Growth Story of Reddit to 1 Billion Monthly Users - A Tactical Playbook for Founders and Marketers
How Reddit transformed from a niche forum to a social media powerhouse. Discover actionable insights on user-led growth, community engagement, viral marketing, and product strategies.
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I first heard about Reddit back in 2019 while researching one of my ideas.
As I was searching on Google, I came across some discussions that were incredibly relevant—genuine threads with positives, negatives, past experiments, and challenges. An ancient design, all golden information, no fluff.
It was REDDIT!!
I thought, “I need to be here,” and created an account, but I found it extremely challenging at first.
Yet, time and again, whenever I searched for information, opinions, perspectives, experiences, or validation… I kept finding Reddit links filled with gems of discussions.
This March, I decided to use Reddit daily... and I’m trying! 😀
I've always been curious about how Reddit built such a great community of people with “no-fluff, no-promotion” discussions. It’s honestly the hardest problem to solve.
I've read about Reddit on various forums, interviews, and blogs, and finally, I decided to write about Reddit’s growth story.
“Why not create the front page of the internet?” - Steve Huffman (Co-founder, Reddit)
Alexis Ohanian and Steve Huffman, were fresh out of college and had just pitched a completely different idea – a mobile food ordering app – to Y Combinator. They flat-out rejected it. But Paul Graham, Y Combinator's co-founder, gave them an IDEA: “Why not create the front page of the internet?”
That single suggestion flipped everything. They quickly shifted gears, and Reddit was born in 2005 with one simple mission: to build a platform where anyone could share and discuss what mattered to them.
“A place where users, not algorithms, would drive the conversation. This wasn’t about fancy features or flashy designs. It was about pure, unfiltered user-driven content.” - Reddit CEO, Steve Huffman
(Source)
Reddit 's Journey from 2005 - 2024
2005 - 2010: Slow Takeoff
2005: Steve Huffman and Alexis Ohanian launched Reddit.
It was slow – painfully slow. By the end of the year, they managed to hit 10,000 daily visitors.
There was no revenue model.
How did they get Initial Users? A Typical Cold Start Problem…
They had to fake it till they made it. Here’s what they did:
Created Fake User Accounts: For months, Alexis and I posed as dozens of different users, submitting articles, commenting, upvoting, and downvoting. This was the way of giving the illusion that Reddit was active and buzzing.
Targeted Forums and Communities: They went to forums like Slashdot and told everyone about Reddit Community. They'd post links to Reddit's content there and pull curious visitors who slowly turned into regular users.
Cold Emails: They’d email bloggers and journalists directly, pitching Reddit as the next big thing in online discussions.
2006: Condé Nast acquired Reddit.
Traffic jumped to around 700,000 monthly unique visitors by year’s end. The acquisition gave Reddit the resources to keep the servers running and keep growing.
2007 - 2008: Growth started to pick up.
Reddit reached about 2.5 million monthly visitors. Still tiny compared to giants like Facebook but moving in the right direction.
2009: Test Monetization
The introduction of “Reddit Gold” was the first real attempt at monetization.
For $3.99/month or $29.99/year, users got a few extra features like an ad-free experience and access to a private subreddit.
It wasn’t much, but it worked. The estimated revenue is less than $1 million.
2010: Reddit crossed 10 million monthly visitors.
Now, It was no longer just a forum for internet geeks.
2011 - 2015: Rocket Fuel Growth
2011: Year of Change
Digg, Reddit’s main competitor, stumbled with a redesign that users hated. People jumped to Reddit, and traffic increased to 35 million monthly unique visitors”.
They allowed users to decide what was important. Upvotes and downvotes determined the content that rose to the top, not an editorial team.
Subreddits became their differentiation. Reddit Users created communities around any topic – from knitting to astrophysics. This made Reddit feel like multiple websites in one, each with its own identity.
Minimalist Design: They kept the design ugly and basic on purpose. There were no distractions – just pure, unfiltered information.
They started advertising. The first display ads appeared, and combined with Reddit Gold, they brought in around $2 million. It was a small start but a successful validation of the revenue model.
2012: Influencers and Leaders
The introduction of "Ask Me Anything" (AMA) sessions took Reddit to 50 million monthly unique visitors. President Obama’s AMA became a sensation.
2013 - 2015: Community and AMA
Monthly visitors grew to 200 million, fueled by more AMAs, community-driven content, and a sense of authenticity and genuinity that other platforms lacked.
Reddit’s servers struggled to keep up. Downtime became frequent, and it cost them potential users.
On the brighter side, Revenue grew slowly to $10 million by 2014. Reddit started introducing more sophisticated ad products and attracted small to medium advertisers.
