Lets Run Facebook Ads: The Podcast

Why £5/Day Facebook Ads Don’t Work

Nick Boddington Season 1 Episode 192

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0:00 | 11:03

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If you’re running Facebook Ads and unsure how much budget you actually need to see results, this episode breaks down the reality of ad spend in today’s Meta Ads environment. Nick explains why budget size directly impacts performance, how underfunded campaigns can struggle to exit the learning phase, and what this means for advertisers working with limited daily spend. He explores how Meta’s algorithm uses data to optimise delivery, why spreading budget too thin across campaigns can hurt results, and how to approach scaling in a more stable, efficient way.

You’ll learn how to align your Facebook ads budget with your funnel and objectives, why consolidation often outperforms over-segmentation, and how to make smarter decisions that improve performance without wasting spend. If you’re managing a small to mid-sized Meta advertising account, this episode will help you set realistic expectations and build a more effective, scalable ad strategy.

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Welcome to Let's run Facebook ads with me, Nick Boddington. This podcast is your go to for mastering Facebook ads. But as you know, success doesn't stop at the ad itself. We'll dive into everything from funnels and e-commerce to email marketing, lead generation and more. If you're ready to take your skills to the next level, check out my new school platform@school.com. The Ads clinic. Inside you'll find how to videos and live dropping clinicals where you can ask your Facebook questions and get the answers you need to grow your business. And lastly, if you enjoy the podcast, it would mean the world to me if you would subscribe to the channel. It's the best way to help the podcast grow and keep bringing you valuable content every week. Let's get on with the podcast. One of the most common questions I get in my school community is how much should I be spending on my ads when I start You could be running ads for months and still deciding what your spend should be. So in this video we're going to look at how much you should be spending on your ads to actually get results and traction within meta. But before that, let me show you where these questions are coming from. So this is my ask clinic school community. It's an amazing place of nearly 4000 people. And in here is where you can ask if you were to join today. Question after question after question. Where myself and my team of colleagues are answering these questions all about meta advertising as quickly as we can. Not only that, when you come in here, you can come into our classroom where you can find out how to run ads exactly the way you need to be running them. Post Andromeda in 2026 easy to follow videos of myself, my colleagues talking you through exactly what you need to be doing to get things right. So let's jump back into the video and find out what these questions are and how we're going to answer them. So let's look at these questions. Hale having run some previous ads as previously. And looking to get going again. Is it feasible to be running at 3 to 5 pounds a day or is the way to see results another one budget for beginning high? Is there some kind of guideline what your budget for AD should be when starting to ramp up from your business from zero? Another one I'm just wondering when you start with a low budget, is $15 or $20 a good amount to start with and starting with high? So I'm starting to drop ads for my clothing brand. However, I'm not sure how much money I should be putting towards my ad and what metrics I should be looking for. So as you can see here, lots of questions all about the same subject. And this is just a small handful of those questions that come through. So let's jump into the whiteboard and see what we can do to answer these questions for you and for them. Hey, while I've got you, I just wanted to ask. Would you like me to go into your ads manager and actually see what's working? Because I bet your ads aren't broken and I bet we can fix something. There's a reason our top clients stop guessing and start scaling. So if you've got campaigns that are burning cash, or you're having trouble barely even breaking even on them, let's have a look and let's see what we can fix. 100% no fluff, no sales pitch, just a pro-level ad review. So book your 30 minute free Facebook ad review session and walk away with some instant wins. Go to the Ads Clinic icon and book your call today. Do it now before you forget, but make sure you come back to listen to the rest of the podcast. Enjoy! So technically possible on a low ad spend, but practically completely ineffective. So while meta allows for small budgets, this low is generally inefficient. I'm going to show you in a diagram in just a second why that happens. Because we have to think of meta and its algorithm. there are lots of advertisers. And there are a lot of people on this platform wanting to get content into their feed. But you have to remember it has to be the right content. And that's why the level of your creative and your messaging and your calling out to your perfect customer has to be really, really spot on. And if you're starting out, you're also needs to be really, really niche. If you go too broad, you're going to be speaking to too many people with not a direct and concise message, and you're going to miss it. You can't compare yourself to big brands at this stage who are able to go broad because they've got a brand name, they've got more funds. So when we are smaller advertisers, we need to keep niche and really call out to the person we're trying to call out to the learning phase. The learning phase, which I'm sure you've seen in your ads, if you've already started them, is your ad going