Sensor Tower data shows Reddit (RDDT) leads social media competitors in user monetization growth. U.S. average revenue per user (ARPU) grew 61% year-over-year to $9.2 in the first quarter. Reddit also led the sector for ARPU growth in Europe.
New advertising formats and higher ad loads drove this growth. Bank of America analysts note these factors increased revenue despite a slight decline in total user time spent on the platform.
U.S. revenue per hour of engagement rose 101% to $0.34.