go there.

Types of advertising on Google

This form of advertising is implemented so that you can promote your brand on the websites you want:

Ejemplo de campaña de Google Adwords Display
Google Adwords Display campaign example

This modality is the one that, for example, politicians use during electoral campaigns or clothing brands, travel agencies, among other companies.

The great advantage of Display is that you can appear on websites with a lot of traffic and the top of mind awareness is free.

What does this mean?

You do not pay until the person clicks. If you don’t click, they don’t deduct money.

Therefore, it is possible that many people see your ad and you do not have to take even half out of your pocket since nobody has clicked on the advertising banner.

Average CTR on Google Ads Display

According to WordStream, the average click-through rate (CTR) of a Google Adwords Display campaign for 2019 is 0.46%.

What does this mean?

That of every 200 people who see your ad, only one will click on it.

The average conversion rate for a Google Adwords Display campaign is 0.77%.

What does this mean?

That of every 100 people who click on the ad, only 1 will buy.

This mode is used to appear on the Google results page, known as SERP (Search Engine Ranking Page).

Ejemplo de campañas de Google Adwords Search
Example of Google Adwords Search campaigns
Average CTR in Google Ads Search

According to WordStream, the average click-through rate (CTR) for a Google Adwords Search campaign is 3.17%.

What does this mean?

That of every 100 people who see your ad, only 3 will click on it.

The average conversion rate for a Google Adwords Search campaign is 3.75%.

What does this mean?

That of every 100 people who click on the ad, only 4 will buy.

In fact, by 2018, less than 4% of users who did a search clicked on an ad.

Ejemplo de contenido publicitado en Google
Example of content advertised on Google
Ejemplo de contenido orgánico en Google
Example of organic content on Google

Average CTR on Google (by industry)

Let’s remember that the CTR is the division between the number of times they see your ad by the number of times they click on that ad.

If your ad is seen by 100 people and 5 of those people click, then your ad has a CTR of 5%.

Clarified this point, let’s see what the CTR is in the two types of advertising that Google offers, depending on the industry in which they are applied.

IndustriaCTR promedio (Search)CTR promedio (Display)
Abogacía4,41%0,59%
Artículos del hogar2,44%0,49%
Automotriz4,00%0,60%
B2B2,41%0,46%
Bienes Raíces3,71%1,08%
Citas6,05%0,72%
E-Commerce2,69%0,51%
Educación3,78%0,53%
Finanzas y seguros2,91%0,52%
Legales2,93%0,59%
Salud y medicina3,27%0,59%
Serivicios de empleo2,42%0,59%
Servicios al consumidor2,41%0,51%
Servicios industriales2,61%0,50%
Tecnología2,09%0,39%
Viajes4,68%0,47%

Average CTR on Google Ads

For every 100 users who see your ad on Google (either in Search or Display format), you will get between 1 and 3 clicks.

Once that ad gets 100 clicks, between 1-4 people will buy your product or service.

In other words, you may need 10,000 users to see your ad to get 100 clicks and just one purchase.

Although Google has made changes in recent years to make advertising more attractive and profitable, it has not achieved (not even close) that people click on ads more than in organic results.

Reaching more people is no longer a matter of money. You can have a lot of money, spend on promotional messages and still not increase your sales.

Example (case study):

Suppose you are the owner of a small school and you want to promote it to have more students enrolled.

To do this, you decide to run a Google Display campaign.

In the education sector, the average cost per click (CPC) is $0.47 (for each user who ‘clicks’ on the ad, you will have to pay Google almost half a dollar).

This means that if you spend $10 per day on your campaign ($300 per month), you can have up to 21 clicks per day on the banner ad (630 clicks per month).

If the conversion rate of the education industry is 0.50%, it will take approximately 200 clicks for a person to call the school and sign up.

If 200 clicks equals one registration, it is likely that with 630 clicks you will achieve 3 new registrations for each month of the campaign.

You can apply the same formula to see what the profitability of your campaign will be to promote the services of your barbershop or the products of your ice cream parlor.

advertising is dead

Or at least he’s dying…

“As shoppers and consumers, we don’t like being told what to do or what to buy. Instead, we like to think that we have educated ourselves enough to come to an accurate conclusion.” – Marcus Sheridan

The numbers on the profitability and effectiveness of advertising on social networks or Google support that this may not be the ideal way to increase the sales of a business.

Also, paying for your product or service to appear in the big media (TV, radio, press, billboards) does not have the same value as before.