In 2015, Native ads and sponsored posts took off. Revenue doubled to $20 million.
They finally found a way to make ads feel like part of the Reddit experience, not an intrusion.
2016 - 2020: The Mobile First Approach and Pandemic
2016: Launched Mobile App and Invested in AdTech
Monthly active users (MAUs) grew to 250 million. This move opened Reddit up to a younger, mobile-first audience.
They invested heavily in ad tech and building a sales team.
Revenue jumped to $30-40 million . They were finally seen as a serious player ( as a social network ) in the digital ad space.
2017: 2x Revenue
Revenue nearly doubled again to $70 million. Programmatic advertising became a big deal, and more brands signed up.
2018 - 2019: 30Mn DAU and $100Mn Mark
Reached 350 million MAUs, with daily active users (DAUs) hitting 30 million.
In 2018, Reddit was in the news with a $100Mn Revenue Rate.
By 2019, they reached $170 million because of better ad targeting and analytics.
2020: Pandemic
People were stuck at home, craving connection, and Reddit became the go-to space for discussions, advice, and entertainment. DAUs exploded to 52 million, and MAUs exceeded 430 million.
2021 - Present: Reddit Goes Global
2021 - $10Bn Valuation (Decacorn)
They crossed 50 million DAUs and reached an estimated 861 million MAUs. Reddit's valuation increased to $10 Bn, attracting more advertisers and brand partnerships.
Their revenue increased to $350 million.
What worked? Improved ad strategies, video ads, and a growing user base fueled this surge.
2022: Steady Growth
Continued growth, reaching about 918 million MAUs. By now, Reddit was a key player in the digital advertising space. Their revenues reached around $450 million.
2023 - 2024:
Reddit crossed the 1 billion monthly user mark, with 73.1 million DAUs. Finally, in February 2024, Reddit went public, valued at $6.5 billion.
Their projected revenue hit $600 million as Reddit came out as a major advertising platform. They refined their ad products, introduced new formats, and became even more attractive to advertisers.
The Challenges (Toughest one - Moderation)
Reddit faced plenty of bumps, detours, and roadblocks.
Here’s how Reddit’s biggest challenges shaped its journey – and the impact they left behind.
Challenge 1. Scaling and Infrastructure
Reddit grew faster than it could handle. Frequent outages and slow load times frustrated the redditors and tested their patience.
Impact: Many left. Reliability became a major concern. People started doubting Reddit's ability to sustain its growth. But this forced Reddit to invest heavily in its infrastructure.
Challenge 2. Competition with Digg
Back then, Digg was the king of social news. Reddit was just a new platform, struggling to get noticed.
Impact: This competition pushed Reddit to innovate. They focused on building strong, niche communities, introducing subreddits that gave redditors control over their interests. It’s what set Reddit apart and became a defining feature. The big break came when Digg’s redesign in 2010 backfired. It drove users straight to Reddit.
(Source)
Challenge 3. Monetization: Money vs. Community
Monetizing Reddit was tricky. Users hated ads, and every attempt to introduce them was met with skepticism and backlash. The communities on Reddit were not happy with them introducing Ads.
Impact: Reddit’s early monetization efforts, like Reddit Gold, were underwhelming. They introduced native ads that blended with the platform's style and eventually struck a balance between revenue and user experience. This validated and laid the foundation for their future ad strategy.
Challenge 4. Content Moderation
With time, darker content on reddit also grew. Offensive Content like Toxic subreddits, hate speech, and illegal activities harmed Reddit’s image.
Impact: Advertisers got nervous, and Reddit’s reputation took a hit. This forced the platform to take a stand – banning controversial subreddits, implementing stricter moderation, and investing in better tools to remove harmful content and enable censorship. It wasn’t popular with everyone, but it improved the platform’s image and made it more advertiser-friendly.
Example: In 2015, Reddit banned several hate-filled subreddits, leading to backlash. But it was a necessary move to protect its brand and attract advertisers.
Challenge 5. Outdated User Interface
Reddit’s interface was, to put it mildly, ancient. It was clunky, confusing, and turned off potential new users. Some of them also left Reddit.
Impact: User engagement suffered because Reddit looked like an age old website among modern apps. In 2018, Reddit got the redesign. The cleaner, more intuitive interface attracted a broader audience, improved retention, and made the platform more attractive to advertisers.
Challenge 6. Leadership Turmoil
Reddit had too many CEOs join and leave. These frequent leadership changes caused confusion and uncertainty. The controversial firing of Victoria Taylor, who coordinated AMAs, sparked outrage.
