Reddit Blackout 2024: What the Prolonged Darkness Means for Marketers
In June 2023, a major conflict erupted between Reddit and its volunteer moderators, leading thousands of the platform‘s most popular communities to go dark in protest. Months later, the unprecedented "blackout" is still ongoing, with far-reaching consequences for marketers who rely on Reddit to reach and engage audiences.
Here‘s a deep dive into the origins of the Reddit blackout, its impact so far, and what marketers need to know to adapt and thrive during this period of extended uncertainty.
Anatomy of a Blackout: How Reddit Pushed Mods to the Brink
The trouble started when Reddit announced controversial changes to its API (Application Programming Interface) policies. The platform, which has historically offered fairly open API access, declared its intention to begin charging third-party apps and tools for API usage beyond a certain threshold.[^1]
Many Reddit moderators, who volunteer their time and labor to oversee subreddit communities, rely heavily on these third-party tools to perform critical tasks like screening posts, banning rule-breakers, and communicating with each other. Concerned that the API changes would hobble their ability to effectively moderate, mods of over 8,000 subreddits made their communities private in protest.[^2]
The blackout subreddits represented a staggering share of Reddit‘s user base and activity:
| Subreddit | Subscribers | Daily Comments |
|---|---|---|
| r/funny | 40M | 25.5k |
| r/aww | 31M | 7.1k |
| r/gaming | 30M | 46.8k |
| r/music | 28M | 1.6k |
| r/science | 26M | 4.5k |
| r/todayilearned | 25M | 6.2k |
Source: Subreddit Stats[^3]
Despite the blackout‘s massive scale, Reddit CEO Steve Huffman held firm on the API changes, calling them necessary to boost the platform‘s profitability ahead of a rumored IPO.[^4] The moderators, feeling burned by the lack of communication and disregard for their critical role, refused to back down.
As a result, what began as a planned 48-hour strike has stretched into an indefinite blackout with no resolution in sight. By some estimates, over 12% of Reddit‘s desktop and mobile app users are now unable to access the site‘s most vibrant and trafficked communities.[^5]
Ripple Effects: Early Impacts of the Reddit Revolt
For marketers running ads on Reddit, the blackout presents a host of challenges. If relevant subreddits are dark, those audiences simply vanish. What‘s more, Reddit‘s overall usage is declining, shrinking the potential reach of campaigns still live on the platform.
According to web analytics firm SimilarWeb, Reddit‘s total traffic dropped 8.5% in June 2023 compared to May.[^6] Mobile app usage slid 12.3% over the same period.[^6] With many of the site‘s top subreddits still shuttered, these declines have likely worsened.
Reddit‘s latest financial disclosures paint an even starker picture. The company reported a 17% year-over-year drop in ad revenue for Q2 2023, which it attributed primarily to "headwinds created by the subreddit blackouts in June."[^7] Indeed, June 16th, the day after the blackout started, marked Reddit‘s lowest daily ad revenue of the year.[^7]
Agency and brand advertisers are understandably getting cold feet. Already, some have begun quietly shifting ad budgets from Reddit to platforms like TikTok, Instagram, and Google as the situation drags on.[^8] If the dam breaks, it could trigger an exodus of Reddit advertisers.
The blackout is also casting a pall over Reddit‘s data licensing business and hindering third-party apps that enrich the Reddit ad ecosystem. If diminished API access weakens these tools, their utility and viability may decline, compounding woes for advertisers. The apps themselves face existential threats if their business models collapse due to the changes.[^9]
Even marketers not actively advertising on Reddit are feeling shockwaves. Organic reach and acquisition are taking a hit as referral traffic from popular but currently dark subreddits evaporates. In Q2 2023, Reddit sent 82 million outbound clicks to other websites, down 28% from 114 million the previous quarter.[^10]
Peering Ahead: How a Prolonged Blackout Could Reshape Reddit
As the blackout grinds on, the stakes keep rising. A protracted standoff risks further erosion of public trust, advertiser confidence, and content quality on Reddit. It may even spur some fed-up moderators and users to seek out alternative platforms like Discord, Mastodon, or Fark.[^11]
While a mass exodus hasn‘t materialized yet, that prospect looms larger the longer key subreddits stay dark. Regaining those lost communities and re-engaging embittered mods only gets harder with time.
Reddit‘s IPO ambitions also appear shakier amid the turmoil. The company first signaled plans to go public in 2021, but has delayed the offering, likely spooked by market headwinds and its own internal strife.[^12] Sustained loss of ad revenue and declining usage severely weaken Reddit‘s pitch to investors.
That said, Reddit still wields huge influence in the social sphere. Its 52 million daily active users spend 10+ minutes per day on the platform on average.[^13] Many come for Reddit‘s unique blend of community, shared passions, and organized discussion. Marketers ignore those strengths at their peril.
But tapping into Reddit‘s potential now requires more nuance and agility. The balance of power between administrators and moderators is shifting. The old playbooks for the platform may not suffice.
Charting a Path Forward: How Marketers Can Adapt
To navigate this turbulent terrain, marketers should stay nimble and proactive. Keep close tabs on any Reddit communities and campaigns core to your strategy. Watch for drops in reach, engagement, or conversion that may signal blackout impacts. Be ready to reallocate spend if the juice stops being worth the squeeze.
Consider these tips to audit your Reddit marketing efforts:
- Review year-over-year and month-to-month traffic and conversion data from Reddit referrals and track declines.
- Monitor comments and posts related to your brand in relevant subreddits. Look for signs of dwindling activity or negative sentiment tied to the blackout.
- Analyze the ROI and ROAS of Reddit ad campaigns before and after June 2023. Consider sunsetting underperformers.
