Hi there,
Happy to give you some initial thoughts and guidance on your question about ad costs and which platform is the most cost-effective. It's a question we get all the time, and the honest answer is... it's complicated. There's no single "cheapest" or "best" platform, it all comes down to who you're trying to reach and what you're trying to achieve. What works brilliantly for one business might be a total waste of money for another.
Think of it less like choosing the cheapest supermarket and more like choosing the right tool for a specific job. You wouldn't use a sledgehammer to hang a picture frame, would you? It's the same with paid ads. The most 'cost-effective' platform is the one that lets you reach your ideal customer, with the right message, at the right time, and gets you the best return on your investment.
I'd say you need to think about your customer first...
Before you even look at the ad platforms, you've got to be crystal clear on who you're selling to. Who are they? Where do they hang out online? What problems are they trying to solve? Once you know that, choosing a platform becomes a lot easier.
-> Are they actively searching for a solution right now?
If people are typing their problem into a search engine, then Google Ads is almost certainly where you should start. This is what we call 'high-intent' traffic. They already know they have a need and they're looking for someone to fix it. This is prime territory for service businesses. For example, we're running a campaign for an HVAC company currently, and it's perfect for Google Ads. When someone's air conditioning breaks in the middle of a heatwave, they're not scrolling through Instagram, they're on Google searching for "emergency air con repair near me". The cost per click might be higher, but the lead quality is usually fantastic because they're ready to buy. For B2B software, we often see people searching for specific solutions, and I remember one client where we reduced their cost per user from £100 down to just £7 by refining their Google Ads strategy alongside Meta.
-> Do you need to target specific people in specific companies?
If you're selling B2B and you know you need to get in front of, say, the Head of Marketing at software companies with 50-200 employees, then LinkedIn Ads is your best bet. No other platform offers that kind of granular B2B targetting. It's definately more expensive on a per-click basis, but the power is in the precision. You're paying a premium to get your message directly to the decision-makers. I recall a campaign for a B2B software client where we achieved a cost per lead of around $22 by hitting the right job titles and industries on LinkedIn. It's about quality over quantity here. You might only get a handful of leads, but they could be worth thousands.
-> Is your audience broader, or is your product more visual?
This is where Meta (Facebook & Instagram) really shines. The targeting isn't as precise for B2B as LinkedIn, but for B2C it's incredibly powerful. You can target based on interests, behaviours, and demographics. It's great for products or services that people don't necessarily know they need yet, or for things that are visually appealing. Think eCommerce, courses, events, apps. You can get in front of a huge audience relatively cheaply and build awareness. One campaign we worked on for a client selling a subscription box delivered a 1000% return on their ad spend purely through Meta ads, because we could build a really strong visual brand and target people with related interests. Don't rule it out for B2B either, especially for smaller businesses. You can target 'small business owners' or 'Facebook page admins'. It can work surprisngly well, as demonstrated in a campaign where a B2B SaaS client got 4,622 registrations at just $2.38 each on Meta.
We'll need to look at the numbers...
You asked about cost, so lets talk about some ballpark figures. Please, take these with a massive pinch of salt. These are just averages from our experience and can vary wildly based on your industry, your offer, your ads, and a dozen other things. The main factors are your optimisation goal (e.g. leads vs sales) and the countries you're targeting.
In developed countries (like the UK, US, Canada), you can expect to pay more per click, maybe in the £0.50 - £1.50 range on platforms like Meta. In developing countries, that can be a lot lower, maybe £0.10 - £0.50. Then you have to factor in your landing page conversion rate. A decent page might convert 10-30% of visitors into a lead or a signup.
