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Reddit Ads: Pros, Cons, and Walkthrough of Ad Manager Account

Table of Contents

  1. Introduction: Exploring Reddit Ads

  2. The Advantages of Reddit Ads

    • Self-Selection and Precise Targeting

    • Streamlined Setup Process

    • Affordable Cost per Mile (CPM) and Cost per Click (CPC)

    • Opportunities for Learning and Engagement

    • Bypassing Subreddit Moderators and Community Rules

  3. The Downsides of Reddit Ads

    • Negative Attitude Towards Ads on Reddit

    • Short Time Spent on Page

  4. Walkthrough of Reddit Ad Manager

    • Creating a Campaign

    • Selecting Subreddits and Targeting Options

    • Designing Ads and Engagement Strategies

  5. Conclusion


TL;DR - Summary

This blog post presents a detailed exploration of Reddit Ads, highlighting its advantages, disadvantages, and a walkthrough of the Reddit Ad Manager. The advantages include precise targeting, easy campaign setup, low cost, engagement opportunities, and bypassing subreddit rules. The downsides comprise a negative attitude towards ads and short user engagement time. By understanding these aspects, aligning ad creatives with subreddit interests, and utilizing targeting options, marketers can effectively navigate Reddit's ad platform and run successful campaigns.


Introduction: Exploring Reddit Ads

This blog post is all about Reddit ads. We'll dive into the positives and negatives of advertising on Reddit, and we'll guide you through using the Reddit ad manager. Reddit is a well-known website visited by millions of people every month, where they join in conversations about subjects they're interested in.

The backbone of Reddit is 'subreddits', these are smaller communities focused on all kinds of topics. In fact, there's a subreddit for just about anything you can imagine. If you can't find a group for your unique interest, you might even start one.

Despite users not having to use their real names or photos, there's usually a friendly vibe in these groups. Most of the content on Reddit is text-based, but users can also post videos and pictures. Other Reddit members then show whether they like or dislike the posts by upvoting or downvoting them. They can also start discussions about the posts in the comments section.

Understanding how Reddit works is a key step in using it successfully for marketing.

The Advantages of Reddit Ads

Self-Selection and Precise Targeting

A standout benefit of Reddit ads is the capability to focus on specific subreddits where your intended audience hangs out. Reddit users willingly join these subreddits according to their interests, letting advertisers connect with an audience that's genuinely interested in what they're offering. This self-selection feature means that the data and targeting abilities you're using are reliable and precise, unlike on some other platforms. By focusing on certain subreddits, you can shape your advertising messages to strike a chord with community members, increasing the chance of a positive reaction to your ad. For instance, if you mainly work with technology and ecommerce companies, like us, you'll discover many subreddits related to startups, entrepreneurship, marketing, sales, and other revenue-related topics.

 

Streamlined Setup Process

Creating a Reddit ad campaign is incredibly straightforward and fast. With suitable images and text, your ad can be ready to go in no time. The user-friendly design of the Reddit ad manager makes it easy for advertisers to get their campaign rolling quickly. This simplicity is especially handy for marketers aiming to try out the platform or start time-sensitive campaigns without spending too much time on setup. You can typically get everything done in 20-30 minutes if you've got your ad materials ready. Plus, when we first started using Reddit ads, Reddit kindly gave us $100 in advertising credit - a nice little bonus!

 

Affordable Cost per Mile (CPM) and Cost per Click (CPC)

Reddit ads offer a distinct pricing advantage when compared to other platforms. Both the CPM and CPC on Reddit are generally less expensive than those on platforms like Meta or LinkedIn. This cost-effectiveness lets advertisers get more bang for their buck, reaching a broader audience without overspending. Moreover, the low cost per click gives advertisers a chance to try out various campaigns and messaging strategies without putting a large amount of money on the line. From our experience, after spending around $500 in total, we've observed that the CPMs and CPCs on Reddit are just a fraction of what you'd typically pay on Meta and LinkedIn, even when targeting valuable subreddits.

 

Opportunities for Learning and Engagement

Even though Redditors are often wary of ads, Reddit ads offer a chance for valuable learning and engagement on a large scale. By enabling comments on your ads, you can gather insights into how your audience views your messaging and product. It's important to note that the ad manager does let you switch off comments, which can be a key part of the organic Reddit experience. Interacting with comments, both positive and negative, can show your authenticity and understanding of the Reddit community, building a positive image for your brand. Most importantly, this direct feedback can help you fine-tune your marketing approach and improve your overall product strategy. Reddit users are known for their passion, and they might just provide you with some excellent feedback – we've experienced this first-hand multiple times.

