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Reddit Marketing Agency Case Study: 214% ROAS Growth with Reddit Max (2026 Data Breakdown)

  • Writer: Dāvis Lejnieks
    Dāvis Lejnieks
  • Feb 13
  • 5 min read

Introduction: Why This Reddit Marketing Agency Tested Reddit Max

As a performance-focused Reddit marketing agency, we’re always testing new automation tools the moment they’re released. In early January, we gained access to Reddit Max (currently in Beta) and launched our first campaign on January 9th.

The big question: Would Reddit Max outperform a manual full-funnel Reddit strategy?

The short answer?

Reddit Max prints money only if you already understand Reddit targeting. If you don’t- it can burn your budget fast.

This case study breaks down real numbers, strategy decisions, attribution issues, and whether Reddit Max deserves a permanent place inside a professional Reddit agency’s media stack.



What Is Reddit Max? Understanding Reddit’s Performance Automation

Reddit Max is Reddit’s version of Google’s Performance Max. You upload:

  • Creatives

  • Headlines

  • Targeting signals

  • Campaign goal

Then the algorithm handles placement and delivery across Reddit’s inventory.

Instead of building:

  • Awareness campaign

  • Consideration retargeting

  • Conversion campaign

Reddit Max compresses it into one automated system.



How Reddit Max Compares to Google Performance Max

Just like PMAX:

  • It has a learning phase

  • It optimizes toward conversions

  • It requires sufficient conversion volume

  • It reduces manual control

But here’s the key difference:

Reddit targeting works differently from Google or Meta. Communities matter more than interests. And if you don’t deeply understand Reddit culture, automation won’t save you.



Key Differences from Traditional Reddit Ads

Traditional Reddit ads allow:

  • Manual placement control

  • Precise community targeting

  • Separate funnel campaigns

  • Creative-level optimization

Reddit Max reduces that control in exchange for scale and automation.

For a Reddit agency, this means:

You gain efficiency- but sacrifice precision.



Client Overview and Campaign Goals

Industry and Audience Targeting

  • B2C Tech

  • Worldwide audience

  • Multi-channel sales (Website + Amazon)

For two years, we’ve refined audience targeting to near-perfection. That meant:

No broad targeting.No random expansion.Community-level precision only.



Why Purchase Optimization Was Selected

The campaign objective: Purchase

Not traffic.Not awareness.Not engagement.

We wanted revenue data.

Because at the end of the day, impressions don’t pay invoices- conversions do.



Campaign Setup Strategy Used by Our Reddit Agency

Targeting Framework: Community + Location

We intentionally avoided broad interest expansion.

Why?

Because we’ve already identified high-performing subreddits over two years of testing.

Automation doesn’t replace audience intelligence- it amplifies it.

Creative Strategy: AI, Memes, and Meta-Style Ads

We tested:

  • 8 images total

    • 3 AI-generated creatives

    • 2 meme-style ads

    • 3 Meta-style structured ads

  • 3 headlines

Reddit responds strongly to authenticity. Meme creatives still outperform polished corporate visuals in many communities.



Budget Allocation and Funnel Structure

Important detail:

  • No major MoM budget changes

  • Budget partially reallocated from lookalike audiences

  • Awareness campaigns did not use feed placement previously

This matters when analyzing performance swings.



Full Performance Breakdown: Data Comparison

Year-over-Year (Jan 2025 vs Jan 2026)

Metric

YoY Change

Ad Spend

-18.75%

CPA

-71.92%

CTR

+45.92%

CPC

+2.5%

CPM

+49.25%

Reddit Dashboard ROAS

+214%

Website Revenue

+95.67%

Conversion Rate

+104%

Important note: In early 2025, we installed Conversion API, which alone reduced CPA by roughly 50%.

Still, even adjusting for that- performance improved significantly.



Month-over-Month (Dec 2025 vs Jan 2026)

Metric

MoM Change

Ad Spend

+1.22%

CPA

-48.18%

CTR

-30.8%

CPC

-22.64%

CPM

-80.54%

ROAS

+87.55%

Website Revenue

+46%

Conversion Rate

+16%

Revenue nearly doubled YoY- with lower spend.