out to learn? This is meta trying to find who your perfect customer is okay? And by doing that, they have to look at the data actions. Now, because you've watched my content, you've been watch my videos you'll know that if you're going to run for E-com selling your products online, you need to use a purchase event on the sales objective. And if you're running lead gen, whether you're using a landing page, a form, sending people to school, that's all lead gen, which is great, but you need to use and optimize for leads. So meta is going to use the data of what's happening with your ads on that last event being a purchase event or a lead event, that data is and sent back to meta through your pixel, into your business manager, into Meta's brain. And it is then going to figure out who that person was, what their demographics are, and go and find more of them. What matter is saying to us with the 50 events is it wants 50 of those in seven days. Okay. So in a second we're going to look at how we work that out. A more practical approach, is to look at your daily budget, roughly one and a half to two times your target CPA, your cost per acquisition, if your target KPIs 20 pounds, a better testing budget is 30 to 40 per day. So let's have a look here and see what we can find out. Let's do some drawing. This is your campaign And in here this is where you're going to optimize for either lead or sales okay. That is sales. If you're on ecom lead if you're doing legion right. But either way we are telling meta that we want to optimize for the best value, not add to carts, not landing page views. The event needs to be a purchase or a lead. Okay, and then we're going to come into our ad set okay. In our ad set. We are going to choose our audience which is essentially broad okay. But also in here we're going to choose the target event. Again. If it's for leads we're going to choose lead. And that's when we go to our pixel and we choose lead. And if it's not up, if it's not for lead purchase, we're going to choose purchase. Now this is where we're going to break down the ads. And this is where spend becomes quite important. So let's go back to the first question of it's 3 to 5 pounds enough. Well, if we're wanting to test some creators and we're going to test three to keep this nice and simple, we're asking meta per day to spend 5 pounds. But that's between these three creatives, which essentially leaves just under 2 pounds a day for each creative, which just is not enough. We are going to spend so long waiting for data to come back. Now, that doesn't mean that we have to get 50 conversions, because I see plenty of ad accounts not getting 50 events firing in a seven day period to come out learning phase. It can happen a lot earlier, But we just have to make sure we are giving it enough spend. So in answer to that, no 5 pounds a day just is not enough. Okay, so if we were to look at 20 pounds a day, that would be sufficient because that 20 pounds is going to stop between this one, this one and this one, we could even add another 1 or 2. They would probably very much likely still get optimization from this. Now it's still struggle to get the 50 events happening in seven days, unless we're going to be getting a purchase for 1 or 2 pounds for Legion, especially if you're sending to a school that is completely realistic on average, with all the accounts that we look at, it's about 2.50 pounds to 4 pounds to get a free member into your school group. So you could get out of learning phase before that period of time. But this would be the more likely scenario. Now let's look at how much we need to spend a day to exit. Learning phase. If our average cost per lead or cost per purchase is 20 pounds, according to what meta tells us, 20 pounds cost per little purchase times by 50. Events that need to happen in seven days thousand pounds over seven days a daily rate would be divided by seven is 142 pounds. So according to meta, we would need as an advertiser to spend 142 pounds per day to get the 50 leads based on a cost per lead or purchase of 20 pounds. it may not take you that much spend to get out learning phase. We don't know unless you start. I have seen on plenty of occasions where we haven't had to do that, but at the same time I wouldn't get completely hung up on the learning phase. We manage plenty of accounts where we have small businesses who simply can't afford to spend that much on their advertising, and they are still getting very, very good results simply because enough has happened in their account, data wise, for metric to go and find the audience of our ideal customer based on their niche targeting, not by audience, by what they're saying on their ads, calling out to the right person their ideal prospect in a good way, with a collection of winning ads like the 3 to 5 that we're seeing on this page, and meta will start creating its own funnel of that diverse creative for 20 pounds a day and get them the kind of customers that they need. So with that being said, you don't need to spend 142 pounds a day. You can do this on a low budget, but that low budget has to be realistic. 3 to 5 pounds just isn't a realistic, budget in 2026. That is more 2017 kind of budgets, but plenty of accounts that we work with. 15, 20, 25 pounds a day is a fantastic starting point to get your ads working well. So with all that, go and build your ads. Think about some great creative you're going to do. Really call out to the audience you're trying to call out to your ideal customer, and I'll see you in the next video. In the meantime, if you want to learn as much as you can for free about Facebook, go and join my masterclass in my school following the link below. I'll see you there. Thank you for joining us again today. please feel free to drop us a message. We'd love to hear from you and any questions that you would like answered. We can do that here on the podcast. You.