• All plans are currently free

    Create your account now and get an Agency plan without any costs

  • All plans are currently free

    Create your account now and get an Agency plan without any costs

  • All plans are currently free

    Create your account now and get an Agency plan without any costs

  • All plans are currently free

    Create your account now and get an Agency plan without any costs

Benchmarks

January 5, 2026

Reddit Ads Benchmarks Per Industry (2026)

Blog Image
Blog Image
Blog Image

Reddit has quietly become one of the most practical platforms for “research-mode” marketing. People aren’t just scrolling - they’re comparing products, asking for recommendations, and debating trade-offs in public threads. That context matters, because it changes how you should judge performance.


At AdBacklog.com, we’ve analyzed hundreds of Reddit campaigns and outcomes in our internal database (across industries, objectives, and creative styles). Clear patterns show up again and again: what earns clicks on Reddit isn’t always what converts, and “average” performance can look wildly different depending on the community and intent level.


This guide gives you 2026 benchmark ranges for the core Reddit Ads metrics - CTR, CPC, CPM, CVR, and CPA - plus industry-specific playbooks and the newest Reddit ad formats/features worth using right now.


Why do Reddit Ads benchmarks matter in 2026?


Benchmarks aren’t about chasing vanity numbers - they’re about diagnosing where your funnel is breaking.

Use these ranges to answer questions like:

  • Am I overpaying for reach (CPM too high for my niche)?

  • Is my creative the issue (CTR is low vs. peers)?

  • Is my offer/landing page the bottleneck (CVR/CPA lagging)?

  • Should I scale (I’m beating benchmarks with stable CPA)?


The biggest mistake we see: marketers react to a “bad CPA” without determining whether the problem is inventory cost (CPM), engagement (CTR), or post-click performance (CVR).


What are the key Reddit Ads metrics (and how do they connect)?

  • CTR (Click-through rate): clicks ÷ impressions

  • CPC (Cost per click): spend ÷ clicks

  • CPM (Cost per 1,000 impressions): spend ÷ impressions × 1,000

  • CVR (Conversion rate): conversions ÷ clicks

  • CPA (Cost per acquisition/action): spend ÷ conversions (roughly CPC ÷ CVR)


Why objective changes what “good” looks like


Traffic campaigns often show higher CTR / lower CPC (because the system optimizes for clicks). Conversion campaigns often accept lower CTR / higher CPC in exchange for higher CVR and ultimately a better CPA (when tracking and optimization are set up correctly).


Reddit Ads benchmarks by industry (2026)


Below are directional ranges based on patterns from the AdBacklog.com's database (hundreds of ads analyzed) plus market observations. Treat them as planning ranges, not promises - your geo, placements, subreddit mix, and offer quality can swing results significantly.


Table 1 - 2026 Reddit Ads Benchmarks by Industry (Ranges)

Industry

CTR (avg range)

CPC (avg range)

CPM (avg range)

CVR (avg range)

CPA (avg range)

Retail & E-commerce

0.4%–0.8%

$0.20–$0.60

$2–$6

2%–5%

$6–$18

Gaming (Installs / Demos)

0.5%–1.2%

$0.10–$0.50

$1–$4

5%–15%

$2–$10 (installs), higher for purchases

B2B SaaS / Tech

0.2%–0.5%

$0.60–$2.50

$3–$12

1%–4%

$50–$150+ (qualified leads)

Finance / Fintech

0.2%–0.5%

$0.50–$1.50

$4–$10

4%–10% (easy signup)

$12–$45

Entertainment / Media

0.3%–0.7%

$0.20–$0.70

$3–$7

<2% (hard sale)

Highly variable (often awareness-led)

Automotive

0.3%–0.6%

$0.60–$1.80

$5–$12

1%–3% (lead form)

$25–$90+

Health & Wellness

0.3%–0.7%

$0.30–$1.00

$3–$8

2%–8%

$8–$30


What this table is really telling you

  • Reddit is often cheap for attention (CPM/CPC), but selective on trust (CVR depends heavily on proof, message match, and friction).

