YouTube advertising cost ranges (on average) from $0.10 to $0.30 or more per view or impression, however the overall cost for each ad campaign can vary based on a variety of factors, such as:
- Your advertising goals.
- The type of YouTube ad you’re running.
- Advertising audience targeting preferences.
- Your daily budget.
And of course, the cost to create the video itself.
As of 2021, the average business sets a $10 daily budget for its YouTube advertising campaigns. The key is to set a reasonable budget and be realistic about your advertising goals.
YouTube is a great way to maximize traffic and increase awareness for your business, but it’s important that you set a clear objective right from the start. Also keep in mind that since YouTube requires that you pay only for the ads that are viewed, you’ll be able to effectively determine your overall advertising costs based on how many views you’re aiming to reach.
You’ll also want to closely monitor your results. You can easily gauge the effectiveness of your ads by tapping into the available metrics that will give you important engagement-based data, such as likes, shares, comments, watch-time, and what Google calls “brand lift”. Brand lift is “a measurement of the direct impact your YouTube ads are having on perceptions and behaviors throughout the consumer journey.”
So, begin by creating a cost outline that includes all your upfront costs, such as video creation, script writing, etc. Then, choose the right type of ad for your business and set a reasonable campaign goal.