Impact: Users protested, moderators went on strike, and engagement dipped. This exposed cracks in Reddit’s management structure. But it also led to the return of co-founder Steve Huffman as Chief Executive Officer, who brought stability and refocused the company’s mission.
Challenge 7. Monetization with Free Speech
As Reddit expanded its ad business, it faced the risk of harming the interest of its fiercely independent user base.
Impact: Reddit has also introduced native ads, video ads, and promoted posts. By blending ads seamlessly into the user experience, they avoided the backlash that other platforms faced. Revenue surged, and Reddit became a real player in the advertising game.
Challenge 8. Scaling Moderation & Community Management
With over 100,000 active communities, maintaining quality and safety became a massive task.
Impact: Relying on volunteer moderators was both Reddit’s strength and weakness. While it allowed for a decentralized approach, it also meant inconsistent enforcement. Reddit took matter seriously and invested in AI tools. They provided more resources to moderators, which improved content quality and user trust.
Reddit’s challenges weren’t roadblocks – they were stepping stones.
Each struggle forced them to evolve, adapt, and get stronger.
And that’s why, despite the bumps, Reddit didn’t just survive. It thrived.
Major Growth Strategies (Path to I.P.O)
Let’s break down the strategies that Reddit has pulled at different stages on their journey to become a public company ...
Growth Strategy 1. Early Stage Growth: Seeding the Ecosystem
The founders didn’t wait for users to create content. They used fake accounts to seed discussions and make the platform feel active and alive.
Impact: This tactic worked. By giving the illusion of a buzzing community, they attracted real users who stuck around, believing they were joining a vibrant space. This kick-started Reddit’s journey in a crowded market.
What Didn’t Work: This strategy wasn’t sustainable. As the real user base grew, maintaining authenticity became crucial, and the fake accounts had to disappear.
Example: They promoted Reddit through early adopter forums like Slashdot, using guerrilla marketing to gain attention.
Growth: From zero to around 700,000 monthly users by 2006, thanks to this seeding tactic.
Growth Strategy 2. Leveraging Competitor’s Mistake (2010-2011): The Digg Migration
Reddit seized the opportunity when Digg, its biggest competitor, made a mess in a major redesign in 2010.
Frustrated Digg users migrated to Reddit, which positioned itself as the user-centric alternative.
Impact: This was a game-changer. Reddit’s MAUs shot up from 7 million to over 35 million within a year. Reddit marked its place as the go-to platform for community-driven content.
Before this, Reddit struggled to stand out. Their growth was slow, and Digg was a winning player.
Growth Strategy 3. AMAs (2011-Present): Celebrity Engagement
Introducing “Ask Me Anything” (AMA) sessions was a masterstroke. When high-profile personalities like President Barack Obama, Elon Musk, and Bill Gates jumped in, it drew millions of eyes.
Impact: AMAs became synonymous with Reddit, driving millions of new users. By 2012, Reddit crossed 50 million MAUs, with AMAs playing a significant role in building credibility and engagement.
What Didn’t Work: Maintaining quality and authenticity was a challenge. In 2015, the firing of the AMA coordinator led to user outrage and a temporary decline in participation.
Example: President Obama’s AMA in 2012 remains legendary, drawing over 200,000 visitors to the site within minutes.
Growth Strategy 4. Reddit Gold & Premium (2010 - Present): Monetization Experiment
In 2010, Reddit introduced “Reddit Gold,” later evolving into Reddit Premium, offering ad-free browsing, special features, and access to exclusive communities.
Impact: This created a small but steady revenue stream. More importantly, it built a sense of belonging among loyal users, showing that Reddit could monetize without selling out.
Example: They often encouraged users to “gift” Reddit Gold to others, fostering a sense of community generosity.
While it didn’t increase user numbers, Reddit Gold proved Reddit could monetize effectively.
Growth Strategy 5. Advertising and Brand Partnerships
Reddit developed advanced advertising solutions, including native ads, video ads, and self-serve ad tools, making it more appealing to brands for increasing Ad Revenue.
Impact: Revenue surged, reaching $350 million in 2021. This validated Reddit as a serious advertising platform and diversified its revenue streams.
What Didn’t Work: Initially, users resisted ads, fearing they’d ruin the platform’s authenticity. It took time to strike a balance between monetization and maintaining Reddit’s unique culture.
Example: Reddit showcased successful ad campaigns from big brands, proving that advertising could coexist with community-driven content.
