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The 500lb gorilla in the room that no one is talking about when it comes to Reddit ads is this. Go to Reddit right now and hit the "All" button and just see how much hardcore pornography pops up immediately. I'm not making some sort of moral judgement here at all, but that can and does scare off tons of big brands.

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I don't think NSFW content is shown by default - it needs to be enabled in your account preferences.

It is absolutely shown by default for /r/all, however the default ("popular") view and default subs for a login exclude NSFW.

I just opened up an incognito window and hit /r/all. In the first two pages, I saw nothing NSFW except a joke about a hotel survey which mentions a hooker that would certainly pass on network television.

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