For most ad platforms, creative optimization has become a priority in this age of digital advertising.
Reddit is now looking to improve its ad tools with the acquisition of memorable AI. Reddit acquired Memorable AI, a creative startup that uses AI and machine learning processes to analyze human reactions and create more effective ads in line with a broader range of elements.
With this acquisition, Reddit is in a better position to compete with giants like Google, Meta, Amazon, and TikTok. All these companies have built their AI-based creative generation and optimization tools within the past year.
Memorable AI uses a range of ad response factors to build its AI models. These models allow it to provide more effective guidance on what works and what you need to do to boost your performance.
Now, Reddit will build these response factors into its ad targeting process to improve Reddit campaign engagement.
Here is what Reddit said about the acquisition.
“Through this acquisition, Reddit advertisers will have access to Memorable AI’s best-in-class tools to enhance their campaign planning and drive higher performance. As we integrate Memorable into our ad stack, our partners will be able to see performance benefits from creative insights from previous ads, better creative effectiveness, and automation that guides their creative towards maximum performance and return on ad spend.”
According to Reddit, Memorable AI’s process has “the deepest understanding of the interplay between ad creative and media impact”. This will enable Reddit advertisers to run more effective marketing campaigns.
It seems like a good acquisition for Reddit as they are looking to maximize its ad opportunities as a publicly listed company. Now, would be a good time for the company to build more and more ad tools to provide more ways for marketers to engage with users.
It will be interesting to see how it will impact Reddit’s ad performance.