 

Bypassing Subreddit Moderators and Community Rules

On Reddit, subreddit moderators wield significant power over the platform's organic content. They can choose to ban you either temporarily or permanently, and Reddit won't intervene. Moderators usually set strict rules for their subreddits, defining what's acceptable and what's not. For instance, posting promotional content can often lead to swift banning, and even if you dodge a ban, your post will likely be deleted promptly.

However, this issue doesn't exist with Reddit Ads. You can target almost all subreddits with promotional content, if that's your goal, and moderators can't do anything about it. Your only obligation is to stick to Reddit's own guidelines and policies, as there's still an approval process for your ads.

The Downsides of Reddit Ads

Negative Attitude Towards Ads on Reddit

Reddit users generally have a strong dislike for self-promotion and paid advertisements. This often leads to ads being met with less than friendly responses. Redditors are usually less welcoming to ads compared to users of platforms with a longer history of ad exposure, such as Meta’s Facebook and Instagram.

Advertisers must carefully shape their messages to match the organic communication style of Redditors and show respect for the Reddit culture, which will improve the chances of their ad campaigns working well. Also, it might be a good idea to first engage naturally on the platform to gain some Karma points (which you earn from upvotes).

Furthermore, using an account that's been active for a while could be beneficial, as Reddit users use this information to gauge how relevant and trustworthy your content is. At the time of writing, your username is shown and clickable in ads, meaning users can view your profile if they want. It doesn't reflect well on you if your profile was just created and has zero Karma.

 

Short Time Spent on Page

A key issue with Reddit ads is that despite their low CPC and CPM, users typically spend a short amount of time on the advertised page. When compared to organic traffic from search engines or other social media platforms, the engagement duration with Reddit ads can be remarkably brief (averaging between 10-15 seconds).

This can hamper the effectiveness of campaigns aiming for conversions, where advertisers want users to perform specific actions on their website. It's crucial for advertisers to be aware of this limitation and think about strategies to enhance user engagement and interaction with their landing pages.

Walkthrough of Reddit Ad Manager

Now let's take a closer look at the Reddit ad manager account and explore the steps involved in setting up a Reddit ad campaign.

Creating a Campaign

The journey starts with setting up a campaign within the ad manager. You get to select from various objectives like conversions, traffic, or brand awareness. The objective you choose will affect your ad's targeting and performance, so it's essential to select the one that aligns most with your campaign goals.

You can also decide on a budget for your campaign and choose whether to use cost per mile (CPM) or cost per click (CPC) for your bidding. This level of choice is somewhat unique to Reddit, as other platforms, notably Meta, are more restrictive and often default to CPM charging. This practice can be a bit frustrating as it means Meta gets paid whether they deliver results for your business or not.

 

Selecting Subreddits and Targeting Options

A significant benefit of Reddit ads is the capacity to target specific subreddits. By choosing relevant subreddits during this step, you can effectively reach your target audience. Additionally, you have the option to target based on demographics like country, and exclude certain keywords or communities for brand safety.

While ad placement options on Reddit are somewhat more limited, you still get to decide where your ads will appear. The Reddit ad manager offers an easy-to-use interface to help you fine-tune your targeting options.

 

Designing Ads and Engagement Strategies

Designing engaging ads is key to grabbing the attention of Reddit users. You can upload visuals, compose headlines, and select call-to-action buttons. It's vital to align your ad's style with the interests and preferences of the subreddits you're targeting.

Additionally, you have the choice to enable comments on your ads. While Redditors might voice negative opinions, engaging with their comments can offer valuable insights and assist in building a positive brand image. As highlighted earlier in this post and the related video, we strongly recommend turning on comments to directly interact with your audience and learn from their feedback!

Conclusion

In summary, Reddit ads present a unique set of benefits and considerations for advertisers. The platform's self-selection and precise targeting capabilities provide an opportunity to reach a specific and engaged audience. The straightforward setup process, low CPM and CPC, along with the potential for insightful interactions and learning make Reddit an attractive platform for marketers.

Nevertheless, the challenges of a negative perception towards ads and shorter time spent on page require thoughtful strategies to overcome. By fully understanding these pros and cons and effectively utilizing the Reddit ad manager, advertisers can unlock Reddit's potential and conduct successful campaigns.