What, Why & How of Reddit Ads!

Hey fellow advertiser, want to try a cost-effective forum-like platform to boost your marketing success? Let me introduce you to the most underrated social network in India. It has over 430 million monthly active users across 130,000 communities in the world, making it one of the most popular websites on the internet. What began as a simple site for sharing links and commenting on them has become an online hub for discussion, sharing, and content discovery.

Reddit Ads, the platform's advertising program, provides businesses with a unique opportunity to reach millions of engaged users on the platform. In this blog post, we'll take a closer look at Reddit Ads and explore how businesses can use the platform to grow their online presence.

Why Reddit Ads?

Reddit is not a regular platform where users scroll aimlessly. It is a hybrid between a forum and a modern social network where users create posts in topic-based communities — called subreddits — and interact in comment threads. It is where people come to be informed and have genuine conversations on topics they are interested in and that’s the USP of the platform!

People come here for a lot of things that advertisers and brands can take advantage of, like:

• To ask for help with a specific problem, such as from tech tutorials to life crises.

• Subscribe to subreddits to stay informed about their favourite topics.

• Connect with others who share their interests.

• To learn something new (check out r/IWantToLearn).

• For entertainment via memes, humour subreddits, or to discuss TV or movies.

Facts & Figures! 

As of Feb 2023, In the United States, Reddit is among the top 5 most visited websites (source) which makes it clear that a lot of people with specific interests are having discussions in their respective communities. Verto Analytics, a Reddit partner, has analyzed that Reddit purchase journeys result in deeper research, faster purchase decisions, more spend & higher NPS ratings than other social platforms.

Reddit journeys are more intense & informative. It is found that users spend a lot of time of their purchase journey in the consideration stage (60% more than other social media platforms) on Reddit and the number of times the users do their brand research in this journey is 3x that on other social media platforms. This clearly signifies, user that switch to Reddit during their buying journeys, are more likely to purchase the service/product.

People on Reddit are passionate about what they are speaking about in the communities and that is why it is highly likely that buyers trust Reddit when it comes to information about products or brands. According to Verto, 85% of users say the reviews described in the communities make them more likely to purchase the product because the conversations in the subreddits are genuine and authentic compared to other platforms. Because of the intense research, a Reddit user is an informed and confident buyer who purchases faster & spends more on the right product. An average user spends about 0.7 days in the decision stage whereas, on other social platforms, it’s about 6.1 days. Isn't that a whopping difference?

And, what’s the post-purchase impact? Well, the post-purchase NPS (Net Promoter Score) is 7% better than other social platforms. People who purchase using Reddit are more satisfied and are likely to speak positively about the product and brand, which also is a strong indication that they are the best remarketing audience and are most likely to purchase again from the same brand.

Now you know why you should advertise on Reddit, let’s come to how you should advertise.

Getting Started with Reddit Ads 

To start using Reddit Ads, you'll need to create an account and log in to the platform. Once you're logged in, you'll be able to access the Ads dashboard, where you can create and manage your campaigns.

The first step in setting up your campaign is choosing the type of ad you want to run. Reddit offers a range of ad formats, including:

1. Text Ads: Simple ads that appear as text-only posts in the feed. This is only available under the “Brand Awareness” objective.

2. Video Ads: Ads that appear as a video post in the feed.

3. Image Ads: Ads that appear as an image post in the feed.

4. Carousel Ads: Ads that allow you to showcase multiple images or videos in a single ad.

There is another group of Reddit Ads that you can run - Reddit Takeovers. These are only available on request and are a high-cost ad format and require a significant investment from advertisers.

Reddit Takeovers?

Reddit takeover ads allow advertisers to take over the entire Reddit platform for a specified period. During this time, the advertiser's brand and message are prominently displayed throughout the Reddit website and app, creating a highly visible and engaging advertising experience. It’s the best type when you have a product launch or when you have an upcoming webinar or event. 

Reddit takeover ads can be customized to include a range of different ad formats, including static images, videos, and GIFs. The ad can be displayed on the Reddit homepage, subreddit pages, and other high-traffic areas of the platform, making it possible for advertisers to reach a large and engaged audience. 

Reddit takeover ads are typically used for high-impact brand awareness campaigns, product launches, or other major marketing initiatives. Because they offer a highly visible and engaging ad format. Takeover ads can be a powerful way to generate buzz and drive engagement with a brand or product. 

Once you've selected your ad format, you'll need to set your targeting options. Apart from basic targeting options like location, devices, & time of the day. Reddit offers a range of targeting options, including:

1. Subreddits: You can target specific subreddits (i.e., communities) based on your audience's interests. 

2. Interests: You can target users based on their interests, such as sports, gaming, or fashion. 

3. Keywords: Target redditors who are viewing certain keywords on the platform. 
   
   (This option is in Beta testing as of this blog’s publication date and you can request this by contacting the support). 

4. Pixel Retargeting: By installing the pixel on your website, you can re-engage redditors who have visited your website or a specific page on your website. 

5. Custom Audience: This gives you the option to upload a list of people who already have a relationship with your brand. 

6. Lookalike Audience: Reach an audience who is like your existing audience or people who have engaged with you before on the website. 

7. Engagement Retargeting: Target redditors who have engaged with your previous ad campaigns on Reddit. 

Once you've set your targeting options, you'll need to set your budget and bid for your ad placement. Reddit Ads uses an auction system, so the amount you bid will determine where your ad appears in the feed. 

Best Practices for Running Successful Reddit Ads

Now let's look at some best practices for running successful campaigns on the platform.

1. Know Your Audience 
   Before you start running ads, it's crucial to understand your audience's interests, demographics, and behaviour. Reddit Ads allows you to target users based on their interests, so make sure you choose the subreddits and targeting options that best align with your audience. For eg Members of r/Hiking or r/trekking are probably athletic people who like adventure, right? A Decathlon ad wouldn’t make much sense in a general campaign, but it fits here.

2. Write Compelling Headlines and Copy 
   Reddit is a platform where users use more of a conversational tone. Make sure your ad copy is not only clear, concise, and compelling but also should match that tone so that redditors start the conversation in the comments.

3. Test Different Ad Formats 
   Reddit offers a range of ad formats, so don't be afraid to test different types of ads to see which ones perform best for your business. Consider experimenting with video ads, carousel ads, and collection ads to see which ones resonate most with your audience. And, once you are comfortable with the platform and if you have a lot of budgets to spend, then you should try out “Takeovers”. They are expensive but worth every penny.

4. Monitor and Optimize Your Campaigns 
   As with any advertising campaign, it's crucial to monitor your results and optimize your campaigns based on what's working and what's not. Keep a close eye on your ad performance and adjust your targeting, ad format, and bidding strategy.

In conclusion, Reddit Ads provide a unique opportunity for businesses to reach a highly engaged and passionate audience. Its users spend more time in the consideration stage during the purchase journey and conduct intense research, leading to faster purchase decisions and higher post-purchase satisfaction. Advertisers can take advantage of interest-based communities, to reach their target audience on the platform. With its diverse targeting options, Reddit Ads can also help businesses increase their online presence and drive brand awareness & engagement through takeovers.

Happy Marketing, Happy growing!