Here's how that maths breaks down for something like an email signup:
| Objective: Signups | Developed Countries | Developing Countries |
|---|---|---|
| Typical CPC Range | £0.50 - £1.50 | £0.10 - £0.50 |
| Typical Conversion Rate | 10% - 30% | 10% - 30% |
| Estimated Cost Per Signup | £1.60 - £15.00 | £0.33 - £5.00 |
As you can see, the range is huge. If you're selling something, the numbers change again because a purchase is a much bigger commitment. eCommerce conversion rates are often in the 2-5% range. So your cost per purchase could be much higher.
The point here isn't to fixate on these numbers, but to understand the mechanics. A high CPC isn't always bad if it comes with a high conversion rate. A low CPC is useless if nobody converts.
You probably should focus on the return, not just the cost...
This is the most common mistake I see. People get obsessed with lowering their cost per click or cost per lead, but they forget about the bigger picture. What's the point of getting £1 leads if none of them ever buy anything? I'd rather pay £50 for a lead that turns into a £5,000 customer.
This is where the idea of Return On Ad Spend (ROAS) comes in. For every £1 you put into ads, how many pounds do you get back in revenue? That's the metric that really matters, especially for eCommerce. I remember one client selling women's apparel where we achieved a 691% return. That means for every £100 they spent, they made £691 back. Who cares what the CPC was? The campaign was massively profitable.
For B2B or services, you need to think about Customer Lifetime Value (LTV). A new customer might only spend £200 on their first project, but if they stick with you for five years, they could be worth £10,000. Knowing that number means you can afford to spend more to acquire them in the first place. You have to be patient, especially in B2B where sales cycles can be long. You might not see a return for months, but it's about building a pipeline.
You'll need a solid strategy to actually make it work...
Choosing the platform is just step one. To actually get results and make it cost-effective, you need a proper strategy. Tbh, a lot of the time when people say "ads don't work", the problem isn't the platform, it's their website or their offer.
-> Your Website/Landing Page: Your ads can be brilliant, but if they send people to a slow, confusing, or untrustworthy website, you're just burning money. Your landing page needs to be fast, have persuasive copy that speaks directly to the customer's problem, and have a single, clear call-to-action. What's the one thing you want them to do? Fill out a form? Book a call? Make it obvious.
-> Your Offer: For software, a free trial is almost non-negotiable. For services, maybe it's a free consultation or an audit. You need something to lower the barrier to entry and get people in the door.
-> Constant Testing: You can't just set and forget. You need to be constantly testing. Seperate campaigns for different stages of the funnel (e.g. new audiences vs. people who've visited your site before). Different ad creatives. Different headlines. Different audiences. This is how you find what works and scale it up, and turn off what doesn't. This process of optimisation is what seperates successful campaigns from failed ones.
I've detailed my main recommendations for you below:
| Platform | Best For | Typical Costs (Ballpark) | Key to Success |
|---|---|---|---|
| Google Ads | Capturing 'high-intent' users actively searching for your solution (esp. services & specific B2B). | Higher CPC, but often higher quality leads. Leads can be £10-£60+. | Strong keyword research, compelling ad copy, and a high-converting landing page. |
| LinkedIn Ads | Precise B2B targeting by job title, industry, company size etc. Reaching decision-makers. | Highest CPC/CPL. Expect leads from £20 up to £100+, but high potential value. | Very specific audience targeting, a strong offer for your niche, and patience for longer sales cycles. |
| Meta Ads (FB/IG) | Broad B2C targeting, visual products (eCommerce), building brand awareness, lower-cost lead gen. | Lower CPC/CPL. Can generate leads for under £5 and build large audiences cost-effectively. | Engaging creatives (video/images), testing multiple interest-based audiences, and a strong retargeting strategy. |
As you can probably tell, it's not a simple case of just picking one and pouring money in. It's about understanding your business, your customer, and then building a strategic, data-driven system to attract and convert them. That process of testing, optimising, and scaling is where having an expert can make a huge difference. We offer a free initial consultation where we can look at your specific situation in more detail and give you a clearer idea of the potential and strategy.
Hope this helps give you a bit more clarity.
Regards,
Team @ Lukas Holschuh
