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Glossary · Bidding & Delivery

Cost Cap Bidding

A bid strategy that tells Meta to get as many results as possible while keeping the average cost near a set target.

Cost Cap lets an advertiser specify a target average cost per result, and Meta's delivery system tries to spend the full budget while keeping the average cost per result at or below that number across the campaign, allowing some individual results to cost more as long as the average holds. It trades some volume for cost predictability compared to lowest-cost bidding.

It's commonly used once an account has a known profitable CPA and wants to scale spend without eroding margins, though setting the cap too tight can throttle delivery sharply, since the algorithm will simply spend less rather than blow past the target average.

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