Instagram CPMs (cost per thousand impressions) continues to rise. CPMs were just under

$12 in May/June which is the highest ever excluding holiday bumps. This is an

impressive feat in light of the macro and IDFA headwinds.

Instagram CPEs (Cost per engagement) remain near their lows over the past year. This suggests Instagram’s higher CPMs are due to increased efficiency. Instagram’s low CPEs also suggest CPMs should increase in the future as it is a leading indicator.

Facebook core CPMs look like they’re recovering, but they are still below 2021 numbers. Facebook investors should feel comforted that Facebook numbers have stabilized in light of the same headwinds Instagram has and the narrative of decreased popularity.

Facebook CPEs are in the ballpark of 2020 levels and are much lower than 2021 levels. This once again suggests that Facebook ads prices will increase as the efficiency is still high for advertisers.

Alternative data is known to be very finicky. I believe this dataset gives a good clue about where $FB CPMs and revenue are going, but it is

far from an exact science.

Link to my write up about the true value of Instagram is linked here.