Are Paid Ads Still Worth It in 2025?
Ah, paid social ads. Once the golden ticket to instant engagement, now a minefield of rising costs, algorithm changes, and ever-decreasing organic reach. So, is throwing money at Meta and TikTok still worth it in 2025?
Short answer: Yes—if you know what you’re doing.
Long answer? Well, that’s exactly what we’re breaking down. Let’s talk about which platforms deliver ROI, what’s actually working, and where you might be burning cash.
The state of paid ads in 2025: What’s changed?
✅ Costs Are Higher Than Ever – CPCs (Cost Per Click) are rising across all platforms.
✅ Organic Reach is Basically Dead – If you want visibility, you have to pay to play.
✅ TikTok is Dominating – TikTok Ads are cheaper and converting better.
✅ AI & Automation Are Taking Over – Manual bidding is out, machine-learning optimisation is in.
✅ Retargeting Has Gotten Harder – Thanks to privacy updates, first-party data is now gold.
So, where should you be putting your ad dollars? Let’s break it down.
Facebook Ads: Still Worth It?
✅ When Facebook Ads Work Best
• E-commerce brands with strong retargeting strategies.
• Lead generation campaigns (especially for B2B and high-ticket offers).
• Brands with strong creative assets (high-quality video = better performance).
❌ When Facebook Ads Flop
• If you’re relying only on cold audiences (acquisition costs are high).
• If you’re running low-effort, static ads (video-first is key).
• If your targeting is too broad (specificity wins in 2025).
2025 Facebook Ads Cost Benchmarks:
• Average CPC: $1.10 (up from $0.97 in 2023)
• Average CPM: $14.50 (ouch)
• Best-performing format: Reels Ads (Meta prioritises video engagement)
💡 Pro Tip: Facebook is still a powerhouse, but in 2025, it’s all about video-first, high-intent audiences, and first-party data (email lists, website visitors, etc.).
Instagram Ads: Is It Still Driving Sales?
Instagram is still one of the best platforms for high-visual brands (fashion, beauty, travel), but it’s getting pricier to compete.
✅ When Instagram Ads Work Best
• Visual-first products (clothing, beauty, decor, luxury).
• Influencer collaboration-based campaigns (ads featuring real people > studio shots).
• Shopping-driven content (Instagram Shops & Reels Ads work well).
❌ When Instagram Ads Flop
• Boring, static ads – Instagram rewards engaging, dynamic video.
• Ignoring Reels & Stories Ads – Feed ads are not the best-performing format anymore.
2025 Instagram Ads Cost Benchmarks:
• Average CPC: $1.35 (higher than Facebook)
• Average CPM: $17.20 (👀)
• Best-performing format: Reels Ads + Shopping Ads
💡 Pro Tip: Instagram Shopping Ads + User-Generated Content (UGC) crush in 2025. Instead of polished ads, use real customers, influencers, and casual storytelling.
TikTok Ads: The Best Bang for Your Buck?
If there’s one platform where ads are still cheap and attention is high, it’s TikTok. But lazy ads don’t work here—you need to blend in with organic content.
✅ When TikTok Ads Work Best
• Product-driven brands (E-commerce, beauty, gadgets).
• Brands that embrace UGC & creator partnerships.
• Viral, trending, fast-paced content (the TikTok aesthetic matters).
❌ When TikTok Ads Flop
• Repurposing polished Instagram ads – TikTok audiences hate “ads that look like ads.”
• Selling without storytelling – Problem-solving & humor-driven content wins.
• Ignoring creators – Creator-generated ads outperform traditional brand-made ads.
2025 TikTok Ads Cost Benchmarks:
• Average CPC: $0.84 (still the cheapest paid social platform)
• Average CPM: $10.50 (far lower than Instagram & Facebook)
• Best-performing format: Spark Ads (boosted organic posts) & Creator Ads
💡 Pro Tip: TikTok ranks ads higher if they look like organic content. Work with micro-influencers or film casual, native-feeling videos instead of high-budget productions.
The Best Paid Ad Strategy for 2025: What Actually Works?
The platforms aren’t the problem—it’s how you use them. Here’s the winning paid ad playbook for 2025:
1. First-Party Data is Gold
💡 Why? Retargeting is harder thanks to privacy laws. Build your email list, SMS list, and website traffic first.
✅ Use lead magnets, exclusive discounts, and waitlists to get first-party data.
✅ Retarget website visitors, engaged followers, and past buyers.
2. Video-First, Always
💡 Why? Every platform prioritises video over static ads.
✅ Best formats: TikTok Creator Ads, Instagram Reels Ads, Facebook Reels.
✅ Short, engaging, and native-looking > high-production commercials.
3. Lean Into AI & Automation
💡 Why? AI-driven ads optimise bids better than humans can.
✅ Use Facebook & TikTok’s automated targeting tools instead of manual bidding.
✅ AI-generated ad creatives (like Meta’s Creative Optimization) help test variations.
4. Don’t Ignore TikTok (Even If You’re a “Serious” Brand)
💡 Why? It’s the cheapest platform with the highest engagement.
✅ If you’re not running TikTok Ads yet, test a small budget now before costs rise.
✅ Work with micro-influencers—they create ads that feel real & organic.
Final Verdict: Are Paid Ads Still Worth It?
✅ YES—IF:
• You’re running video-first, AI-optimised, and audience-targeted ads.
• You’re testing TikTok & Instagram Reels (not just static feed ads).
• You’re leveraging UGC and creator-driven content.
❌ NO—IF:
• You’re relying on old-school Facebook ad tactics from 2018.
• You’re expecting instant sales from cold audiences (retargeting matters).
• You’re ignoring video & AI tools in 2025.
Want high-converting ad strategies without the guesswork? Let’s chat—we’ll build a campaign that actually delivers.
DM us, email us, knock on our door—whatever works.