  • The “winners” tend to do two things well:

    1. Match the subreddit’s mindset (native value + authentic tone)

    2. Reduce post-click uncertainty (clear offer, fast page, credibility cues)


Benchmark deltas by ad type & placement (what typically changes performance)


Reddit has expanded inventory and formats in ways that directly affect efficiency - especially Conversation Ads and Dynamic Product Ads (DPA).


Table 2 - Expected Performance Shifts by Format / Placement (Directional)

Format / Setup

What tends to improve

What can degrade

Best for

Feed-only (standard)

Stable volume, predictable CPM

Can miss high-intent thread context

Broad prospecting, creative testing

Feed + Conversation placements

Often lowers blended costs when it works

Thread traffic can be “curious” if message mismatch

Mid-funnel intent, objection-handling

Dynamic Product Ads (DPA)

Typically improves ROAS for catalogs

Requires clean feed + pixel/CAPI hygiene

E-commerce, retargeting, catalog scale

Comment-enabled ads + pinned brand reply

Builds trust; clarifies objections in-line

Needs active moderation

High-consideration categories (SaaS, finance, health)

AI-assisted creative/testing workflows

Faster iteration, more angle coverage

Low-quality variants if inputs are weak

Teams that refresh often (weekly creative ops)


Interpretation (grounded in public platform signals)

  • Reddit reports that advertisers using multi-placement (feed + conversation) see ~12% lower costs vs feed-only in their data.

  • Reddit also reports that in Q1 2025, DPA drove ~2x higher ROAS vs standard conversion campaigns in comparable tests - one reason it’s become a default for catalog advertisers.


What patterns show up?


1) CTR is mostly a “message-to-community fit” score


On Reddit, CTR jumps when:

  • the opening line feels like it belongs in the subreddit

  • the creative signals “this will be useful” (not “this is an ad”)

  • the offer is simple enough to understand instantly


When CTR is low, the fix is rarely “increase budget.” It’s almost always a hook and positioning problem.


2) CVR is driven by trust and friction - more than “targeting”


Reddit users click out of curiosity, then decide if they trust you. CVR improves when:

  • the landing page matches the thread mindset (education-first often wins)

  • the page loads quickly on mobile

  • the offer reduces perceived risk (trial, sample, demo, clear guarantee)

  • proof is visible (reviews, screenshots, transparent pricing, credible claims)


3) CPA improvements usually come from sequencing, not a single ad


A common “Reddit win” structure looks like:

  1. Value-led ad (tool/template/guide) → cheap clicks

  2. Retargeting to engagers → higher CVR

  3. Optional: conversation placement to meet people inside decision threads


Industry playbooks: What should you do differently by vertical?


Retail & E-commerce: How do you turn cheap clicks into purchases?

  • Prioritize DPA for retargeting and catalog scale, especially for multi-SKU brands. Reddit’s own reporting highlights materially higher ROAS for DPA vs standard conversion campaigns.

  • Make creatives feel like UGC: lo-fi product-in-use, review snippets, “why I bought this” framing.

  • Use subreddit clusters for intent (enthusiast subs) + broader interest targeting for volume, then let retargeting do the conversion heavy lifting.


Gaming: What tends to lift CTR and installs?

  • Lead with the “fun moment” in the first seconds/frame.

  • Optimize for the lowest-friction action (wishlist, beta signup, demo) and retarget to purchase.

  • Use comment-enabled ads sparingly, but when you do, pin a FAQ-style reply (“platforms, price, release date, specs”).


B2B SaaS: How do you avoid paying for clicks that never convert?

  • Use a pain-point hook that reads like a peer wrote it (not a brand).

  • Offer a free tool/template first, then retarget to trial/demo.

  • If you enable comments, be ready for tough questions - answering them can become your best conversion lever.


Finance / Fintech: What’s different in 2026?

  • Clarity and compliance matter: one strong value prop, clean disclaimers, fast signup flow.

  • Conversation placements can work well when you’re aligning to the thread topic (budgeting, rates, investing basics). Reddit’s multi-placement cost efficiency claims make this worth testing.

