Of course, like many other platforms, Reddit includes ads , a combination of banners and advertisements that look like normal subreddits, but are framed in red.
Image: Brandwatch
And of course, the hyper-targeted nature of each subreddit makes personalization much more effective and easier, and it's also possible to learn more about your target audience just by reading what they uae number data share on a daily basis. This provides a significant opportunity to reach specific markets for your campaigns.
Advertising revenue is the platform's main source of funding. According to data from Cinco Días , throughout 2023, Reddit had revenues of $804 million (€740 million), 20% more than the previous year. This allowed it to reduce its losses from $158.6 to $90.8 million. If we take the numbers from the last quarter of 2023 , the platform recorded total revenues of $249.8 million (€230.06 million), and net income of $18.5 million (€17.04 million).
Additionally, Reddit is looking to diversify its revenue streams through licensing deals and strategic partnerships, such as its recent deal with Google to license content.