Last chance to save

Prices rise for the Digiday Programmatic Marketing Summit after Mar. 24

REGISTER

Reddit is already in early testing with its own AI campaign tool

reddit revenue

Reddit plans to launch its own AI campaign ad tool for advertisers in the not too distant future.

The platform is already alpha testing an end-to-end automated campaign experience for performance advertisers, joining the likes of Meta, Google, TikTok, Pinterest and LinkedIn, which have each launched similar products as a way to target small-to-medium businesses, and ultimately secure a more consistent and reliable revenue stream.

“I think it especially helps our smaller advertisers activate on the platform, because they really appreciate the simplicity and the automation,” Reddit’s COO Jennifer Wong told Digiday. “We’ve been working on this for a while, and we’re really excited to make our ad platform easier to activate on.”

Still for now, as Wong put it, the alpha is just a small piece of Reddit’s advertiser base, “It’s still a small test, more than two hands of advertisers,” she said, adding that so far it’s received “encouraging feedback.”

Similar to the others that are currently on the market, the goal of Reddit’s product is to drive more performance, provide advertisers with more insights about their customers and understand what’s driving the performance of their campaigns.

“The idea is to incorporate a lot of the existing capabilities under one roof,” Wong said. “Automation just helps make sure that people get the best of all those options and features for their performance. Our hope is that it makes for an easier process for onboarding, optimization and better outcomes.”

However, there’s more work to be done before it’s available to all advertisers, globally, with a timeline yet to be confirmed, and Reddit is remaining tight-lipped about what the product is called.

What is clear is that Reddit has been gearing up for a product like this for the last couple of years, improving its ad products, with automation being a key part of that. From simple and automated campaign creation tools to automated bidding, (currently in beta), which provided advertisers with 15% more impressions and lower pricing, automated targeting, which has seen more than 50% adoption year-over-year, according to the company, though they didn’t share specific figures in the earnings call.

While Reddit achieved $549 million during the third quarter of 2025, Wong shared that lower funnel has been one of the “fastest growing objectives over the last few quarters”, though she didn’t share specific figures.

Platforms are racing to build and enhance their own AI-automated ad tools. By building  AI systems that promise faster creative generation and campaign optimisation, platforms like Reddit, Meta, Google and Pinterest are positioning themselves as one-stop ad businesses. The tools reduce advertisers’ needs for outside partners or manual oversight, locking more spend into their proprietary ecosystems.

More in Marketing

TikTok courts CMOs with first-ever Collective, as it targets bigger budgets

In its first CMO-focused event in the U.K. TikTok showcased how easy it is for brands to create content. The event is only part of the platform’s sharper 2026 commercial strategy: targeting larger, long-term ad budgets, courting independent agencies, and positioning itself as a serious competitor to Meta in 2026.

Amid competition for sponsors, top sports clubs are investing in social media operations

Sponsors used to want hospitality access and pitch-side banners. Now they want access to a club’s social following.

Rising gas prices could be the straw that breaks consumer spending

The rising fuel costs have experts predicting a rapid ripple effect on the U.S. retail industry.