How To Reduce Facebook Ads Cost In 2025?

Facebook has become one of the most important platforms where you can run ads for your business, whether you are product-based or service-based. I have been in this industry for almost 6 years now, and one thing that everyone keeps asking me is how they can reduce the cost of their Facebook ads.

Now I won’t be talking any gibberish here as I will clear your mindset about the correct pathway to reduce your cost or your cost per purchase and get better ROAS.

It’s pretty frustrating that you keep running ads with a dream that one day your Facebook ads cost will go down, but it doesn’t. The major reason could be not having a proper strategy while running Facebook ads. This blog will clarify what pointers you have to focus on if you want better results through Facebook ads.

So Let’s Begin

1. Testing Ads Affordably

I am one hundred percent sure that most of your money is getting burned during your testing phase. But this doesn’t mean that you don’t have to test your ads. Testing plays a really important role in understanding what kind of ad set and creative are working for your target audience.

Hear me out, if your testing is done in a correct manner, then your ad cost will automatically go down. And this is the best way to reduce your cost.

But, if you are struggling with spending a lot of money while testing, I have a really good solution for you. You might have seen an option of campaign budget optimisation or advantage budget optimisation. Here you don’t assign budget to separate ad set. Instead, you assign the budget at campaign level.

Suppose you are using $10 in every ad set, which comes up to a total of $60 if you are running six different, ad set, and you don’t even know which is going to give you a better performance. in CBO campaigns, what do you do you assign? For example $50 to the campaign and create five different ad sets under it. Facebook will automatically determine how much budget will go to which ad set and optimise it accordingly.
This way, you are not burning a lot of money and still testing your ads in the most affordable way possible, we do it all the time in our agency. If you want to learn how to set up a CBO campaign, you can watch the video below to have a better understanding:

2. Don't Niche Down Your Audience

You might have heard a lot of people saying that if you want to reduce your advertising cost on Facebook, you need to do detailed targeting to achieve better results, I say to do the exact opposite.

Don’t get confused, let me explain why

When you keep your audience, targeting pretty broad, Facebook gets a lot of opportunities to see what kind of audience is working for you the best. On the contrary, if you are doing too detailed targeting, you will get a lot of competition on that specific targeting and your ad cost will automatically go up.

Just think about it for a while, you have an audience pool of five lakh versus 50 lakhs, you will automatically get reduced cost when your target audience is fairly broad.

And this is not just me, if you read Facebook’s blog on reducing ad cost, they have said exactly the same.

Now I am not saying that you don’t do any kind of targeting and leave it totally broad, because that way you will be burning money in people who are not interested in your product or service, just make sure your targeting is fairly broad so that Facebook has enough opportunity to understand what your target audience is, and you don’t get a lot of competition.

3. Reducing Frequency Cap/ Audience Overlap

Sometimes what happens, you are running ads to a specific target audience, out of which you convert 10%, 50% might be interested in your product or service and the rest Just saw your ad.

After that, you did not optimize your ad, at this particular point, there are great chances that you might face audience overlap. Now what is audience overlap?

When the same ad is shown to a specific audience too many times it’s called audience overlap. I even get irritated sometimes if I see same on the same day for 2-3 times or see in a week for more than 10 times. Showing your ad too many times to the same target audience isn’t going to get you conversion, they are going to get irritated.

So what you need to do is change your frequency cap in Facebook ads manager. This means you need to set a cap that how many times one add will appear in front of your audience in a week. I usually suggest keeping it one in seven days so you don’t face audience overlap, and this will definitely reduce your Facebook ads cost down.

4. Retargeting Campaigns

One of the best possible ways to reduce your Facebook ad cost is by running targeting campaigns. I remember speaking to one of my clients where he talked about how he’s getting a lot of traffic on his website but very less conversions and I even asked him what is he doing to cater the rest of the people who have not purchased from him, but have shown interest in his product.

And do you know what is answer was he said he doesn’t know what to do with that he just keeps running new ads on Facebook and tries to get as much traffic as he can on his website. If you are doing the same, stop doing this right now.

And the psychology behind this is really simple if thousand people are visiting your website and only 20 are making purchase the rest, 980 people are still your target audience. instead of burning money in running new ads and showing it to new people, you can run targeting campaigns to cater the rest of the people who have shown interest in you.

Just understand this concept, focus on the audience who have already shown interest on you rather than burning money on the people who might be interested in you. This will definitely reduce your cost.

READ: What Is The Average ROAS Of Facebook Ads?

5. Keep An Affordable Budget

Just because you think one of your ad set or a creative or let’s say a campaign is performing really well and giving sales or leads every day, doesn’t mean you pour all your money into it.

Scaling is definitely a part of Facebook ads, but if you don’t have an idea on how you can scale your ads, then you probably shouldn’t take that risk. Scaling your ads. Will make your cost go higher, and if it doesn’t perform well, then your money is going to get wasted.

