Meta Threads Ads: Guide to Reaching 400M Users

Threads Platform Overview

Threads launched on July 5, 2023 as Meta's direct competitor to X (formerly Twitter). The platform hit 100 million sign-ups in its first five days — the fastest consumer app adoption in history — before settling into steady growth that brought it to 400 million monthly active users by early 2026. That trajectory makes Threads the fastest social platform to reach the 400M milestone, outpacing both Instagram and TikTok's growth curves.

Unlike X's pivot toward premium subscriptions and reduced content moderation, Threads has positioned itself as a brand-safe, conversation-driven platform with tight Instagram integration. Users sign up with their Instagram accounts, bringing their follower graphs and interest signals with them — a critical advantage for advertisers who already run Instagram campaigns.

Audience Demographics

Threads' audience skews younger and more gender-balanced than both X and Reddit, with strong representation in lifestyle, culture, fashion, food, and entertainment verticals. The platform's content moderation policies — inherited from Instagram — make it significantly more brand-safe than X, which has seen major brand safety concerns since its 2022 ownership change.

Threads Ad Formats

At launch, Threads supports three core ad formats that appear natively in the main feed. Meta has kept the initial ad experience clean and non-intrusive — there are no Stories ads, no DM ads, and no search placement ads on Threads yet. This simplicity is intentional: Meta wants to establish user trust with advertising before expanding to additional surfaces.

Creative Best Practices

Threads is fundamentally a text-first platform. Unlike Instagram where visual quality drives performance, Threads ads that feel like organic posts consistently outperform highly produced creative. The best-performing Threads ads lead with a strong written hook in the primary text, use clean and simple visuals that complement (rather than replace) the copy, and adopt a conversational tone that matches the platform's culture.

Targeting Capabilities

The single biggest advantage of Threads advertising over competing text-based platforms is access to Meta's full Advantage+ targeting stack. Because Threads users are authenticated through Instagram, Meta has deep behavioral and interest data from day one — no separate tracking pixel buildout, no cold-start data collection period, and no new audience-building phase required.

For a comprehensive approach to social media audience strategy, see our social media marketing services.

Pricing and Bidding

Threads ads use the same auction-based pricing system as all Meta placements. Advertisers set budgets and bids, and Meta's auction determines which ads show based on bid amount, estimated action rates, and ad quality. The key difference is that Threads auctions are significantly less competitive than Instagram or Facebook right now, resulting in lower costs across all metrics.

Early Pricing Benchmarks

Bidding Strategies

Campaign Setup Guide

Setting up Threads ads follows the same workflow as any Meta campaign. If you have experience with Facebook or Instagram Ads Manager, you can launch Threads ads in under 15 minutes. Here is the step-by-step process with Threads-specific considerations at each stage.

Need help crafting compelling ad copy that resonates on text-first platforms? Our content marketing team specializes in creating platform-native creative that drives engagement and conversions.

Early Performance Data

One month after the global ad launch, early performance data from advertisers across multiple verticals shows that Threads is delivering on its promise of cost-effective reach with higher engagement rates than mature Meta surfaces. The data is still early — one month is not enough to draw definitive conclusions — but the trends are consistent across industries and budget sizes.

Key Performance Findings

Performance by Industry

Threads vs X/Twitter Advertising

The launch of Threads ads creates the first direct competitor to X/Twitter advertising for text-based social media reach. For brands deciding where to allocate budget, the comparison comes down to audience composition, targeting capabilities, cost efficiency, and brand safety. Here is how the two platforms stack up across the metrics that matter most.

When to Choose Threads

For many brands, the answer is both. Threads and X serve different audience segments with different content preferences. Running campaigns on both platforms with distinct creative strategies gives you maximum text-based social reach. The operational overhead is minimal since Threads runs through Meta Ads Manager and X runs through its own platform.

For a comparison of how AI-powered ad platforms are changing the landscape, see our guide on ChatGPT Ads for marketers.

Conclusion

Meta Threads ads represent the most significant new advertising surface in social media since Instagram Reels. With 400 million monthly active users, CPMs 30-40% below Instagram, access to Meta's full Advantage+ targeting stack, and a brand-safe environment that many advertisers have been seeking, Threads is a compelling addition to any social media advertising strategy.

The window for early-mover advantage is open now but will not last indefinitely. Every major Meta ad surface has followed the same trajectory: lower costs during adoption, then normalization as competition increases. Brands that establish Threads advertising expertise, build audience engagement, and collect performance data now will be better positioned when CPMs inevitably rise. Start with a $20-50/day test campaign, use text-first creative, leverage your existing Meta audiences, and scale based on results.

Frequently Asked Questions