The advertising strategy of large companies in the 20th century
The advertising strategy of large companies in the 20th century

Ad Blocks: The user is protected against advertising

A study by Page Fair (2017) revealed that in 2016 the use of ad blockers by Internet users increased by 30%.

The graph shows a clear upward trend:

Dispositivos utilizando bloqueador de anuncios (2009-2016). Fuente: PageFair
Devices using ad blocker (2009-2016). Source: PageFair

When and why advertising stopped being profitable?

“People are not eager to pay you with their attention. The fact that you have bought an ad does not guarantee you something so precious” – Seth Godin in This is Marketing

For much of the last century, the main marketing strategy of major companies was to pay for space in the mass media.

The hypothesis was simple: by advertising in the press, radio or TV, their product would reach more people and thus they would be able to close more sales.

It seemed like a logical deduction.

And, indeed, the result was as expected: the more audience the advertising reached, the higher sales the company made.

However, to the bewilderment of marketers and entrepreneurs, the market began to transform rapidly in the mid-1990s.

Amazon and Netflix: A la carte content and users with power

Some people ahead of their time, the gentlemen who wrote the Cluetrain Manifesto, warned at the end of the last century that the markets would become increasingly intelligent thanks to the Internet.

Why?

Because on the web, users could share their impressions about certain products and find out details that did not appear in the television commercials, radio spots and press announcements of large companies.

As if that were not enough, they would have many more options to be entertained and informed.

The Cluetrain Manifesto already foresaw that things like this could happen:

Los usuarios pueden productos y escribir críticas al respecto
Users can rate products and write reviews about them

Amazon, like millions of websites, not only allows users to rate the quality of products, but also gives them the opportunity to write their comments, impressions and reviews about them.

This has the consequence that “misleading” advertising is less and less effective.

You can no longer lie to the audience. If a product is bad or a service is deficient, we will soon find out on behalf of third parties.

Think about it: when was the last time you bought a product online? How was the process?

On top of all this, the Netflix phenomenon happened :

The contents are now a la carte.

You no longer have to wait for a commercial to end to continue watching your series, movie, novel or program.

From these and other facts, marketing began to be divided very clearly into two mother currents: inbound (attract) and outbound (interrupt).

By the late 1990s, marketers were beginning to realize that if they wanted to sell more, they would first have to earn the trust of their potential customers.

An announcement to the masses would not be enough.

The new purchasing process: How to sell?

“People don’t want publicity. They want to contact you when they are ready to contact you. There’s a big difference between me telling you I’m great and you reading something I wrote and saying, ‘Wow, this is great.’” –Marcus Sheridan 

Various studies indicate that, on average, 70% of the purchase decision is made before the prospect contacts the company that offers the product or service.

In other words, before the sales team and the prospect talk, the prospect has practically made his decision.

The purchase process has changed:

New purchase process

What does all this mean?

That the sale is not closed when we communicate directly with our prospects to tell them how wonderful and useful our products or services are.

The sale is everything that happens before that happens.

The thing works as follows:

Nowadays, when a person has a need, and wants to know how to satisfy it, the first thing they will most likely do is go to Google (even if that need arose from a commercial they watched while they had the television on or from a fence you saw while driving to work).

That is the opportunity we have to make a good first impression , but we must be aware that we will not be alone.

Nowadays, there is too much information on the Internet. We can practically find anything we want in a matter of seconds.

Before buying from you, the prospect will compare you with all the competition , in a task that can take between five minutes and several days of research.

You are exposed. We are exposed.

If the entire purchase process is practically closed before the customer approaches the counter (physical or virtual), what is the way forward?

What to do to reach more people and increase sales?

In today’s world, the most effective way to get our products or services in front of the largest number of qualified prospects is to appear on the first page of Google .

There, the first three results of a search take 60% of all clicks.

In addition, as Tomás Atilano explains , of every 100 visitors who enter a website, only 11 come from the most famous social networks (YouTube, Facebook and Twitter), while 66 come from Google. 

Now, how to appear there?

As I explain in my article on organic positioning :

Producing the best pieces of content in your industry.

Thus, users or potential customers will find those articles or videos whenever they want:

  1. Solve a problem.
  2. Answer a question.

Being the first in the search engines is one of the keys to conveying security with your brand and earning the trust of your prospects.

Do you want your company to dominate the online market and increase your sales? Contact us .

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Marisabel Felice

Commercial director