Nextdoor’s CRO Says Self-Serve Ads Are Stickier Than They Look

AMENIA, NY — When a small business owner wakes up and logs into an ad platform before their morning coffee, the platform has become infrastructure, more than just a marketing tool.

That’s a shift Nextdoor is banking on as it pushes deeper into self-serve advertising. The neighborhood social network now sees tens of thousands of businesses accessing its ads platform daily, building their operations around it in ways that create what the company calls “customer stickiness.”

“When you have a business building its daily operations onto your ads platform, it’s a sign that they’ve come to rely on you as a tool to help them run their business,” said Michael Kiernan, CRO of Nextdoor, in a video interview with Beet.TV at the Beet Retreat Berkshires. “Stronger customer stickiness, stronger retention is leading to a healthier, more durable revenue foundation across our advertising base.”

Record engagement fuels the ad engine

The advertising momentum comes alongside what Kiernan described as record user engagement. Nextdoor delivered its highest-ever weekly active users, a metric that continues to climb.

Kiernan broke down user engagement into two dimensions:

  • Frequency: How often people open the app.
  • Depth: Time spent per session.

Both matter for advertisers hunting for attention.

“Having more active, verified neighbors using the product every day leads to more content landing on the product,” Kiernan said. “It leads to stronger intent and interest signal for advertisers. And ultimately, it leads to compounding growth for the platform.”

Serving the corner shop and the global chain

Nextdoor occupies an unusual position in the advertising landscape, catering simultaneously to owner-operated businesses and multinational brands. The challenge lies in serving both ends without diluting the platform’s hyperlocal appeal.

  • For small businesses, the platform offers a way to compete with the marketing sophistication of larger rivals.
  • For national chains, it provides something arguably more valuable: authenticity. Big brands often struggle to appear genuinely local, and Nextdoor thinks its neighborhood-centric model offers a shortcut to community credibility.

“We’re helping large brands appear to be more authentic and more a part of the neighborhood community, which is something they can struggle with, given who they are,” Kiernan said. “Serving both ends, it broadens the revenue base. It creates a stronger platform for neighbors to ultimately find what they want.”

AI tools and new formats expand the pitch

The company has been investing in its advertising technology stack to support this dual-market strategy. In November 2025, Nextdoor introduced AI-driven ad performance optimization and new video ad formats within its Nextdoor Advertising Manager platform.

These tools use artificial intelligence to optimize click-through rates and conversions, while flexible video formats give advertisers more creative options.

According to Forrester Research, the global self-serve advertising market is projected to reach $85 billion by 2027, growing at a compound annual growth rate of 12%. Platforms offering robust self-serve capabilities and AI-powered optimization are positioned to capture a significant share of that growth, the analyst firm said.

Profitability without sacrificing growth

Nextdoor reached adjusted EBITDA profitability this year, a milestone that Kiernan said has changed how the company thinks about investment. Rather than viewing profitability and growth as opposing forces, he framed them as complementary.

The improved operating leverage has given the company more confidence in its spending decisions. Investments are flowing into features and experiences designed to boost usage, retention, and satisfaction among both users and advertisers.

“That remains our North Star as a business to continue to execute on that plan,” Kiernan said.

AMENIA, NY — When a small business owner wakes up and logs into an ad platform before their morning coffee, the platform has become infrastructure, more than just a marketing tool.

That’s a shift Nextdoor is banking on as it pushes deeper into self-serve advertising. The neighborhood social network now sees tens of thousands of businesses accessing its ads platform daily, building their operations around it in ways that create what the company calls “customer stickiness.”

“When you have a business building its daily operations onto your ads platform, it’s a sign that they’ve come to rely on you as a tool to help them run their business,” said Michael Kiernan, CRO of Nextdoor, in a video interview with Beet.TV at the Beet Retreat Berkshires. “Stronger customer stickiness, stronger retention is leading to a healthier, more durable revenue foundation across our advertising base.”

Record engagement fuels the ad engine

The advertising momentum comes alongside what Kiernan described as record user engagement. Nextdoor delivered its highest-ever weekly active users, a metric that continues to climb.

Kiernan broke down user engagement into two dimensions:

  • Frequency: How often people open the app.
  • Depth: Time spent per session.

Both matter for advertisers hunting for attention.

“Having more active, verified neighbors using the product every day leads to more content landing on the product,” Kiernan said. “It leads to stronger intent and interest signal for advertisers. And ultimately, it leads to compounding growth for the platform.”

Serving the corner shop and the global chain

Nextdoor occupies an unusual position in the advertising landscape, catering simultaneously to owner-operated businesses and multinational brands. The challenge lies in serving both ends without diluting the platform’s hyperlocal appeal.

  • For small businesses, the platform offers a way to compete with the marketing sophistication of larger rivals.
  • For national chains, it provides something arguably more valuable: authenticity. Big brands often struggle to appear genuinely local, and Nextdoor thinks its neighborhood-centric model offers a shortcut to community credibility.

“We’re helping large brands appear to be more authentic and more a part of the neighborhood community, which is something they can struggle with, given who they are,” Kiernan said. “Serving both ends, it broadens the revenue base. It creates a stronger platform for neighbors to ultimately find what they want.”

AI tools and new formats expand the pitch

The company has been investing in its advertising technology stack to support this dual-market strategy. In November 2025, Nextdoor introduced AI-driven ad performance optimization and new video ad formats within its Nextdoor Advertising Manager platform.

These tools use artificial intelligence to optimize click-through rates and conversions, while flexible video formats give advertisers more creative options.

According to Forrester Research, the global self-serve advertising market is projected to reach $85 billion by 2027, growing at a compound annual growth rate of 12%. Platforms offering robust self-serve capabilities and AI-powered optimization are positioned to capture a significant share of that growth, the analyst firm said.

Profitability without sacrificing growth

Nextdoor reached adjusted EBITDA profitability this year, a milestone that Kiernan said has changed how the company thinks about investment. Rather than viewing profitability and growth as opposing forces, he framed them as complementary.

The improved operating leverage has given the company more confidence in its spending decisions. Investments are flowing into features and experiences designed to boost usage, retention, and satisfaction among both users and advertisers.

“That remains our North Star as a business to continue to execute on that plan,” Kiernan said.