Reddit plots a path to $1B in ad sales, but first it needs to convince brands

Reddit has finally revealed details behind its ad business and daily user base, and now says it has a path to $1 billion in revenue, but that’s up to three years away. The new disclosure shows that Reddit still has some growing to do to catch up to rivals like Twitter and Snapchat, as the company tries to win over brands with its unique proposition in the world of social media. Reddit disclosed for the first time that it hit the $100 million mark in ad revenue in 2019, and it has 52 million daily active users, an increase of 44% since last year. Reddit has never had to divulge such stats since it is not a publicly traded company like its competitors, and it first released them to The Wall Street Journal this week. On Thursday, Reddit also told Ad Age that it predicts its growth trajectory will take it to the $1 billion in yearly revenue in two to three years. “The reason why we shared daily numbers, I mean, obviously that’s a big number,” says Jen Wong, Reddit’s chief operating officer, referring to the user numbers. As for the ad business: “We’re really early in our life cycle…
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