Dive Brief: 

• Facebook reported impressive Q2 earnings — partially a result of increased ad prices — with ad sales up 67% over last year at $2.6 billion. 
• Due to an increase in mobile use, Facebook ad prices doubled in the last quarter. 
• Because there are no sidebar ad options in the mobile app, the competition has become fierce for News Feed inventory, leading to the per ad price increase. 

Dive Insight:

Facebook mobile ads are prime real estate and the prices are a reflection of that. Factor in the significant decline in organic reach and it makes an environment where advertisers are in stiff competition for ad space. As more users primarily access Facebook mobile, the competition will only rise.