Most New Zealand small businesses start with a Facebook ad budget of around $20 to $50 a day, which is enough to gather data and generate leads without overcommitting. The right number depends on what a customer is worth to you and how many leads you can handle. Start at a level you can sustain for a few months, then scale up once you know your cost per lead.
Start with what a customer is worth
Your budget should be driven by economics, not a round number. If a new customer is worth several thousand dollars and you convert a reasonable share of leads, you can afford a meaningful daily spend and still profit.
Work backwards: estimate the value of a customer, your close rate, and a realistic cost per lead. That tells you what you can spend per lead while staying profitable, which sets your budget.
Give the campaign room to learn
Facebook needs a steady flow of conversions to optimise. A budget too small starves the campaign of the data it needs, so very low daily spends often underperform per dollar.
A common, sustainable starting point for NZ service businesses is in the range of $20 to $50 a day. Run it consistently for a few weeks before judging it, then scale the spend up as the cost per lead proves out.
Related questions
Is a small Facebook ad budget worth it?
A small but consistent budget can absolutely generate leads, especially with a strong offer and a funnel built to convert. The key is consistency and giving the campaign enough conversions to optimise, rather than starting and stopping.
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