How Much Instagram Ads Cost? [Advertising Cost Calculation Methods]

The cost of advertising on Instagram can be lower than other advertising methods. But not having enough information about how to run a successful Instagram advertising campaign may waste a lot of time and money. Among this wide range of advertising rates, it may not be easy to find a cost-effective spot that can make your business reach its goal. In this article, we are trying to talk about how much Instagram ads cost and how to calculate the cost of advertising on Instagram. Stay tuned with Dr Tricks.

3 necessary questions before knowing how much Instagram ads cost

Behind every successful advertising campaign is careful planning. This planning is only possible by knowing the answers to the following questions.


1- Who is your audience?

The answer to this fundamental question can be your guide in all aspects of digital marketing. Knowing what kind of audience, you are dealing with, knowing their needs, interests, and the way they choose, and being familiar with their concerns, can help you attract customers and serve them better.

Knowing the audience in advertising allows you to know which social media is more suitable for your presence and activity, with what needs your audience is looking for a product similar to yours in that social network, and in what way they trust your product. So paying for advertising on Instagram can’t necessarily help you. In some cases, you may need to be active on another social network such as Telegram, LinkedIn, or a combination of several networks

2- Which ad is right for you?

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Assuming that it is one of the ways to communicate with the Instagram audience, we will answer the second question. Before any choice and calculation, you must be fully aware of your purpose for advertising and know how much Instagram ads cost.

In one type of category, Instagrammers are divided into 3 categories: most visited pages, influencers, and celebrities. In answer to the question of how much Instagram ads cost, it can be said that the cost of advertising on Instagram is different for each of these types of pages. Depending on your goals, working with each of these categories may be more productive for you. For example, if you want to market your product and need a sudden increase in brand awareness, maybe collaborating with celebrities is one of the right solutions for you.

In general, while working with celebrities may always be in your brand’s interest, it’s usually better to work with influencers to reach your audience. These people communicate directly with their audience and there is a warm and close relationship between them. This issue makes the audience trust them and, as a result, the things they introduce. Using popular pages can also usually help reduce the cost of advertising on Instagram.

There are different content such as story, posts, (IGTV), (Reel) and live on Instagram, each of which can respond to a group of goals according to its type. For example, if you are looking to increase traffic on your site, a story on business pages with more than 10,000 followers can help you.

A persistent video post on a page is probably a better choice for unboxing products. Lives are best used for news coverage, questions, and answers, or introducing collections. Of course, all of these are experimental data to optimize the cost of advertising on Instagram, which can be improved. Stay with us in the continuation of this article, how much Instagram ads cost.

3- Have your ads been successful?

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After the implementation of each advertising campaign, it is time to evaluate and discover our strengths and weaknesses. It is necessary to check whether the cost of advertising on Instagram has been spent or not. Without doing this part, it is better to consider all your expenses wasted. To measure your performance, define performance metrics when you define your ad goals. For example, if your goal is to increase brand awareness, audience impressions, likes, and comments are likely to be key indicators of success in your advertising.

If you share the link of one of your website pages in the story of an influencer, it is better to check the statistics yourself by setting the goal on that page, because it is possible that not all those who clicked on the link were directed to the page, and this causes errors in your calculations. In each campaign, recording the ratio of the cost of advertising on an Instagram page to its efficiency can give you a good idea of ​​the cost per unit. Recording this routine will help you improve your ads for the next time.

Important note: Do not postpone performance evaluation and recording reports until the end of the campaign. At the same time as running ads, record feedback, results, and costs, so you can find out how much Instagram ads cost. In addition, record the comments of people who have been involved in advertising and interacting with influencers.

It may not seem so serious at first glance, but misunderstandings, not forming the right relationship with influencers, and ignoring the complaints of your colleagues can cause bigger problems in later campaigns and cost you a lot.

Factors Influencing the Cost of Advertising on Instagram

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Although at first glance, the cost of advertising on Instagram seems to be tasteful and without following a specific trend, after determining the tariff by Instagrammers, the prices will be adjusted by very important factors. The most important factors are mentioned below:

  • The number of influencer followers
  • Influencer engagement rate
  • Influencer’s field of activity
  • Content production quality
  • Exclusivity of the influencer’s field of activity
  • Creativity in producing Instagram content and differentiating influencer content from other people
  • Ad Type (Influencer Generated or Advertiser Generated)
  • How to publish (posts, stories, etc.)
  • The number of influencer ads in a certain time (for example, one ad per day)
  • Time and process (for example, advertising on the eve of the new year)
  • Your type of business and product.

Methods of Calculating the Cost of Advertising on Instagram

To know how much Instagram ads cost, you have to choose the items you want from the list of influencers and the various offers they have and calculate their price. When you are considering and choosing the type of cooperation with Instagrammers, the different price structures that each of them considers for advertising on their page may be different and confuse you. To avoid this issue, use the following:

Look for points of commonality

Try to find similar structures in all of them and compare them. For example, it is likely to be seen in all single-story cost proposals, story threads, and posts in the form of videos or photos. You can use these similar offers to compare two influencers and compare their other factors.

Do not skip special packages easily

Discounted packages or items suggested by the influencer themselves may have a higher return for you.

Measure the ads

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If you can check the similar ads that the desired influencer has placed on his page and measure the ratio of the cost to the indicators of that ad.

Get help from experts

Platforms like Dimaso Shall can make your decision easier by providing the information you need to choose influencers that fit your goals.

How much Instagram ads cost in different categories?

As mentioned before, depending on the area in which the influencers produce content, they may have different prices. Experience has shown that influencers who are active in the field of gaming usually have the highest rates and influencers in the entertainment field have lower rates than other fields.

Maybe seeing the prices at first glance will make you unconsciously choose influencers with lower rates and avoid paying higher prices. be careful! You are caught in a cost trap. If you have a small budget, it does not mean that choosing cheaper influencers will help you run a successful campaign. Choosing a cheap influencer who is far from your field of work and audience will only cost you money.

So, if you have a limited budget, check the pages of influencers with more sensitivity to know how much Instagram ads cost and to be able to optimize the cost of advertising.

Instagram Cost Per Click (CPC)

For all metrics, Instagram CPC in 2023 ranges from $0.40 to $0.70. It takes into account all clicks that occur on an ad, including not only link clicks, but also likes/reactions, comments, and shares.

For ads with destination URLs, Instagram CPC in 2023 ranges from $0.50 to $0.95.

Instagram Cost Per Engagement (CPE)

The cost of each Instagram interaction in 2023 is between $0.01-0.05.

Instagram Cost Per Thousand Impressions (CPM)

Instagram’s cost per thousand impressions in 2023 is between $2.50 and $3.50 for higher-performing campaigns and related ad sets.

When it comes to CPM, our findings show that Facebook is almost 2x more than Instagram, but CPC on Facebook is almost half as much compared to Instagram.


Consulting with experts in the field of influencer marketing can help a lot to optimize the cost of advertising on your Instagram.


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