We read the major ad platform’s earning reports so you don’t have to. Here are the top takeaways.
Welcome back to Funnel Vision, the weekly newsletter that puts performance creative & growth marketing in focus. Brought to you by the crew at Ready Set.
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We read the major ad platform’s earning reports so you don’t have to. Here are the top takeaways.
Your quick guide to Q3 earnings from Meta, Google, Snap, and Reddit—and what they mean for your 2025 planning.?
TL;DR
Ad costs are rising across all major platforms (Meta up 11%, similar trends on Google), but so are impressions and engagement.
Meta reported a 7% increase in impressions, while Google saw strong growth in both Search and YouTube ad engagement.
The market’s reaction was mixed. Alphabet (Google) stock gained after stronger-than-expected numbers. But Meta stock dipped despite also beating expectations, in part due to concerns over rising infrastructure costs linked to AI investments.?Reddit stock soared after reporting solid gains, more below.
Platform Performance at a Glance
Meta ($40.59B Revenue, +19% YoY)
Revenue and user growth remain strong, with a staggering 3.29B daily active users across apps. While ad costs increased 11%, impression growth of 7% and new targeting capabilities are helping offset the impact. The platform's new sequence-based modeling is showing 2-4% better conversion rates in testing. Watch for the new full-screen video format rolling out to Facebook globally in early 2025. Meta’s infrastructure investments are fueling new AI-driven tools for advertisers, even as they raise short-term costs.?
??Read more on Meta’s Q3 earnings report here .
Google ($88.3B Revenue, +15% YoY)
Search and YouTube continue to dominate, with YouTube hitting $50B in combined ad and subscription revenue over the past year. Ad engagement is up across both platforms, particularly in YouTube Shorts and connected TV. New tools for securing premium ad spots are showing promising early results.?
??Read Alphabet’s full Q3 earnings report here .
Snap ($1.37B Revenue, +15% YoY)
Now reaching 443M daily active users (+9% YoY), Snap's direct response advertising is driving growth with a 16% increase in revenue. Their new Sponsored Snaps and Promoted Places offer interesting targeting options without requiring custom creative—potentially useful for compliance-focused, efficiency-driven campaigns.?
??Read Snap’s Q3 earnings report here .
Reddit ($348.4M Revenue, +68% YoY)
Reddit had a remarkable quarter. They reported 97.2 million (+47% YoY) daily active unique users, smashed revenue expectations with a 68% gain, and achieved profitability. Reddit’s been on the rise since its IPO back in March, and stock surged as high as 40% in the wake of incredible Q3 earnings.
??Read more on Reddit’s gangbusters Q3 here .
What This Means for Your 2025 Planning
Rising ad costs across platforms require attention, but efficiency improvements can help offset higher costs. Increased engagement indicates that higher ad spend is still aligned with expanded reach and impact.?
Action item: Budget for a 10-15% increase in ad costs in 2025 while exploring efficiency gains through better targeting and new features and formats.
Key Updates to Watch
Looking Forward
While the platforms are heavily promoting their AI investments (Meta reports 1M+ advertisers using their AI tools, Google integrating Gemini across their suite of products), the immediate focus should be on adapting to rising costs while maximizing the effectiveness of new tools as well as targeting and format options.
The growth in user engagement across platforms suggests continued strong potential for reach and impact—if you can manage the increasing costs effectively.
CLICKABLE LINKS?????
?? That stings: Meta’s plans to build a nuclear power plant to power their AI data center scrapped due to the discovery of a rare bee species on site. (Is it just me or does that sound like the synopsis of an episode of the Simpsons?)
?? On ya bikes: Australia plans to ban social media for children under 16.
?? Time’s up for TikTok in Canada—the government this week ordered TikTok to close its Vancouver and Toronto offices , citing security concerns. Canadians will still be able to use the app, eh.
How to turn compliance constraints into creative rocket fuel??
When Legal gets the final say on every campaign, most marketers play it safe.
But safe marketing is too often boring marketing.?And boring doesn’t move the needle.
What if you could turn those pesky compliance obstacles into your secret creative advantage?
That’s what our next Screenshare Session is all about.
Learn from growth leaders who’ve scaled brands in red tape-heavy industries:
? How to turn compliance hurdles into strategic advantages ?? Proven frameworks for scaling acquisition (that don’t trigger compliance red flags) ?? Full-funnel tactics to optimize performance AND maintain brand safety
It’s happening Tuesday, November 19 at 12pm ET.
AD OF THE WEEK ??
In this section, we analyze high-performing ads and extract actionable insights you can use to power your creative.
This ad from GoodFood, a Canadian online grocery and meal kit company, uses a common pain point (don’t like to cook but still need to eat) into an efficient and compelling pitch.
There are lots of reasons why meal kits are a good idea: they’re convenient, healthy, economical. This ad is a winner because it taps into the most compelling reason of all—I hate cooking but love eating.
WHY IT WORKS ??
?? Pattern Interrupt Opening: The extreme close-up of a delish sandwich paired with a proven hook (the polarizing question “hate cooking but love eating?") immediately grabs attention in the feed. The visual opener, which was tested against two other variations, came out on top because of the in-your-face composition. Plus, ads with cheesy food always seem to do well ??
?? Aspiration-to-Action Flow: The ad moves strategically from desire (beautiful food) → pain point (cooking hassle) → solution (easy prep) → incentive (66% off), creating a compelling psychological journey to sign-up.
???Show-Don't-Tell UX: Rather than explaining how the service works, the ad demonstrates the user experience through quick cuts between app interface, box arrival, and meal preparation, making the value proposition instantly clear.
STEAL THIS ??
BOTTOM LINE ??
The most effective direct response ads don't sell product—they sell transformations. This ad works because it promises to transform "people who hate cooking but love good food" into people who can easily create restaurant-quality meals at home.
That’s all for this week.
As always, thanks for reading. Appreciate you ??
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