Reddit’s Product Strategies for Growth
Here’s a detailed breakdown of unique product strategies that brought exponential growth to the platform…
Product Strategy 1. Subreddits (The Birth of Communities)
Reddit introduced subreddits, allowing users to create, join, and build communities around specific topics, interests, or hobbies.
Impact: This was a game-changer. It created an ecosystem of niche subreddit communities. It drove user engagement and made Reddit more than just another forum. By enabling anyone to create a subreddit, Reddit became a platform where everyone could find their tribe.
What Didn’t Work: Early on, the lack of moderation led to unfiltered and often controversial content, which later became a challenge as Reddit grew and needed to maintain brand safety.
Example: The creation of iconic subreddits like r/funny, r/AskReddit, and r/IAmA fostered highly engaged communities. These subreddits became the backbone of Reddit’s identity.
Growth: From 2005 to 2008, Reddit’s user growth was steady, with subreddits contributing to reaching around 2.5 million monthly unique visitors by 2008.
(Source)
Product Strategy 2. Video Content and Mobile Optimization
Launching the mobile app in 2016 and integrating video content was a turning point. It made Reddit more accessible and engaging for a broader audience.
Impact: Daily active users doubled, and by 2017, Reddit reached 330 million MAUs. Video content became a significant driver of engagement, especially among younger demographics.
Example: Reddit promoted its mobile app across other social platforms and third-party apps, encouraging users to shift from desktop to mobile.
Growth: The shift to mobile and video led to exponential growth, reaching over 430 million MAUs by 2019.
Product Strategy 3. The 2018 Redesign
Reddit’s 2018 redesign aimed to modernize its interface, making it more user-friendly and visually appealing, especially for newcomers.
Impact: The redesign improved engagement and retention rates. Reddit’s DAUs crossed the 50 million mark by 2020, indicating the design upgrade was a success in attracting and retaining users.
What Didn’t Work: Long-term users resisted, many sticking to the "old Reddit" interface. The change wasn’t universally welcomed, but it was necessary for growth.
Example: Reddit rolled out tutorials and interactive guides to ease users into the new design.
Product Strategy 4. Native Video Integration
Reddit introduced native video hosting, allowing users to upload videos directly to the platform.
Impact: Video content became one of the most engaging formats on Reddit, driving longer sessions and higher interaction rates. It attracted creators and brands looking to engage audiences with video.
What Didn’t Work: Moderation of video content was initially challenging, and Reddit struggled with ensuring video quality and relevance across different subreddits.
Example: Videos autoplayed in users’ feeds, making the browsing experience more dynamic.
Growth: The introduction of video content helped Reddit maintain its growth momentum, reaching over 50 million DAUs by 2020
Product Strategy 5. Reddit Public Access Network (RPAN) - Live Streaming (2019-Present)
Reddit launched RPAN, allowing users to live-stream directly on the platform, tapping into the growing trend of live content.
Impact: RPAN added a real-time, interactive dimension to Reddit, fostering more engagement and participation from creators. It allowed Reddit to experiment with new content formats, keeping users hooked.
What Didn’t Work: Managing live content required robust moderation, content policy and quality control issues sometimes led to less-than-desirable streams.
Example: Popular streams, like "r/pan," where users shared live performances, tutorials, and discussions, became hotspots for engagement.
Product Strategy 6. Community Points and Blockchain Integration
Reddit introduced "Community Points," a blockchain-based reward system that allows users to earn points for contributions, which can be spent on premium features or transferred to other platforms.
Impact: This strategy rewarded user participation. It positioned Reddit as an early adopter of blockchain technology and attracted tech-savvy communities.
Example: Users could earn points for quality contributions, which could be used to access exclusive subreddit features or transferred to other blockchain wallets.
Reddit’s Marketing Campaigns that drove growth
Reddit’s marketing strategies have evolved dramatically over the years, from manual efforts to high-profile campaigns that pushed them into the mainstream.
Reddit would never miss a chance to try new ideas and initiatives...
The 5-Second Super Bowl Ad (2021)
Reddit pulled off a masterstroke during the 2021 Super Bowl by running a blink-and-you-miss-it 5-second ad referencing the GameStop stock saga driven by r/WallStreetBets. It was a simple text ad that stood out because it was so unconventional.
Impact: This campaign went viral. Social media exploded with conversations about the ad, leading to a massive spike in Reddit's traffic. The ad was praised for its authenticity and boldness, making Reddit the talk of the town for weeks.
Growth Curve: The campaign drove a 300% increase in app downloads immediately after the Super Bowl.
(Source)
Reddit’s "Up the Vote" Campaign (2020)
Ahead of the 2020 U.S. elections, Reddit launched the "Up the Vote" campaign, encouraging its users to register to vote. They partnered with Rock the Vote and rolled out educational resources.
