Nextdoor Holdings, Inc. announced AI-powered ad optimizations, new video formats, and the piloting of new locally personalized ads available through its advertising platform, Nextdoor Advertising Manager (NAM), to maximize the power of Nextdoor's hyperlocal advertising. Improvements made to Nextdoor Ads Manager to reach hyper local audiences at scale with maximized efficiency. Advertisers come to Nextdoor to reach real people who are ready to take action right where they live.

This suite of new advertising innovations is designed to make it easier for brands to reach 100M+ high-intent, neighbors across 345,000 neighborhoods with more relevance, efficiency, and impact. Advertisers can now deliver smarter, more engaging creative across the Nextdoor platform. New advertising solutions on Nextdoor Advertising Manager include: Click Optimization/Conversion Optimization Powered by AI: Advertisers can now tap into smarter advertising with AI and Machine Learning innovations within click and conversion optimization, introducing cutting-edge features designed to optimize performance across the entire marketing funnel.

Click optimization (US only): improves campaign engagement by automatically optimizing for higher click-through rates. In testing over 11 months during 2024-2025, advertisers have already seen an average CTR lift of 134% when comparing it to CPM bidding. Conversion optimization (US only): drives better results by optimizing campaigns toward conversions.

In initial testing during the same period, conversion optimization advertisers had a median 35% improvement in average CPA. AI targeting and delivery recommendations (Piloting in all markets - US/CA/UK): provided during setup and post-delivery, this feature leverages personalized business and industry insights to improve setup and campaign performance. AI-powered image and copy generation (Piloting in all market - US/CA/UK) powered by ChatGPT and 3M+ photos from Pexels' global community of photographers (all with commercial-friendly licensing), this enables advertisers to instantly generate relevant copy and engaging creative assets, making it faster and easier to build high-quality ads.

Expanded Video Formats Globally (All markets - US/CA/UK): New, flexible video ad formats make it richer to activate and distribute video campaigns across Nextdoor. Video Formats Globally (All markets - US/CA/uk): New, flexible video ad format make it richer to activate and distribution video campaigns across Nextdoor. videos can now be utilized within Carousel ad formats, featuring deeper reporting into individual card performance (impressions, clicks, and click-through rates, and a new industry-standard "Engagement" metric).

Advertisers can now capture attention with sight, sound, and motion in more placements, driving deeper engagement with verified neighbors. Currently piloting the following personalized advertising formats: Geo-Personalization Extended to Image Ads (US only): In addition to the use of dynamic city and neighborhood names in ad copy, brands can now elect to automatically plug-inneighbor neighborhood or city names directly in their images, Spotlight ad creatives, and in-feed ads on Nextdoor to drive increased local relevance at the neighborhood level across the country. Geo-personalization allows advertisers to connect with neighbors in context relevant, hyper-local ways, with advertisers already seeing geo-personalization drive increased engagement in ad copy.

Weather Targeting (US only): contextual weather targeting to reach neighbors with more relevance allows advertisers to provide the right message at the most relevant time, enabling brands to align campaigns with local, real-time conditions. With three new options for temperature-based targeting (Cold: 40-50F /Moderate: 50-80F /Hot: 80-100F), selecting these will target ads (ex. promoting hot beverages during cold temperatures) to neighbors whose locations fall into these temperature ranges.

These innovations deliver a powerful dual value proposition. These innovations deliver a powerful Dual value proposition to brands to reach 100M+-intent, neighborhood-based targeting.