Facebook Ads Cost in Australia

Facebook advertising has become a go-to strategy for businesses of all sizes in Australia—from local cafés to national eCommerce brands. But one of the most common questions asked by business owners and marketers is:
“How much do Facebook ads actually cost in Australia?”

The short answer is: it depends.
The cost of Facebook ads varies based on your industry, audience, goals, and ad quality. However, with a smart strategy and proper setup, Facebook ads can be one of the most cost-effective ways to grow your business.

In this post, we’ll break down:

The average costs of Facebook ads in Australia
What influences those costs
How much budget you should start with
Tips to get the best return on your investment

Average Facebook Ad Costs in Australia (2024–2025)

Here are some typical Facebook advertising cost benchmarks for Australian businesses:

Metric	Average Cost in Australia
Cost Per Click (CPC)	$0.80 – $1.50 AUD
Cost Per 1,000 Impressions (CPM)	$10 – $20 AUD
Cost Per Lead (CPL)	$5 – $30 AUD
Cost Per Conversion (Sale)	$10 – $50+ AUD (varies by product)

These are just averages. Some advertisers pay more or less depending on their audience targeting, industry competition, and how well their ad performs.

💡 For comparison: U.S. advertisers often see similar or slightly lower CPCs, but CPMs in Australia tend to be slightly higher in competitive niches.

What Factors Influence the Cost of Facebook Ads?

Facebook ad pricing is based on auction and performance, meaning your ad competes with others targeting the same audience. Here’s what affects the final cost:

1. Audience Targeting

Broad, general audiences are cheaper.
Niche or high-income audiences (e.g., business owners, high earners) are more expensive.
Retargeting warm audiences (website visitors, engaged users) usually yields better ROI, even if the cost per click is higher.

2. Campaign Objective

Engagement and traffic campaigns usually cost less.
Lead generation and conversion-focused campaigns cost more, since Facebook optimizes for more valuable outcomes.

3. Industry & Competition

Low competition industries (like local services) typically have lower CPCs.
High competition industries (like real estate, finance, health, or eCommerce) have higher CPCs and CPMs due to more advertisers bidding on the same audience.

4. Ad Quality & Relevance

Facebook rewards engaging, relevant ads with lower costs through a higher Relevance Score (now called the Quality Ranking).
Well-performing ads can cost 30–50% less than average.

5. Time of Year

Costs rise during high-demand seasons like:

Black Friday/Cyber Monday
Christmas & holiday shopping
End of financial year sales

Plan and budget accordingly during peak ad seasons.

How Much Should You Budget for Facebook Ads?

For Small Businesses or Local Brands:

Start with $10–$30/day (approx. $300–$900/month).
Focus on traffic, leads, or local awareness campaigns.
Test and optimise before scaling.

For eCommerce Brands:

Start with at least $50/day if your goal is conversions.
Use that budget to test multiple ad creatives and audiences.
Aim for a ROAS (return on ad spend) of at least 2x–4x to be profitable.

For Service-Based Businesses:

Expect to pay $5–$20 per lead, depending on the quality.
A $1,000/month budget can potentially bring in 50–200 leads with good setup and follow-up systems.

Real Example: Facebook Ad Cost Breakdown

Let’s say you’re a Brisbane-based online clothing store running ads with a $30/day budget targeting women aged 25–45.

CPM: $12 (your ad is shown 2,500 times/day)
CTR (Click-Through Rate): 2%
CPC: $1.20
Clicks per day: 25
Conversion rate on your website: 4%
Cost per sale: $30

If your average order value is $80 and your ROAS is nearly 2.7x, this campaign could be profitable even at a modest budget.

How to Lower Your Facebook Ad Costs

To make the most of your spend in Australia, follow these tips:

1. Use Lookalike Audiences

These are based on people who have already interacted with your business (e.g., past customers or email subscribers). They tend to convert better and reduce your CPL.

2. Install the Meta Pixel

The Pixel helps Facebook track actions on your site and optimise ads for real outcomes, not just clicks.

3. Split Test Your Ads

Try different images, headlines, and calls-to-action. Even small changes can lower your CPC by 20% or more.

4. Retarget Website Visitors

These “warm” audiences are more likely to convert and generally cost less per sale.

5. Use Video Ads

Video often outperforms static images and can lead to cheaper CPMs and higher engagement.

Final Thoughts: Are Facebook Ads Worth It in Australia?

Yes—Facebook ads are absolutely worth it in Australia if you approach them strategically.

Whether you’re a local business trying to reach your neighbourhood or a national brand launching a product, Facebook gives you access to millions of active users in Australia and powerful targeting tools.

Here’s a quick recap:

Expect to pay $0.80–$1.50 per click, on average
Start small with $10–$30/day, and scale up based on results
Test, measure, and optimise for long-term success