Reddit launches new ad products to boost conversions
Reddit launched two new ad products today – Contextual Keyword Targeting and Product Ads. The new features have been rolled out to help advertisers reach higher-value customers and to simplify the Reddit Ads Manager tool.
Why we care. Advertisers will be able to reach their target audience more easily and accurately, which could lead to increased conversions.
What’s new? Reddit’s new ad products enable brands to better connect with consumers already in research mode with the intention of making a purchase. These are:
Contextual Keyword Targeting. This new feature will help you reach consumers in active conversations on Reddit by choosing specific keywords you want their brand to be associated with. You will also be able to align keywords with creative ad copy for increased relevance.
As Reddit threads often become evergreen sources of information, Contextual Keyword Targeting will also provide long-term advertising opportunities.
Product Ads. This new ad format will let you target consumers already in the midst of their shopping journey. It will display information such as product descriptions and pricing (in local currency).
Product Ads will also feature call-to-action buttons that will direct users to a brand’s product page. Also, you will also be able to create ads directly from existing catalogs, quickly and easily with no need for additional resources.
In addition, if you are simultaneously activating ad campaigns on competitor platforms, you will be able to easily import the same catalogs to the Reddit Ads Manager.
What Product Ads look like. Here’s an example of a Reddit Product Ad:
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What has Reddit said? Reddit Chief Revenue Officer, Harold Klaje, told Search Engine Land:
- “These updates will uplevel the search-and-discover experience for both brands and our users by tapping into our differentiated value as a hub for actionable conversation.”
- “Our approach to this next phase of our Ads Product offering is to help brands help people make informed decisions, find answers to their questions, and discover products they care about – while in the process enabling advertisers to build connections with new and valuable new audiences,” Klaje added.
- Redditors make 2x more category purchases than other online customers.
- Redditors spend 2.5x more per purchase.
- Redditors are more than 56% more likely to talk about a brand online positively.
- Redditors are more than 46% more likely to trust a brand that advertises on Reddit.
Redit’s announcement: Investing in what makes Reddit unique: Introducing Contextual Keyword Targeting and Product Ads.