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The ‘new Nextdoor’ and what it means for local advertisers
- The Salespreneur
- 7 hours ago
- 2 min read
Why Q2 2025’s modest gains signal a turning point—and how small businesses can act now
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In the second quarter of 2025, Nextdoor reported $65 million in revenue—a 3% year-over-year increase—and 21.8 million weekly active users (WAU), up 1% from the previous year.
The company also generated positive operating cash flow for the third consecutive quarter, totaling about $3 million. Losses narrowed significantly: GAAP net loss dropped to $15 million (from $43 million) and adjusted EBITDA loss improved to $2 million, a margin improvement of six percentage points.
Behind the scenes, Nextdoor moved swiftly to cut costs: a workforce reduction aimed at trimming $30 million in annual operating expenses, reinforcing a leaner structure.
CFO Matthew Anderson is stepping down in September, while long-time product leader Craig Lisowski steps into a new role as President of Products—a signal that the user experience overhaul is now front and center.
The star of the quarter? The “new Nextdoor” rollout in mid-July, boasting three foundational pillars: local news, real-time alerts, and an AI assistant dubbed “Faves”—all designed to shift the platform from occasional necessity to everyday utility.
Metric | Q2 2025 Value |
Revenue | $65 M |
Weekly Active Users (WAU) | 21.8 M |
Adjusted EBITDA Loss | $2 M |
Operating Cash Flow (OCF) | +$3 M |
What It Means for Small & Local Businesses
The redesigned app—and its emphasis on real-time alerts, trusted content, and AI-powered recommendations—creates richer ad placements and more precise targeting. This means SMBs can now engage local audiences in smarter, more meaningful ways.
3 Quick Wins for Local Advertisers
Try creative formatsUse alert-style ads or sponsor local-news snippets to appear in the most trusted parts of the feed.
Leverage geo-targetingNextdoor’s maps and alert zones let you zero in on neighborhoods with pinpoint accuracy.
Encourage neighbor recommendationsMake it easy for happy customers to recommend you, tapping into organic local reach through.
Why It Matters
This quarter’s modest but meaningful improvements in revenue, cash flow, and engagement signal that Nextdoor's retooling is starting to resonate.
Daily utility boosts ad value: When neighbors see your business as helpful, you become part of their daily browsing ritual.
Trust meets precision: Ads placed alongside local news or safety alerts feel more credible—and more likely to convert.
Leadership commitment: With cost discipline, leadership restructuring, and product innovation aligned, advertiser value is built on solid ground.
Just launched your new business and need resources to ace direct marketing at lower costs with higher ROI?
Check out Salesfully’s course, Mastering Sales Fundamentals for Long-Term Success, designed to help you attract new customers efficiently and affordably.
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