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In the News: Facebook’s Ad Limits and What They Mean

Facebook ads are an effective way to get your content in front of more Facebook users than would likely see it with a solely “organic” post. In fact, depending on the status of your page, these ads are nearly a necessity in order to get your brand’s social media momentum going. Around this time last year, Facebook announced that it would be imposing ad limits per page, and recently the social media giant shared exactly when those would go into effect for new pages: starting in February 2021. But what is the intention behind Facebook’s ad limits—and what does it mean for marketers?

The reasoning behind Facebook’s ad limits

Facebook has stated that its per-page ad limits intend to “help advertisers reduce costs and improve ad performance.” The first part of that phrase seems pretty self-explanatory. With limits on the number of ads you can run, you won’t be spending as much on ads in general—but there’s a bit more to it than that.

Each time you run a Facebook ad, Facebook “learns” about the response to that ad, and uses that information to decide how and where to continue to deliver it. This “learning phase” includes learning which audiences to show the ad to. The more times an ad is shown, the more Facebook “learns,” and the better it gets at delivering them.

When there is a high number of ads running at the same time, they tend to cannibalize one another. Delivery for each ad is lower; thus, Facebook’s system gets stuck in the learning phase and is unable to optimize delivery for any one ad. This can lead to higher spending before the ad is actually getting seen where you want it to be seen.

So, the reason for Facebook’s ad limits is purportedly twofold: to help advertisers spend their ad budgets more wisely while improving the delivery of the ads that are running at a given time.

What the limits will look like

Facebook has outlined four different tiers of ad limits, depending on a page’s ad spending habits. These limits are the number of ads a page can have running or in review at any given time.

Small-to-medium-sized pages

  • Advertising less than $100,000 in their highest spending month in the last 12 months
  • Ad limit guidance: 250 ads

Medium-to-large-sized pages

  • Advertising less than $1 million in their highest spending month in the last 12 months
  • Ad limit guidance: 1,000 ads

Larger pages

  • Advertising less than $10 million in their highest spending month in the last 12 months
  • Ad limit guidance: 5,000 ads

Largest pages

  • Advertising $10 million or more in their highest spending month in the last 12 months
  • Ad limit guidance: 20,000 ads

What it means for marketers

Since Facebook’s ad limits are for the number of ads a page can be running or have in review at any given time (rather than over a specified time period, for example), we think the limits are pretty generous. All of our current clients fall into the “small-to-medium-sized pages” category, and none are anywhere close to skirting that 250 limit. This means many marketers should not feel restricted by the limits. However, the fact that Facebook is taking steps to optimize ad delivery on behalf of its customers bodes well overall.

Not sure what your page’s ad limit is? Check the Ad Limits Per Page tool, which is also accessible through Facebook’s Business Manager menu. For new pages, the limits will go into effect starting Feb. 16, 2021.

Summary

Facebook’s ad limits may sound intimidating, but when it comes down to it, small businesses should have plenty of wiggle room. Despite that it may not affect you directly, knowing what’s going on behind the scenes with your social media ad options is an important step in understanding your overall marketing strategy.

McNutt & Partners is a full-service advertising and digital marketing agency. Contact us today for your marketing needs! Call 334-521-1010, or visit our contact page.

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