Impact: Over 500,000 users accessed voter registration resources, showcasing Reddit’s potential as a platform for civic engagement. It positioned Reddit as more than just a meme-sharing site—it was now a space that cared about real-world impact.
Example: Reddit introduced badges for users who registered to vote, fostering a sense of community involvement.
(Source)
Launch of Reddit Talk (2021 - Present)
Reddit jumped on the audio bandwagon with Reddit Talk, a live audio feature akin to Clubhouse. They promoted this through partnerships with key subreddits and influencers.
Impact: While the adoption was slower than expected, Reddit Talk added a new dimension to community engagement. It allowed moderators to host live discussions, Q&As, and community hangouts.
Example: Popular subreddits like r/AskWomen and r/Entrepreneur hosted regular Reddit Talk sessions, driving engagement.
Top Learnings and How to Implement Them
Reddit's growth story offers invaluable lessons for startups looking to build a loyal user base, create engaging content, and scale effectively.
Here’s how you can take these learnings and implement them step-by-step.
1. Create Niche Communities Early (The Subreddit Strategy)
Learning: Build spaces where users can connect over shared interests. Start by creating focused, niche communities rather than trying to appeal to everyone.
How to Implement:
Step 1: Identify 3-5 core topics your target audience is passionate about. Start by conducting surveys, social listening, or engaging in online forums.
Step 2: Build small, dedicated online spaces (Whatsapp Group, Slack Group, Discord channels, or your own platform) around these topics.
Step 3: Actively moderate and engage in these communities. Seed discussions, respond to comments, and recognize active members.
Step 4: Gradually expand to more topics as your user base grows, but keep the original communities authentic and engaged.
Pro Tip: Start small. You don’t need thousands of users right away. A deeply engaged group of 100 is more valuable than 1,000 passive members.
2. Use Influencers to Create Buzz (The AMA Strategy)
Learning: Invite influencers, industry experts, or celebrities to engage directly with your community.
How to Implement:
Step 1: Identify influencers who align with your brand and have genuine expertise or appeal to your audience.
Step 2: Reach out with a personalized invitation to participate in an AMA (Ask Me Anything) or live Q&A session. Offer incentives if needed (exposure, product access, etc.).
Step 3: Promote the session across all channels—email, social media, your website—to generate excitement and drive traffic.
Step 4: After the session, repurpose the content into blog posts, videos, or social media snippets.
Pro Tip: Kickstart this strategy by featuring industry experts or well-known figures your audience respects, even if they’re not celebrities. Their insights can still attract a lot of attention.
3. Gamify Engagement (The Karma and Awards System)
Learning: Make interaction on your platform feel like a game, where users earn rewards for their contributions.
How to Implement:
Step 1: Introduce a points or badge system for actions that are relevant to your platform / software like creating, posting, commenting, sharing, or inviting friends.
Step 2: Offer exclusive perks for high achievers—access to premium content, early access to features, or shoutouts on your social channels.
Step 3: Encourage users to gift points, badges, or awards to each other to foster a supportive and engaging community.
Pro Tip: The rewards don’t need to be expensive. Recognition and status within the community can be just as motivating.
4. Simplify the Onboarding Process (The Challenge of Reddit's Complexity)
Learning: Make it easy for newcomers to understand your platform or product, especially if it’s complex or has many features.
How to Implement:
Step 1: Develop an onboarding flow that introduces users to key features step-by-step, instead of overwhelming them all at once.
Step 2: Use tooltips, guided tours, or short tutorial videos to explain how to get the most out of your product.
Step 3: Implement a “New User” community or forum where newcomers can ask questions and receive guidance.
Pro Tip: Conduct usability testing with real users to identify and address any onboarding friction points.
5. Utilize Email and Push Notifications (The Reddit Re-engagement Strategy)
Learning: Regularly bring users back to your platform with timely reminders and valuable content.
How to Implement:
Step 1: Set up email and push notification campaigns to inform users about trending topics, updates, or personalized recommendations.
Step 2: Segment your audience to ensure you’re sending relevant content. For instance, tailor notifications based on their activity or interests.
Step 3: A/B test your messaging and timing to determine what drives the highest engagement.
Pro Tip: Don’t overdo it. Balance being informative with not becoming a nuisance.
Implementing these learnings is about being adaptable, user-centric, and authentic.
As you build and grow your startup, keep these strategies in mind, and be prepared to tweak them as you learn more about your audience. Remember, Reddit’s success didn’t come from being perfect—it came from staying true to its community-driven roots while evolving with its users.
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