Social media isn’t free. Well, that’s only partly true, setting up social media accounts on platforms like Facebook, Instagram, Twitter and Pinterest is free. But after that, the cost of social media depends on what you do if you manage your account on your own.
The cost depends on how much value you assign to your time. And this can be a lot of time. Plus, you may need to pay for some social media management or graphic design tools. If you hire a social media manager or partner with a social media marketing agency, you’ll shift a lot of work off of your plate, but at the same time introduce new costs and of course, the costs of social media advertising depends on a lot of different factors, but nonetheless, there is always a cost. In this video, I’ll go over the cost of social media marketing, including what businesses typically spend on account management and advertising, and a few different ways you can pay for your ads. Let’s dove in.
What is the cost of social media marketing? As I mentioned, the cost of managing your social media accounts on your own is totally subjective. But I can give you some estimates for how much it costs to partner with a social media marketing agency. It’s safe to say most companies can spend about four thousand dollars to seven thousand dollars every month, which includes ad spend. But that number can change from company to company and even go as high as twenty thousand dollars. The cost of social media marketing by itself can be anywhere from nine hundred dollars to seven thousand dollars or more. I know those are some big gaps, but the price varies based on factors such as the experience of the agency or marketers, or how extensive your social media marketing strategy is.
You can do some free things on social media to minimize your spend, managing your reviews, sharing updates from your company, recording quick videos of your team, and creating graphics with a tool like Kambah really just cost you your time before you decide on a social media marketing budget. Just make sure you do your research and know your goals so you’re not spending too little or investing too much in the wrong area. If you have a general marketing budget but need help deciding which areas will get you the best ahli, don’t hesitate to reach out to our team. Now onto social media advertising. What is the cost of advertising on social media like social media marketing? If you do it yourself, you eliminate the cost of hiring an agency or another person, but you add a lot more to your plate. In general, outsourcing an advertising campaign on social media requires an investment of four hundred fifty dollars to six thousand dollars per month, including your ad spend that might add an extra two hundred dollars to fifty thousand dollars. Yep, that’s an even bigger gap than before.
But your ad spend can be a little more flexible than the fixed price of hiring an agency or a social media manager. On most social media platforms, you can set your own ad spend budget based on a set of pricing options. One common pricing method is cost per click or CPC. With this method, you pay for each click on your add. Another common pricing method is cost per thousand impressions or KPIs. With this method you pay whenever one thousand people see your ad. CPC is probably the most common pricing method and it varies between social networks. Numbers may fluctuate depending on things like your bid amounts, your ads relevance, your ad placement, the audience and the time of day. Some platforms have a minimum ad spend, so you’ll want to do your research when figuring out your budget or your social media manager will do it for you. We have a social media pricing calculator on our website.