Question 1

How much should I spend on Facebook and Instagram ads?

Accepted Answer

Work backwards from your revenue goal. Divide your target revenue by AOV to get orders needed, divide by conversion rate to get clicks needed, then multiply by CPC. For example: $15,000 revenue ÷ $65 AOV = 231 orders ÷ 2.5% CVR = 9,231 clicks × $1.50 CPC = $13,846/month budget.

Question 2

What is a good CPC for Facebook ads?

Accepted Answer

Average ecommerce CPC on Meta ranges from $0.50-$3.00, depending on industry, targeting, and competition. Fashion/apparel: $0.50-$1.50. Home goods: $1.00-$2.00. Tech/electronics: $1.50-$3.00. Strong creative and precise targeting can reduce CPC by 30-50%.

Question 3

What is a good conversion rate for Facebook ads?

Accepted Answer

For ecommerce, 1-3% is typical for cold traffic. Retargeting campaigns can convert at 5-10%+. If your conversion rate is below 1%, focus on landing page optimization, offer clarity, and audience targeting before increasing budget. Each 0.5% improvement significantly reduces your required budget.

Question 4

What ROAS should I target for Meta Ads?

Accepted Answer

It depends on your margins. With 60% gross margin, a 2x ROAS breaks even. A 4x ROAS leaves healthy profit. Most Shopify stores target 3x-5x ROAS on Meta. Use this calculator's break-even CPC to find the maximum you can pay per click and still hit your target ROAS.

Question 5

Should I use CPC or CPM bidding on Meta?

Accepted Answer

Meta primarily uses CPM-based auctions. Your effective CPC = CPM / (CTR × 10). Better creative and targeting improve CTR, which lowers your effective CPC. This calculator lets you input either CPC directly or CPM + CTR to calculate your required budget both ways.

Free Meta Ads Budget Calculator

Related Tools

ROAS Calculator

Google Ads Budget Calculator

TikTok Ads ROI Calculator

CPA Calculator