  • Use educational content as a first touch, then retarget to signup.


Automotive: How do you make Reddit work in a long consideration cycle?

  • Think “research companion,” not “buy now.”

  • Use carousel formats to highlight trim/features/financing and drive to a build & price or dealer inventory page.

  • Retarget “configurator visitors” and “offer page visitors” with urgency and updated incentives.


Health & Wellness: How do you earn trust without killing conversion rate?

  • Lead with evidence and transparency (and avoid miracle-tone claims).

  • Education-first landing pages often outperform direct-to-checkout, especially for new brands.

  • Trials/samples reduce friction; retarget to paid conversion once trust is established.


Actionable recommendations


1) Diagnose using the CPM → CTR → CVR ladder (before touching bids)

  • High CPM: audience too narrow/premium → broaden targeting or placements

  • Low CTR: creative/community mismatch → rewrite hook, change creative angle

  • Weak CVR: landing page/offer friction → improve speed, message match, proof, simplify form


2) Run a 30-day Reddit testing system (instead of “random tweaks”)

  • Week 1: 3–5 audience clusters (subreddits vs interests vs broad)

  • Week 2: placement test (feed-only vs feed + conversation)

  • Weeks 2–3: creative matrix (4–6 angles; rotate weekly)

  • Week 4: retargeting + funnel sequencing (soft conversion → hard conversion)


3) Treat Reddit comments like an extension of your landing page


When comments are enabled, pin a brand reply that answers:

  • “Who is this for?”

  • “What’s the offer?”

  • “What’s the proof?”

  • “What should I do next?”

This single move often improves CVR because it pre-empts objections before the click.


New Reddit ad features worth using right now (2026 lens)


Conversation Ads and expanded in-thread inventory


Reddit has continued expanding conversation ad inventory and controls, and has publicly stated multi-placement setups can lower costs versus feed-only.


Dynamic Product Ads (DPA) for catalog advertisers


DPA is now a mainstream lower-funnel lever on Reddit, with Reddit citing stronger ROAS versus standard conversions campaigns in their reporting.


“Conversation Summary” and community-intelligence style ad add-ons (early signals)


Reddit has been pushing ad products that surface community context under ads (and AI-driven insights for marketers). These are still evolving, but they point toward a future where Reddit ads win by showing social proof from Reddit itself.


Conclusion: What “good” Reddit Ads performance looks like in 2026


If you’re benchmarking responsibly (same geo, similar placements, comparable audiences), you can use these ranges to make smarter decisions:

  • Are you paying the right amount for reach (CPM)?

  • Is your creative earning attention in the subreddit (CTR)?

  • Is your post-click experience building trust fast (CVR)?

  • Is your CPA a targeting problem - or a sequencing problem?


At AdBacklog.com, our analysis of hundreds of ads shows that the marketers who win on Reddit don’t “out-target” everyone else - they out-align: community mindset, offer clarity, and iteration speed.


Our all-in-one campaign management hub is built for growing teams who are done with guesswork and chaos.

✔️ Plan, launch, and track every campaign - in one clean workspace
✔️ Collaborate with ease, from copy to creative to reporting
✔️ Gain full visibility into performance, progress, and next steps


Stop guessing what works on Reddit. Create a free account on AdBacklog.com and manage, analyze, and improve your ads with clarity.

Keep every campaign organized, documented, and easy to share - so your whole team stays aligned.

Try AdBacklog free - built for marketers who want clarity, not clutter.

Log new ideas, update statuses, and track results, whether you're at your desk or on the go.

Store Button

Stay Updated

Subscribe for the latest campaign tips & feature updates

© 2026 AdBacklog.com. All Rights Reserved. Privacy Policy

Keep every campaign organized, documented, and easy to share - so your whole team stays aligned.

Try AdBacklog free - built for marketers who want clarity, not clutter.

Log new ideas, update statuses, and track results, whether you're at your desk or on the go.

Store Button

Stay Updated

Subscribe for the latest campaign tips & feature updates

© 2026 AdBacklog.com. All Rights Reserved. Privacy Policy