Reddit introduces automated bidding for brand awareness campaigns

Reddit has rolled out automated bidding for its 'Brand Awareness & Reach' advertising objective, offering advertisers new tools to simplify campaign management and optimise delivery. According to the platform, the update will allow brands to choose between two bidding strategies - 'Lowest Cost' and 'Cost Cap', aimed at improving efficiency and performance.

Previously, advertisers on Reddit had to rely on manual cost-per-thousand-impressions (CPM) bidding, requiring constant adjustments to maintain campaign performance. The new automated system reduces this manual input, potentially saving time and increasing campaign effectiveness.

According to Reddit, early tests of automated bidding showed an average '16% decrease in CPM' and a '17% increase in impressions', indicating improved reach and cost efficiency for participating advertisers.

Details of the bidding strategies:

Lowest Cost: Automatically optimises bids to the highest impressions within a set budget. No manual bid entry is required.

Cost Cap: Allows advertisers to set a maximum CPM, with Reddit optimising delivery within that limit to balance reach and cost control.

To access the feature, advertisers can navigate to the delivery settings in their ad group while setting up or editing a campaign under the Brand Awareness & Reach objective. From there, they can enter either a daily or lifetime budget, choose their preferred bidding strategy, and, if selecting Cost Cap, define a CPM ceiling.

According to Reddit, this update is part of its broader efforts to streamline its advertising tools and make brand campaigns more accessible and manageable for businesses of all sizes.