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Reddit Enhances Ad Engagement With New Conversation Placements

Ed Abbas by Ed Abbas
December 11, 2023
Reading Time: 3 mins read
Reddit Enhances Ad Engagement With New Conversation Placements

Image Credit: Reddit

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Reddit has recently introduced two innovative elements to its Conversation Placement ads, namely Carousel and Product display options. These new features are now available within chat streams in the app, marking a significant enhancement in the platform’s advertising capabilities.

The addition of Carousel Ads and Product Ads within Conversation Placement is part of Reddit’s ongoing efforts to optimize its unique, interest-led and contextual advertising advantage. Launched in 2021, Conversation Placement was designed to help brands engage with Reddit users in the heart of their most engaging discussions, within conversation threads.

Source (Reddit Website)

Jim Squires, EVP of Business Marketing and Growth at Reddit said “Around two in three redditors say they would purchase a product if they saw an ad for it on Reddit, which represents a huge, untapped market for brands to reach relevant audiences who are leaned in and ready to take action. Our interest-based communities, and particularly the conversations happening within those communities, is unique to Reddit and brings an unmatched opportunity for advertisers to reach the right people in the right context. As we continue to scale our advertising business, we’re investing in what makes the Reddit community, and our ads business, so special: the richness of discussion happening between real people. Doing so allows us to get more brands in front of our users so they can discover new products and services they love, and these updates to our Conversation Placement is the latest example of our efforts to this end.”.

With over 60,000 campaigns already leveraging Conversation Placement, these new formats provide advertisers with dynamic ways to reach relevant audiences, offer more value to users, and drive robust full-funnel performance. Reddit communities host hundreds of thousands of conversations daily, and these ad units are strategically placed to maximize impact.

Carousel Ads, now available in Conversation Placement, offer a visually compelling way for advertisers to bring relevant information to users engaged in related conversations. Brands can showcase up to six images or GIFs within these ads, each with a clickable link to their landing pages. Early testing of this redesigned format has shown a 44% increase in click-through rate (CTR) compared to the previous Carousel Ad format.

Conversation Placement has gained popularity among various advertisers, from large corporations to small and medium-sized businesses. Companies like ZoomCare, UpLift Desk, Smoothie King, and Direxion have found success with this ad format. For instance, Direxion leveraged these new formats in early testing to drive awareness in finance communities, resulting in higher CTRs than on other platforms.

Andy O’Rourke, CMO at Direxion said “We were testing our ads on several platforms and quickly scaled our activity on Reddit because it’s where real and informed conversations about money and finance are happening, and this drove results for us. People come to Reddit looking for fresh ideas and honesty about money – which isn’t always easy to discuss with the people you know. By utilizing these new Conversation Placement formats, Direxion was able to create awareness about our products where people are most interested in learning about them.”.

These enhancements in Conversation Placement, now available to all Reddit advertisers globally, underscore the platform’s commitment to evolving its ad offerings to meet the diverse needs of its advertising clients.

Reddit’s expansion of its Conversation Placement ads with Carousel and Product display options represents a strategic move to boost ad engagement and effectiveness on the platform. This development showcases how Reddit is innovating to provide advertisers with more impactful and interactive ways to connect with its unique and highly engaged user base.

Tags: AdvertisingReddit

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