Reddit begins testing ads within its search results
Reddit announced a test of ads on its search results pages with a select group of advertisers. TechCrunch ties it to falling search traffic and a weak revenue forecast; The Verge places it among recent platform changes.
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The story, neutrally told
Mixed · 2Reddit announced on Tuesday 3 November that it is testing ads within its search results. The VergeLC “Reddit is testing ads on another area of its platform: search.” Read at The Verge ↗ TechCrunchN “On Tuesday, the company announced that it’s beginning to test ad placements in its search results pages” Read at TechCrunch ↗ Centre · 1According to Reddit, the ads may appear "based on a range of factors, including contextual relevance to a user’s search query". TechCrunchN ““Ads in search may appear based on a range of factors, including contextual relevance to a user’s search query,”” Read at TechCrunch ↗ Mixed · 2Reddit's examples: a search for "espresso station" could show ads for espresso machines, coffee or mugs, and "home office setup" could show ads for monitors, desks or office chairs. The VergeLC “a search for a “home office setup” may yield ads for monitors, desks, or office chairs.” Read at The Verge ↗ TechCrunchN “a search for “espresso station” might display ads for espresso machines, coffee, or mugs” Read at TechCrunch ↗
Mixed · 2The test is an initial pilot with a select group of eligible advertisers, and Reddit said it will evaluate how users respond so it can refine the experience over time. TechCrunchN “This is an initial test with a select group of eligible advertisers.” Read at TechCrunch ↗ The VergeLC “Reddit says it’s piloting the new search ads with a select number of advertisers to start.” Read at The Verge ↗ Left · 1Reddit already shows ads across its feeds in formats including images, videos, sponsored posts and AMAs, and within threads. The VergeLC “Reddit currently shows ads across its feeds in a variety of formats, including images, videos, sponsored posts, and AMAs. It also shows ads within threads.” Read at The Verge ↗ Centre · 1TechCrunch links the test to Reddit's third-quarter report last week: results beat Wall Street estimates, but fourth-quarter sales guidance of $1 billion to $1.03 billion fell below the expected $1.05 billion, and the stock dropped. TechCrunchN “fourth-quarter guidance that predicted sales of $1 billion to $1.03 billion, below expectations of $1.05 billion.” Read at TechCrunch ↗
Centre · 1Reddit tied the weaker outlook to declining search referrals as Google moves to AI-powered search, which sends less traffic to publishers' sites. TechCrunchN “This was tied to Reddit’s declining search traffic referrals resulting from Google’s move to an AI-powered search experience.” Read at TechCrunch ↗ Centre · 1Reddit reported flat global daily active users of 130.3 million in Q3, while U.S. daily active users fell from 53.2 million to 50.7 million, down 2% year over year. TechCrunchN “global daily active users were flat quarter-over-quarter in Q3, reaching 130.3 million, while U.S. daily active users dropped from 53.2 million in Q2 to 50.7 million” Read at TechCrunch ↗ Mixed · 2Reddit has also announced plans to make the site a logged-in-only experience, phased in gradually and first outside the U.S., to counter AI scraping; The Verge says the stock has declined 29 percent. The VergeLC “The company most recently announced plans to make Reddit a “logged-in-only experience” to fight Google’s AI scraping, contributing to its stock declining 29 percent.” Read at The Verge ↗ TechCrunchN “The company said it will make the transition gradually, initially in markets outside the U.S.” Read at TechCrunch ↗
Centre · 1TechCrunch argues logged-in users are worth more to advertisers because they supply more signals about interests and behaviour, so the ads could become more valuable after the shift. TechCrunchN “Logged-in users are worth more to advertisers because they provide additional signals about their interests and behavior” Read at TechCrunch ↗
Every sentence links to the reporting it rests on. The pill in front of each says where its sources sit: Left, Centre or Right when one side supplies at least half of them, Mixed when they are evenly split. The number is how many outlets it cites.
Left1 outlet
- Framing
- A short news item presenting search ads as the latest addition to Reddit's ad footprint and a string of platform changes.
- Emphasis
- What the ads look like, existing ad formats, recent product changes and the stock decline.
- Leaves out or plays down
- Omits the earnings figures, user numbers and Google AI search traffic context in detail.
Centre1 outlet
- Framing
- Business analysis framing the test as Reddit seeking more revenue from existing users amid falling traffic and growth concerns.
- Emphasis
- Earnings guidance, daily active user figures, Google AI search effects and the logged-in shift's value to advertisers.
- Leaves out or plays down
- Does not mention existing ad formats in threads and feeds.
- Charged language
- “squeeze more revenue”“growth concerns mount”
- For example
-
“The new ad placements could help Reddit squeeze more revenue from existing users” — TechCrunch
“This leaves the company needing to earn more revenue from its existing users” — TechCrunch
Right0 outlets
No right outlet in our sources has covered this story yet.
What every side reports
- Reddit is testing ads in search results with a select group of advertisers.
- Ads are chosen partly by contextual relevance to the search query.
- Reddit plans a logged-in-only experience.
Where accounts differ
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Why Reddit is adding search ads
- Left
- Presented as another ad placement among recent platform changes.
- Centre
- Presented as a way to earn more from existing users amid falling search traffic and weak guidance.
Reddit organisation
Says this is an initial test with select advertisers, with ads based on contextual relevance, to learn how users respond and refine the experience.
“During this test, we will evaluate and understand how users respond to these ads so we can refine the experience for users and advertisers over time.”” — TechCrunch
Google organisation
Its AI-powered search is cited as reducing referral traffic to Reddit; Google gave no stated position in the coverage.
“AI search now sends less traffic to publishers’ websites” — TechCrunch
Left1 article
-
Neutral Brief, factual report of the test within a list of recent Reddit changes.
Centre1 article
-
Reddit tests ads in search results as traffic declines and growth concerns mount
Critical Presents the test as a revenue push driven by declining traffic and user numbers.
Right0 articles
No coverage yet.
- 3 Nov 18:26 First The VergeLC Reddit is adding more ads
- 3 Nov 19:24 +58m TechCrunchN Reddit tests ads in search results as traffic declines and growth concerns mount
Times are when each article was published, or when we first saw it if the outlet gave no time.
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