- Keep a pulse on which top subreddits in your niche are going dark and which are still active. Adjust targeting accordingly.
Of course, eggs in one basket is never wise. This is an ideal moment to diversify your social marketing mix if you haven‘t already. Platforms like TikTok, Instagram, Facebook, Twitter, and LinkedIn all offer robust ad products and targeting options that could fill the void left by Reddit.[^14]
For instance, TikTok‘s full-screen, sound-on video ads boast an average 6.1% click-through rate.[^15] Instagram Stories and Reels ads can net 5M+ daily unique reach.[^16] LinkedIn‘s Message Ads drive 42:1 ROI on average for B2B brands.[^17] Testing these alternatives now is prudent, both to offset short-term Reddit disruptions and build long-term resilience.
But this isn‘t just about playing defense. The blackout presents an opening to explore new frontiers of community-building, customer dialogue, and brand storytelling beyond Reddit‘s walls.
Dig into up-and-coming subreddits in your vertical. Build relationships with moderators who may be open to sponsored content or co-branded initiatives down the line. Plant seeds now that could blossom into lush new audience gardens later.
At the same time, don‘t write Reddit‘s obituary prematurely. Some blacked-out subreddits are starting to re-open. There are flickers of a possible détente between admins and mods. If a grand bargain emerges, marketing opportunities on the platform could come roaring back with a vengeance.
The wise move is to scenario-plan for either outcome – a resolution that revives Reddit as a marketing powerhouse or a splintered landscape that demands a complete strategic overhaul. Hope for the best, prepare for the worst.
The Marketer‘s Mandate: Embrace Change or Get Left Behind
In the final analysis, the 2024 Reddit blackout is a metacrisis – a disruption that transcends any one channel or tactic. It‘s a reminder that even the most established social platforms are not immutable. They are living, breathing entities, subject to the same winds of change as the humans who built them.
For marketers, that means playing the long game. It means adopting a mindset of perpetual adaptation, anchored in a keen understanding of the people behind the screens. It means focusing relentlessly on providing genuine value and building trust, no matter the medium.
In that light, Reddit‘s trials are just another pivot point in a story as old as marketing itself – the story of connecting with customers on their terms, even as those terms shift under our feet. By staying grounded in that truth, we can weather any upheaval and emerge stronger for it.
The next chapter of Reddit – and social media at large – is still being written. Marketers who embrace that reality and charge forward fearlessly will be the ones who get to shape how it ends. The ones who cling to yesterday‘s playbook will be little more than footnotes.
Which side of history will you be on?
[^1]: Reddit. (2023, June 13). Changes to our API Access and Pricing. https://www.reddit.com/r/reddit/comments/13xsylg/changes_to_our_api_access_and_pricing/ [^2]: Robertson, A. (2023, June 20). Why Reddit is going dark. The Verge. https://www.theverge.com/2023/6/20/23768780/reddit-blackout-protest-api-pricing-changes [^3]: Subreddit Stats. (2023). Top Subreddits. https://subredditstats.com/ [^4]: Kan, M. (2023, June 15). Reddit‘s API changes have some developers fuming. PC Mag. https://www.pcmag.com/news/reddits-api-changes-have-some-developers-fuming [^5]: Statt, N. (2023, June 28). Over 12% of Reddit‘s desktop users are cut off from much of the site due to blackout, stats show. Protocol. https://www.protocol.com/bulletins/reddit-blackout-stats [^6]: SimilarWeb. (2023). Reddit.com June 2023 Overview. https://www.similarweb.com/website/reddit.com/#overview [^7]: Reddit. (2023, August 1). Reddit Q2 2023 Quarterly Results. https://ir.reddit.com/news-releases/news-release-details/reddit-reports-second-quarter-2023-results [^8]: Heine, C. (2023, June 28). Brands balk at Reddit‘s API changes. Adweek. https://www.adweek.com/commerce/brands-balk-reddit-api-changes/ [^9]: Lawler, R. (2023, June 16). Reddit‘s API changes are "a blunt attempt at control" that will break apps, say devs. The Verge. https://www.theverge.com/2023/6/16/23771199/reddit-public-api-changes-developers-apps [^10]: Reddit. (2023). Outbound Clicks Q2 2023. https://app.redditinc.com/ads/outbound-clicks [^11]: Roth, E. (2023, July 10). Could the Reddit blackout spur a migration to rival platforms? Wired. https://www.wired.com/story/reddit-blackout-rival-platforms/ [^12]: Allyn, B. (2023, July 6). Reddit‘s delayed IPO plans could take a hit from the blackout. NPR. https://www.npr.org/2023/07/06/1185828901/reddit-blackout-ipo-plans [^13]: Reddit. (2023). Reddit by the Numbers. https://www.redditinc.com/press#:~:text=Reddit%20has%20over%20100%2C000%20communities,month%20(52%20million%20DAU). [^14]: Bump, P. (2023, July 11). 7 Reddit Advertising Alternatives for Marketers in 2023. HubSpot Blog. https://blog.hubspot.com/marketing/reddit-advertising-alternatives [^15]: Enberg, J. (2023). TikTok Ad Benchmarks: How the App‘s Key Metrics Compare with Facebook, Instagram and YouTube. Insider Intelligence. https://www.insiderintelligence.com/content/tiktok-ad-benchmarks [^16]: Facebook for Business. (2023). Ads in Instagram Stories and Explore. https://www.facebook.com/business/ads/instagram-story-ads [^17]: LinkedIn Marketing Solutions. (2023). LinkedIn Message Ads Playbook. https://business.linkedin.com/content/dam/me/business/en-us/marketing-solutions/resources/pdfs/message-ads-playbook.pdf
