The interview: Reddit COO Jen Wong expressed strong confidence in the company’s trajectory following a standout Q2 in an EMARKETER interview last week.
Room to grow: Despite Reddit capturing just over 1% of US social ad spend, she sees tremendous headroom, noting there are “thousands more advertisers” that Reddit hasn’t reached yet, including within existing large customer portfolios. Wong said Reddit is investing in acquisition marketing and go-to-market infrastructure to expand its advertiser base.
Focus on value and outcomes: Wong emphasized Reddit’s strategy of boosting value per impression over increasing ad load. The platform keeps ad load intentionally light, instead working to make “every impression work harder.” That’s led to substantial YoY and QoQ gains in click and conversion rates. Wong said this approach helps prove Reddit delivers “hard outcomes,” making each impression more valuable.
Those results stem from platform investments: Machine learning to boost ad relevance, creative optimization via Memorable AI, and user-friendly tools that ease onboarding for new advertisers. These changes have increased competition and ad diversity, improving auction dynamics and overall performance.
Wong attributed Reddit’s 59% YoY US ARPU growth to improved ad outcomes, not over-monetization. Advertisers are seeing more value per dollar, making the platform stickier. Reddit is also investing in infrastructure like CAPI and better measurement to help advertisers scale what works.
Global growth: Wong said Reddit’s reach is global but direct sales focus on the US and EMEA, while SMBs engage through self-serve tools. Beyond sales, Reddit embeds research, insights, and creative teams in local markets to gather feedback and guide product development—supporting localized growth while keeping the platform globally consistent.
Full-funnel capabilities: Wong emphasized that Reddit operates as an auction platform where marketers can toggle between brand and direct-response objectives—or run both simultaneously. Many do just that, and Wong said full-funnel strategies perform well because “one and one equals three.” Reddit’s high-intent communities make it well-suited for both brand-building and conversions, from awareness through purchase.
Keeping Reddit vibrant: Wong acknowledged search referral uncertainty as AI changes discovery but downplayed the risk, noting Reddit’s core use—joining interest-based communities—predates and doesn’t depend on search (though it has benefited from it). Still, Reddit is developing its own search tools, like Reddit Answers, to surface authentic, human perspectives.
She emphasized that Reddit’s greatest long-term advantage may lie in its authenticity. “What Reddit has is this humanness and connection,” she said, contrasting it with the increasingly synthetic web. In an AI-dominated media environment, Reddit’s real voices, opinions, and communities may only grow more valuable.
Our take: Reddit is clearly executing on a performance-driven ad strategy, but scaling that success beyond early adopters—without compromising the user experience—remains its biggest challenge. Its differentiation around community, intent, and authenticity is real, but translating those into sustained advertiser growth will depend on how well it continues to evolve measurement, creative tooling, and international reach.