- Pernod Ricard has been purchasing ads on Reddit, as it looks for digital alternatives to Facebook and Google, according to a report on Digiday.
- The spirits marketer has been eyeing the site since October, when it purchased its first ads on the platform. Pernod Ricard vodka brand Absolut ran video ads that automatically played in subreddits on desktop and mobile from October to December. The brand targeted key audiences in subreddits around topics like "funny" and "LGBTQ."
- Pernod Ricard said video view rates were the best performance indicator for 30-second native ads, with KPIs double the Reddit average. Video completion rates on eight- to 10-second video ads were 2.5 times higher than benchmarks, and 70% of the views occurred on mobile. Mixing longer and shorter ads led to an 8% increase in "top of mind awareness" for Absolut from people who had not previously purchased vodka.
The Absolut campaign underscores the high engagement levels that advertisers can see on Reddit, which has been increasing its ad offerings. The results could be enticing to marketers looking to change up their digital ad buys or for an alternative to Facebook or Google. Reddit has more than 330 million monthly active users and 18 billion page views and boasts high engagement levels with users spending more than 16 minutes per day on the platform interacting in subreddits.
Reddit has unveiled several new ad offerings recently, as it focuses on growing its ad business. Most recently, Reddit began offering cost-per-click ad inventory, with hopes of diverting ad dollars away from Google and Facebook. The site also said it would offer "top post takeover," special topics in relevant subreddits, special content and the ability to promote an Ask Me Anything post. Reddit's revenue was expected to exceed $100 million in 2018, and the company's ad revenue has grown 5 times over the past three years and sales have more than doubled year-over year.
The Reddit campaign follows several efforts by Absolut to engage with LGBTQ consumers, who are largely neglected by brands. Absolut featured actor and LGBTQ-rights advocate Jesse Tyler Ferguson in its #NoSugarCoating campaign, where he "truth bombs" different awkward situations. Absolut has been listed as one of the most LGBTQ-friendly brands, and this reputation has earned it high marks from consumers. More than one-third of consumers are more likely to purchase from brands that include LGBTQ themes and people in their advertising, according to INTO and Brand Innovators research.