Instagram Ads vs Facebook Ads: Which Is Better for Your E-commerce Business?

If you're an e-commerce business owner looking to increase customers and sales, you've likely asked yourself: "Should I run Instagram or Facebook ads?"

It’s a good question, and one that many small businesses and online stores face when deciding how to spend their marketing budget.

Meta owns both platforms and shares the same advertising backend. But how they work, the kind of audience they attract, and the content that performs well on each can vary greatly. So choosing the right one could mean the difference between a campaign that flops and one that brings in serious revenue.

In this blog post, we’ll be breaking everything down from demographics and ad formats to conversion goals and cost, so you can make the best decision for your business.

Why Your Choice Matters

You can even run ads on both platforms at once from one dashboard (Meta Ads Manager). But knowing which platform performs best for your kind of product, audience, and goals can help you maximize your ad spend, especially if you're not working with a big budget.

And that’s what we want — ads that bring in sales, not just vanity metrics.

First Things First: Who’s Hanging Out Where?

Instagram = Visual + Trendy + Younger Crowd

Instagram is mostly about aesthetics. People go there to be inspired, entertained, or to discover new brands — especially when it comes to fashion, beauty, home decor, tech gadgets, or food.

• Age Range: Mostly 18–34
• Best For: Trendy, lifestyle, fashion, beauty, wellness, home decor, and visually appealing products
• Top Formats: Reels, Stories, Carousels, Static Posts

This is the platform where people see something cute, cool, or catchy, and buy it on impulse. If your product is something that photographs or videos beautifully and doesn’t need a long explanation, Instagram is your playground.

Facebook = Detailed + Broad Audience + Higher Conversion

Facebook still has the most active users globally. And while people say it’s "for the older generation," those older users often have higher purchasing power, and they actually click on ads.

• Age Range: Mostly 25–55+
• Best For: Tech, services, family products, gadgets, lead generation, B2C & B2B offers
• Top Formats: Carousels, Videos, Collection Ads, Lead Forms, Retargeting Ads

Facebook is also powerful when it comes to driving traffic, collecting emails, and retargeting. If your product or service needs a bit more explaining, or you're targeting working-class professionals, Facebook is best for you.

What Content Performs Best on Each?

This is where the platforms really start to differ.

Instagram Content That Converts:

• Reels: Short, fast-paced, trending-audio kind of videos (10–30 seconds)
• Stories with Swipe Up or Shop Tags
• UGC (User-Generated Content): Real people using your product
• Aesthetic Photos & Carousels
• Behind-the-Scenes or Before/After Videos

The golden rule? Keep it visual, fun, and light. Instagram users aren’t there to read — they’re there to scroll, vibe, and buy if they like what they see.

Facebook Content That Converts:

• Carousel Ads: Great for showcasing multiple product angles or categories
• Video Ads: Explainer videos, tutorials, or founder-led product walkthroughs
• Lead Ads: Collect emails, especially if you're selling a high-ticket product
• Retargeting Ads: Show products to people who’ve already visited your site or added to cart

Facebook lets you say a bit more — and people are more willing to read your captions, click through to a blog, or browse your product collection.

What About Ad Costs?

This one is tricky because it depends on your targeting, country, niche, and how optimized your creatives are. But here’s a general idea:

So, Facebook can be cheaper in terms of cost per click. But don’t let that be the only deciding factor. Sometimes, the higher cost of Instagram ads brings in higher-quality buyers, especially if your visuals are looking good.

Here’s a Pro Tip: Instagram ads tend to drive more engagement. Facebook ads tend to drive more traffic and conversions, especially when retargeting is involved.

What You’re Selling Matters Too.

Let’s say you’re selling handmade scented candles, cute tote bags, or lip gloss. Your best bet? Instagram — because the visual appeal is strong and impulse buying is real.

But if you're selling a productivity app, an air purifier, baby strollers, or a training course? Facebook will give you more room to explain, educate, and build trust.

What If You’re Still Not Sure?

You don’t have to guess. Here’s what you can do:

1. Start With Both

Set up one campaign. Select “automatic placements” on Meta Ads Manager. This lets the algorithm test your ad on both Instagram and Facebook.

2. Monitor Performance Separately

After 3–5 days, go into Ads Manager and break down your results by platform. Look at:

• Clicks
• Cost per result
• Engagement
• Purchases (if you have the pixel set up)

3. Double Down on the Winner

If Instagram brought in better results, shift more budget there. If Facebook gave you cheaper conversions, focus there instead. Let the data lead.

Your Business Goal Should Guide Your Choice

Here’s a break based on your objectives:

Important Things to Get Right (Regardless of Platform)

It doesn’t matter if you’re running Facebook or Instagram ads — if your ad creative sucks, your results will too.

Here are 5 things you MUST get right:

1. Your Offer

Don’t just run ads saying “Buy Now.” Give people a reason — a discount, a bundle, free shipping, a limited drop, something.

2. Your Visuals

If you’re selling clothes, show people wearing them. If you’re selling skincare, show real skin. Avoid over-polished graphics. Make it human.

3. Your Landing Page

Nothing kills conversions faster than a slow or confusing website. Make sure your product page is mobile-friendly, has clear pricing, and an easy checkout. Don’t have a website yet? You can create one in just 5 minutes using Catlog, no tech skills needed.

4. Use the Facebook Pixel

This tiny code helps track people who visit your site, add to cart, or buy and allows you to retarget them later. If you're using Catlog, you can easily integrate your Facebook Pixel to start tracking visitor actions on your website immediately.

5. Retarget, Retarget, Retarget

Most people won’t buy the first time they see your product. Use retargeting ads to remind them what they left behind.

So, Instagram or Facebook?

Here’s the truth:

If you’re a new e-commerce business with a visual product and a younger target audience — start with Instagram.

If you want more control, are targeting an older demographic, or need to explain your product — Facebook will give you more leverage.

But in the end? Don’t choose blindly. Test both platforms, track your results, and let your data tell you where your customers are spending and clicking.

Because it’s not about what platform you prefer. It’s about where your audience is — and what’s working for your business.