Ibiza is all about hanging around on the beach in the afternoon and partying at night and into the morning. If that isn’t your scene then there are certainly better places for a holiday in the area.
While Ibiza has some very cheap hotels, it has no real hostels, and it’s not really a great destination for budget travelers. You can find drink specials advertised during the day, but at night the big nightclubs charge a fortune just to get in, and then much more for anything to drink.
Fortunately it’s possible to just hang around the beach during the day and spend very little money. Otherwise Ibiza is a place to come for the party and assume you’ll spend a lot in the process.