How to Budget for Meta Ads (and Maximize ROI)
- DayMark Media
- Aug 23
- 2 min read
One of the biggest mistakes businesses make with Meta Ads (Facebook + Instagram) is spending blindly. They throw money into ads without a real budget strategy—then complain that “ads don’t work.” The truth? Ads fail not because the platform is broken, but because the budget wasn’t structured to maximize ROI.
If you’ve ever wondered “How much should I spend daily or monthly on Meta Ads?” or “How do I know if I’m overspending?”, this guide will break it down step by step.
Step 1: Set Your Goal First
Budgeting isn’t about how much you can spend—it’s about what you want to achieve. Are you looking for:
Leads?
Website traffic?
Purchases?
👉 For service-based businesses, lead generation is usually the best starting point.
Step 2: Understand Cost Per Lead (CPL)
Every industry has a different Cost Per Lead (CPL). In Kenya (2025 averages):
Basic service niches (e.g., cleaning, tutoring): $2–$5 (KES 260–660) per lead.
High-ticket services (e.g., construction, real estate): $5–$15 (KES 660–1,950) per lead.
If you know your average CPL, you can reverse-engineer your budget.
Example:
Goal = 100 leads/month.
CPL = $5.
Needed budget = $500/month.
Step 3: Split Your Budget Smartly
Monthly Budget: Start with at least $300–$500/month (KES 40,000–65,000) if you’re serious about results.
Daily Budget Formula: Take your monthly budget ÷ 30 days.
Example:
$450/month ÷ 30 = $15/day (KES 2,000/day).
This is enough to test, optimize, and keep ads consistently running (the algorithm hates stop-and-go).
Step 4: Balance Testing vs. Scaling
When budgeting, split it like this:
70% = proven campaigns (ads already working).
30% = testing new creatives, audiences, offers.
This ensures you’re always generating leads while still discovering better-performing ads.
Step 5: ROI Check (Return on Investment)
Your ROI depends on what a lead is worth to you.
If you sell a service worth $500, and you spend $10 to acquire a lead, even if you close 1 out of 10 leads, that’s:
$100 spent.
$500 earned.
5X ROI.
👉 This is why budgeting is crucial—it ensures your numbers always make sense.
Conclusion & Teaser for Next Blog
Stop treating Meta Ads like a gamble. Budgeting smartly lets you predict your spend, track ROI, and grow confidently.
Here’s the exciting part: budgeting is only step one. Even the best budget can’t save bad ad creatives.
🔥 In our next blog post, we’ll show you how to set up creatives that actually convert—so every dollar you spend works harder for you.
Comments