Is Reddit requiring users to log in, and what could it mean for Reddit ads?

Making someone log in does not make them a better customer. A person casually reading a Reddit discussion could still be researching a purchase, while a regular user might have no buying intent at all. Marketing Dive reports a move to an experience requiring users to log in, but the official sources checked do not confirm whether this is a test or a rollout, or who it affects. The advertiser value argument needs more than the assumption that signed in users are worth more.

There is a reasonable case for encouraging people to return and participate rather than visit once and disappear. That could make Reddit a more useful place to reach an engaged audience. But if a login requirement puts some visitors off, who are we losing? Someone arriving to compare products or investigate a problem might be commercially valuable even if they have no interest in creating an account. A smaller, more active audience is not automatically a better audience for every advertiser.

The number that could flatter a change like this is CVR. If visitors who are less likely to convert disappear, conversion rate could improve while the actual number of sales stays flat or falls. Reddit's reported 54% advertising revenue growth tells us its advertising business is growing, not what the next pound of our budget will buy. In an account already running Reddit ads, I'd keep CPC, CVR, CPA and sales volume under review, allowing for conversion lag, and follow the traffic through analytics tools or advanced CRM reporting. Without confirmed rollout dates and scope, there is no sound basis for blaming or crediting a login change for movements in performance. Better conversion rates would be welcome. Extra spend still needs to bring in enough quality leads or sales to earn its place.