That’s efficiency.



Why Reddit Max Works Only If You Understand Reddit Targeting

The Importance of Community-Level Targeting

Reddit is not Facebook.

Interest targeting is weaker. Community intent is stronger.

If you already know:

  • Which subreddits convert

  • Which communities generate discussion

  • Which audiences respond to memes

Then Reddit Max can amplify that structure.

If you don’t?

It’s expensive experimentation.



When Automation Amplifies vs Destroys Performance

Automation amplifies:

  • Good creative

  • Proper audience mapping

  • Sufficient conversion volume

Automation destroys:

  • Weak targeting

  • Low conversion data

  • Underfunded campaigns


Attribution Challenges in Reddit Advertising

This is the elephant in the room.

Reddit likely drives more revenue than dashboards show.



Why Reddit Undervalues Its Own Impact

Whenever we pause Reddit campaigns:

Revenue drops 3–4x within 3–4 days.

But dashboard attribution doesn’t reflect that impact.

Why?

Because Reddit is often upper-funnel consideration traffic.

To measure that properly, you’d need enterprise-level analytics- often costing $100K+.



Revenue Drops During Learning Phases

When Reddit Max enters learning phase:

  • Sales dip temporarily

  • Algorithm recalibrates

  • Revenue rebounds post-stabilization

This confirms Reddit’s true impact is broader than reported.



Limitations of Reddit Max and Reddit Ads Dashboard

  1. Poor creative-level insights

  2. Limited optimization transparency

  3. Attribution gaps

  4. Lack of control compared to manual setup

Even Reddit documentation suggests not removing poor-performing creatives- because they may work in specific auctions.

That makes optimization less data-driven than preferred.



When Should a Reddit Agency Use Reddit Max?

Budget Threshold Recommendations

Minimum: $10,000/month

Why?

Algorithms need conversion volume.

Anything less will:

  • Slow learning

  • Reduce optimization efficiency

  • Hurt both manual and Max campaigns



When Manual Campaigns Are Still Better

Use manual ads when:

  • Targeting very specific communities

  • Running “spicy” creatives designed for organic sharing

  • Testing new subreddit angles

Reddit Max is automation.Manual ads are surgical tools.

A smart Reddit agency uses both.



Scaling Strategy and February Results

As of February:

  • Shopify shows +54% sales increase

  • Learning phase completed

  • Performance remains stable

If profitability continues at this level, scaling is the next logical step.

However, one caveat:

Reddit Max is still in Beta.

When broader adoption occurs, auction competition may reduce current advantages.


FAQs About Reddit Marketing Agency and Reddit Max

1. What does a Reddit marketing agency do?

A Reddit marketing agency specializes in running paid and organic campaigns on Reddit, focusing on subreddit targeting, creative strategy, and conversion optimization.


2. Is Reddit Max better than manual Reddit ads?

Not always. Reddit Max works best when supported by strong targeting knowledge. Manual campaigns still offer more precision.


3. What budget is required for Reddit Max?

At least $10,000 per month is recommended for proper algorithm optimization.


4. Why does Reddit attribution seem low?

Reddit drives strong consideration traffic, which often converts later and isn’t fully captured in last-click attribution models.


5. Can small brands use Reddit Max?

Technically yes- but performance may be unstable without enough conversion volume.


6. Is Reddit advertising suitable for B2C tech brands?

Yes. B2C tech performs especially well due to Reddit’s community-driven, research-focused user base.


Final Verdict: Is Reddit Max the Future for a Reddit Agency?

Reddit Max is not a magic button.

It’s a multiplier.

For experienced teams, it unlocks serious efficiency gains. For inexperienced advertisers, it accelerates losses.

From a professional Reddit agency perspective:

Reddit Max is now a permanent component of our strategy- but never the only one.



Conclusion

Reddit advertising is evolving.

Automation is coming fast. Competition will increase. Early adopters have leverage.

For brands spending over $10,000 per month and working with an experienced Reddit marketing agency, Reddit Max can deliver exceptional performance- including triple-digit ROAS growth.

But remember:

Algorithms don’t replace strategy.

They amplify it.

 
 
 

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