Whenever you start running ads on Facebook, don’t keep a budget that even meta think it’s too much. Keep a really affordable budget so that Facebook has enough room to test your audience, reach your target audience and convert them, and this is not just me you can see that even Facebook suggest that you keep your budget , not too high.

With a not too low or too high budget, Facebook is totally capable of understanding your target audience and giving you results. They first try to get as much conversion as possible in less cost and then decides whether the cost per purchase or cost per lead will be higher for you or not.

6. Optimization Is The Key

Believe it or not optimisation is the key to reduce your Facebook ads cost, let me explain why.

Suppose you are running a sales campaign, and you have been running it for 15 days and getting a few sales and nothing much. Side-by-side, you are running one more campaign where you might be getting good sales, and you have started one more campaign where you are absolutely, not getting any kind of results.

And you even haven’t checked how your ads are performing and you just keep them running and waste your money. Whenever you start running your ads, you need to make sure that you check what kind of results, CPM, CPR, CPP, CTR, you are getting. After analysing all the reporting you get from Facebook ads. You can optimise your ads accordingly.

This way you will not be wasting money in ads which are not doing good for you, and you can scale the ads which are performing well for you. This way you will be able to reduce your Facebook ad cost to a much better extent

7. Lookalike Audience

Lookalike audience is the best weapon if you want to spend less on ads and directly reach your target audience. If you want to learn how to create a look like audience, you can watch the video below to have a better understanding.

You give Facebook a list of your existing customers or website, visitors or video viewers and you tell Facebook that Facebook needs to find similar audience who have same interests, behaviour, demographic like the people who mentioned. This way you directly reach your target audience without spending too much in testing, what kind of audience will suit you.

8. Social Proof

We have tried and tested this with our clients, and having a social proof of your business. Will definitely help you reduce your Facebook a cost up to 40%..

Having a social proof means building organic presence on Instagram, Facebook so that if you are running advertisement on Facebook, your target audience sees your ad, and if they visit your Instagram profile, they should trust you.

If you don’t have a trust factor, there are very less chances. You will see good conversions in your ad and even your cost of ads will go high.

9. Better Landing Page

Not everything is related to doing changes in your ads manager, your landing page or your website plays a really important role here.

For example, I saw your ad and I visited your website. Your ad was amazing. But when I visited your landing page, I found it a little scam and I decided to go back and do my usual online activities. If I was your potential customer and I just did not make a purchase, because your landing page was not good, you will not feel good about that.

If you want to reduce your ad cost, you need to make sure that your website is optimised and it looks authentic in front of your audience. The more authentic your website will look. There will be more chances of conversions and ultimately your cost will go down.

10. Good Ad Creatives And Copy

If your ad is getting skipped by a lot of people and no one likes watching that advertisement, the reason is, you don’t have a good creative or a strong ad copy to compel the audience to watch your ad.

So you need to make sure that whenever you are running ads, you should focus more on creating good, creative, and a compelling copy so that your audience is attracted towards it and want to be your customer.

Trust me if you’re ad creative and your copy is really good, your ad cost will automatically go down since you will not have to show the ad to a lot of people just to convince them.

11. Exclude Purchasers

One of the major reasons why your ad cost is going high on Facebook could be not excluding people who are already your customers. If you are running your business for a very long time, you will definitely have data of the people who have already made a purchase from you, or who you have already talked to regarding your services, and if you are still targeting them through your ads, your ad cost is getting burned at a wrong place.

So what you can do is exclude the people who have already made purchase from you. This you can easily do by uploading the list of your customers or you get plenty of options to exclude your existing customers .

This way you won’t be spending money in your existing customers, and your ad will automatically go down.

ALSO READ: Facebook Ads Audience Targeting In 2025

12. Stay Away From Competitors

By this sentence, I mean, staying away from your competitors in such a way that you are not exactly targeting what they are targeting. Just think about it for a minute, if you want to target women who are interested in jewelry, how do they behave online? What other things are they interested in? Do they live in the same location? Are the questions that you need to answer yourself?

Because I am one hundred percent sure you will see different results coming out of your mind. As someone who is interested in jewelry doesn’t have the same persona, one person who might be interested in jewelry could also be interested in fashion, another person who might be interested in jewelry could also be interested in beauty and make-up.

So you need to think outside the box and target. Those people who are not directly interested in your product but somewhat related to what you sell. This way you won’t be spending your money in targeting the exact things you’re competitors are targeting. Rather than that you will be staying away from your competitor and target people who are interested in your products.

I hope this blog helped you understand how you can reduce the cost of your Facebook ads. And there are a lot of strategies behind running Facebook ads, and if you are serious about understanding what are the strategies, my e-book clicks to the conversion will definitely help you clear those doubts.

MASTER FACEBOOK ADS

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DAMINI TRIPATHI

Damini Tripathi, rocking the digital marketing scene for 5 awesome years. Started from scratch, now running my digital marketing agency and creating cool content too. She has been one of the fastest-growing digital marketers on the internet. Damini has also scaled multiple clients from ZERO —> HERO.