Facebook ad costs are going up again. In 2025, the platform’s average cost per lead went up by 21% compared to last year. At the first glance, that’s a worrying jump for businesses relying on Facebook to reach new customers.
Yet, even though the price went up, Facebook still offers a better deal than Google. Current benchmarks put Facebook’s average CPL at $27.66, while Google Ads stands at $70.11. That’s more than double.
However, this widening price gap is shaping how marketers plan their budgets. In this blog, we’ll break down what’s driving the rise and what it means for advertisers in 2025.
Facebook Ad Costs 2025
The current Facebook advertising landscape tells two very different stories. Traffic campaigns are actually performing better than ever, with costs dropping 6.7% to just $0.70 per click while engagement rates climbed from 1.57% to 1.71%. That’s a clear positive signal to advertisers.
Meanwhile, lead generation campaigns are where the 21% cost increase is really hitting, with the average cost per lead now sitting at $27.66.
The cost of ads also varies a lot from one industry to the next. Check out how much different businesses are really spending:
| Industry | Cost Per Click |
| Dentists | $9.78 |
| Finance & Insurance | $1.22 |
| Personal Services | $1 |
| Home & Home Improvement | $0.99 |
| Restaurants & Food | $0.72 |
| Shopping, Collectibles & Gifts | $0.34 |
Engagement rates also vary wildly by industry. Shopping and collectibles campaigns are crushing it with 4.13% click-through rates. That’s more than twice the average of 1.71%.
In short, the data shows a clear pattern: Lifestyle-oriented businesses would enjoy Facebook ads. But professional services will have a hard time. When you think about how people use Facebook, this makes perfect sense. People scroll for fun, not to make dental appointments or buy insurance.
Why Are Facebook Ad Costs Rising?
There are several factors that are pushing the Facebook ad cost:
- Lots more businesses are using Facebook and Instagram ads. When many advertisers target the same audiences, bid prices go up because you’re competing for limited eyeballs.
- Changes to Apple’s iOS and stricter data privacy laws make it harder to target people. To make up for fewer signals, advertisers often pay more to reach the right people.
- It’s usually more expensive to run ads that are meant to get leads or sales than ads that are just meant to get traffic. The average cost per lead is going up as more advertisers focus on those higher-intent goals.
- Many advertisers spend more during holidays or big shopping times, like Black Friday. Costs go up for everyone when there is more demand during those times.
Google VS Facebook Ads Cost 2025: Which Is Better?
Have a look at why Facebook still remains as the cheaper option:
| Metric | ||
| Cost Per Lead (CPL) | $27.66 | $70.11 |
| Lead Campaign CPC | $1.92 | $5.26 |
| Average Click-Through Rate (CTR) | 1.71% | 3.17% |
Conclusion
Yes, Facebook ads are getting more expensive, but for most businesses, they still give better value than Google ads. Advertisers just need to adjust and test where each dollar is really pulling the most weight.
The lesson for 2025 Facebook ad cost update is simple: stop chasing the cheapest clicks and start focussing on real returns. If Facebook keeps bringing in leads for half the price of Google, it should have a big place in your budget.
