How Does Facebook Ads Billing Work?

October 6, 2016
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How Does Facebook Ads Billing Work?

Facebook is a great way to communicate with customers. Many people have a Facebook profile and several friends. They will often check the Facebook profile several times each day. When they check their Facebook feed, they are given ads they can see about products or services they may want to buy. Any savvy businessperson today should consider focusing their attention on Facebook customers. Even a small ad budget can help drive customers to their business and bring in new clients. It can also help older, existing clients to be aware of any new services they may be offering their clients.

Working With Facebook Billing

When working with Facebook advertisements, the system is set up to help the user decide where best to spend their funds and how to spend them. Those who are choosing to work with the system will be asked by the system to set up a budget in advance. The advance budget is the amount of money the person is willing to spend on the entire campaign. Users will not be asked to spend more money then they have chosen to budget. This budget is the maximum amount any client wants to spend on advertising on Facebook. The user can change the amount they want to spend at any given period of time. A user may choose to increase the amount or decide they want to spend less. Making changes to the set budget is easy with the ads billing system.

Spending Money on Facebook Ads

Spending money on Facebook ads can be done according to certain basic principles. Most of the ads on the pages are about five dollars. For five dollars, an ad can reach several hundreds of people directly, allowing them to see the ad and get a feel for the company. How fast any given budget is spent depends on multiple factors including the intended audience size, the planned bid to reach out to the audience and amount of time that each ad will run in a given period of time. Facebook ads billing further divides the budget into several additional categories including the daily budget and the lifetime budget.

The Daily and Lifetime Budget

The daily budget is the amount of money spent by the consumer on ads each day. This is different than the lifetime budget. The lifetime budget is the amount of money that is spent over the lifetime of a given ad set. Facebook officials offer guidelines and tools that make this particular task much easier. Charges are leveled according to the person’s budget threshold. Setting a budget threshold allows the user to determine how much money they want to spend on a given ad. It also helps the client decide about factors such as their overall budget. In short, working with Facebook to advertise has many advantages. The user can set a budget and then pick from options online to decide how best to spend it to reach as many customers as possible via this medium.

 

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