Reddit Ads remain one of the most underutilized paid channels in digital marketing — and that’s actually great news for brands willing to put in the work. Lower competition, highly engaged communities, and laser-precise interest targeting make Reddit a goldmine for the right advertisers.
This guide will walk you through everything you need to get your first campaign live and performing.
Why Reddit Ads Are Different
Before we get tactical, it’s worth understanding why Reddit is different. Unlike Facebook or Google, Reddit’s users are:
- Actively seeking information in their chosen communities
- Highly skeptical of advertising that feels inauthentic
- Deeply knowledgeable about their niche topics
This means standard corporate ad copy will fall flat. Reddit rewards authenticity, humour, and genuine value.
Step 1: Set Up Your Reddit Ads Account
Head to ads.reddit.com and create your advertiser account. You’ll need:
- A Reddit account (ideally one with some post history)
- A payment method
- Your website URL for conversion tracking
Pro tip: Before spending a dollar, spend a week lurking in your target subreddits. Read the rules, observe what posts perform well, and get a feel for the community’s tone.
Step 2: Understand Reddit’s Ad Formats
Reddit currently offers three main formats:
Promoted Posts
The most common format. These appear in-feed and look like regular Reddit posts. They support images, videos, and text. Users can upvote, comment, and share them — meaning organic amplification is real.
Display Ads
Banner-style ads that appear in the sidebar and across Reddit. Less engagement than Promoted Posts but useful for awareness.
Video Ads
Full-screen video that autoplays. Works well for product demos and brand storytelling.
Step 3: Master Targeting
Reddit’s targeting options are genuinely impressive:
- Subreddit targeting — show ads only in specific communities (e.g., r/entrepreneur, r/gaming)
- Interest targeting — reach users based on their engagement patterns
- Keyword targeting — target users who’ve searched for or posted about specific terms
- Custom audiences — upload email lists or use pixel-based retargeting
- Lookalike audiences — expand reach to users similar to your existing customers
For most campaigns, subreddit targeting is the most powerful. Being able to place your message directly in front of r/personalfinance, r/DIY, or r/MachineLearning — communities with known, specific interests — is remarkable targeting precision.
Step 4: Set Your Budget
Reddit Ads operate on a CPM (cost per thousand impressions) or CPC (cost per click) model depending on your objective.
Recommended starting budgets:
- Testing phase: $500–$1,000/month
- Scaling phase: $2,000–$5,000/month
- Full campaigns: $5,000+/month
Start small, test your creative, then scale what works. Don’t pour budget into untested ad sets.
Step 5: Write Reddit-Native Creative
This is where most brands fail. Here’s the framework for Reddit-native copy:
- Lead with value, not pitch — What useful thing are you sharing?
- Use conversational language — Write like a person, not a brand
- Acknowledge the community — “Fellow r/entrepreneur members…” lands better than generic copy
- Keep the comment section alive — Respond to every comment, positive or negative
Headline formula: [Interesting claim or question] + [Benefit or curiosity hook]
Example: “We analysed 500 Reddit campaigns — here’s what actually drives conversions”
Step 6: Track and Optimise
Install the Reddit Pixel on your website before launching. This enables:
- Conversion tracking
- Retargeting audiences
- View-through attribution
Check your campaigns weekly. Key metrics to watch:
- CTR — benchmark is 0.3–0.7% for Promoted Posts
- Engagement rate — upvotes, comments, shares
- CPA — cost per acquisition, your true north metric
Common Mistakes to Avoid
- Ignoring comments — Reddit users will comment on your ads. Ignoring them tanks performance.
- Repurposing Facebook creative — What works on Facebook will not work on Reddit. Build native.
- Going too broad — Tight subreddit targeting beats broad interest targeting almost every time.
- Not testing creative — Always run 2–3 variants and let data pick the winner.
The Bottom Line
Reddit Ads aren’t a spray-and-pray channel. They reward brands that understand the platform, invest in authentic creative, and engage with the community. Do it right, and you’ll find CPAs that make your other channels look expensive.
Need help setting up your first campaign? Get a free Reddit audit from our team.