Reddit Ads for Local Businesses: Geographic Targeting
Reddit ads for local businesses offer access to community-driven audiences in specific geographic areas. While Reddit's strength lies in interest-based communities rather than location, smart geographic targeting combined with local subreddit engagement can drive meaningful results for businesses serving specific markets.
This guide covers local business strategies for Reddit advertising success.
Reddit's Local Advertising Capabilities
Geographic Targeting Options
Reddit offers location targeting at several levels:
- Country: Target specific countries
- Region/State: Target states, provinces, or regions
- DMA/Metro: Target designated market areas
- City: Target specific cities (availability varies)
- Radius: Target areas around specific points
Local Subreddit Communities
Many cities and regions have active subreddits:
- City subreddits: r/Seattle, r/Austin, r/Denver, etc.
- Regional communities: r/BayArea, r/NewEngland, r/SouthernCalifornia
- Neighborhood-specific: r/AskNYC, r/LAlist
These communities discuss local recommendations, events, and businesses.
Combining Geography + Interest
The most effective local targeting combines:
- Geographic constraints (DMA, city, radius)
- Interest-based targeting (relevant subreddits)
- Device targeting (mobile for on-the-go discovery)
This approach reaches local users with specific interests relevant to your business.
Local Business Use Cases
Service Area Businesses
Examples: Plumbers, electricians, landscapers, cleaning services
Approach:
- Target metro area or radius around service region
- Focus on home improvement and local communities
- Lead with problem-solution messaging
- Include clear service area in ads
Recommended subreddits:
- City-specific subreddits
- r/HomeImprovement, r/landscaping, r/HVAC
Retail Locations
Examples: Restaurants, shops, entertainment venues
Approach:
- Tight geographic targeting around locations
- Drive foot traffic with offers and events
- Highlight what makes you worth the visit
- Use mobile targeting for nearby users
Recommended subreddits:
- City and neighborhood subreddits
- Category-specific (r/coffee, r/boardgames, r/vinyl)
Professional Services
Examples: Law firms, accountants, medical practices
Approach:
- Target metro area matching practice territory
- Education-first content establishing expertise
- Focus on specific practice areas
- Drive consultations or appointments
Recommended subreddits:
- Local subreddits
- Topic-specific (r/legaladvice, r/tax, r/AskDocs for awareness)
Multi-Location Businesses
Examples: Franchise operators, regional chains
Approach:
- Create campaigns for each market
- Test performance across locations
- Adapt messaging to local communities
- Use learnings to optimize underperformers
Local Targeting Strategy
Setting Up Geographic Targeting
Step 1: Choose campaign objective (Traffic or Conversions)
Step 2: In ad group targeting, select "Location"
Step 3: Choose targeting method:
- Select specific cities or DMAs
- Enter radius around address
- Include or exclude specific areas
Step 4: Layer with interest targeting:
- Add relevant subreddit or interest targets
- Narrow audience to local + interested users
Radius Targeting for Foot Traffic
For businesses driving store visits:
- Tight radius (5-10 miles): Urban areas, convenience services
- Medium radius (10-25 miles): Suburban areas, destination businesses
- Wide radius (25-50 miles): Rural areas, specialty services
Match radius to realistic customer travel patterns.
DMA Targeting for Services
For service area businesses:
- Target your full DMA (designated market area)
- Exclude areas outside your service territory
- Consider separate campaigns for different markets
- Track performance by location
Local Creative Strategy
Location-Specific Messaging
Make your local presence clear:
Include:
- City or neighborhood names in headlines
- "Serving [Area] since [Year]"
- Local landmarks or references
- Community involvement mentions
Avoid:
- Generic messaging that could be anywhere
- National brand feel without local relevance
- Missing the local connection entirely
Local Social Proof
Build credibility with local validation:
- Google reviews and ratings from local customers
- Local award or "Best of" recognition
- Community involvement and sponsorships
- Years in the community
Offers and Events
Drive action with local-specific promotions:
- Grand opening or location launch
- Local event sponsorships
- Neighborhood-specific offers
- Seasonal local promotions
Mobile-Optimized Creative
Local discovery often happens on mobile:
- Clear, readable text at small sizes
- Prominent location or "near you" messaging
- Easy tap-to-call or directions functionality
- Fast-loading landing pages
Local Campaign Structure
Single Location
For single-location businesses:
Campaign 1: Awareness/Traffic
- Broad local targeting (city or DMA)
- Interest-based subreddit targeting
- Educational or value-first content
- Build audience for retargeting
Campaign 2: Conversions
- Retarget engaged users
- Tighter radius for high-intent
- Direct response messaging
- Clear calls to action
Multi-Location
For businesses with multiple locations:
Option A: Separate campaigns per location
- Individual budgets and targeting
- Location-specific creative
- Clear performance comparison
- Higher management overhead
Option B: Single campaign, multiple ad groups
- Ad groups per location/region
- Shared budget with optimization
- Easier management
- Less granular control
Choose based on number of locations and budget allocation needs.
Measuring Local Campaign Success
Foot Traffic Metrics
Track in-store impact:
- Store visit conversions (if available)
- Coupon or offer redemptions
- "How did you hear about us?" tracking
- Google Business Profile activity correlation
Lead Generation Metrics
For service businesses:
- Cost per lead by location
- Lead quality and close rate
- Phone calls and form submissions
- Appointment bookings
Online-to-Offline Attribution
Connect digital to physical:
- Unique offer codes per campaign
- Dedicated phone numbers by channel
- Post-purchase surveys
- Matched customer data analysis
Local Advertising Challenges
Limited Scale
Local audiences are inherently smaller. Expect:
- Lower overall reach than national campaigns
- Higher CPMs due to smaller auction pools
- Longer optimization timelines
- Need for patience with performance data
Subreddit Availability
Not all cities have active subreddits:
- Major metros have robust communities
- Smaller cities may have limited activity
- Some local subreddits restrict advertising
- Supplement with interest + geo targeting
Competition with Google/Meta
For local advertising specifically:
- Google captures high-intent local search
- Meta offers superior location granularity
- Reddit provides interest-based differentiation
- Consider Reddit as part of channel mix
For related strategies, see our Reddit Ads targeting guide and Reddit Ads examples.
FAQs
Is Reddit effective for local business advertising?
Reddit can be effective for local businesses, but with realistic expectations. It works best for businesses where interest targeting aligns with local needs—like restaurants reaching local foodies, or home services reaching local homeowners. Pure location-only targeting is less effective than combining geography with relevant interests.
How small an area can I target on Reddit?
Reddit offers city-level and radius targeting, though availability varies by location. Major metros have more granular options than smaller markets. Radius targeting typically allows 15-50 mile ranges. For very hyperlocal targeting (specific neighborhoods), Reddit may be less precise than platforms like Meta or Google.
Should I advertise in local subreddits?
Local subreddits can be valuable for relevant businesses, but approach carefully. Some local communities are skeptical of advertising and may react negatively to promotional content. Test with helpful, non-pushy messaging. Consider organic participation in local communities to complement paid advertising.
Key Takeaways
- Combine geographic targeting with interest-based targeting for best results
- Match targeting radius to realistic customer travel patterns
- Include location-specific messaging and local social proof
- Track offline conversions with unique codes and surveys
- Set realistic expectations for local audience scale on Reddit
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