- Friday, September 27, 2024
Paid subscriptions present an appealing revenue model for content entrepreneurs, allowing audiences to pay for access to valuable content. However, managing a subscription service requires ongoing effort to prevent subscriber fatigue and churn. Simon Owens, a successful newsletter creator, shares essential strategies for launching a subscription-based revenue stream. The first step is to attract an audience. This involves creating free content that provides genuine value rather than promotional material. Free offerings should be designed to build a connection with potential subscribers, encouraging them to engage through email signups, podcast subscriptions, or visits to your website. It’s crucial to create a “sticky” experience by linking to archives and encouraging deeper exploration of your content, reinforcing brand recall to ensure potential subscribers remember your offerings. Next, it’s important to differentiate the paid content from what is available for free. Simply providing additional content in a similar format will not entice subscribers. Instead, focus on delivering unique value that addresses the needs of your most engaged users. Consider what skills or knowledge subscribers will gain by joining, framing your offering around the tangible benefits they will receive. Owens also emphasizes the importance of strategic promotion. Content creators should integrate calls to action for paid subscriptions within their free content, optimizing landing pages to maximize conversion rates. Regular reminders about the subscription service are essential, but creators should also plan for more significant promotional pushes, akin to public broadcasting campaigns, to drive subscriptions. Messaging that highlights the personal impact of supporting a small business can also resonate with potential subscribers. Timing is another critical factor. Launching free and paid offerings simultaneously can hinder growth, as it splits focus between audience building and customer acquisition. It’s advisable to allow time between these launches to establish a solid audience base before introducing paid options. Flexibility in the subscription offerings is also vital, as feedback from subscribers may lead to adjustments over time. Finally, reducing churn is crucial for maintaining a healthy subscriber base. Many entrepreneurs mistakenly focus solely on acquiring new subscribers without considering retention. Engaging with new subscribers through introductory calls can significantly lower churn rates. Identifying and reaching out to inactive subscribers is another effective strategy, allowing creators to re-engage those who may have lost interest. Offering options like subscription pauses and discounts can also help retain subscribers. By implementing these strategies, content entrepreneurs can effectively build and sustain a successful subscription model, ensuring ongoing engagement and revenue growth.
- Wednesday, May 22, 2024
Major publishers are exploring new revenue streams to combat declining ad revenues and subscription growth. Strategies like e-commerce, affiliate marketing, and social media partnerships are gaining traction. Companies such as Condé Nast and The Independent are also diversifying their offerings and expanding globally.
- Tuesday, April 16, 2024
Squarespace has launched subscription features to help its users earn revenue from their content. Users can generate revenue from their articles by adding a paywall to their blog, setting the price, and choosing a one-time fee or recurring subscription. Video creators can monetize content by charging for access to their library or placing a paywall directly on a video player. Squarespace users can sell individual pieces of content or bundle various content types.
- Monday, May 27, 2024
Netflix's introduction of ad-supported subscription tiers marks a significant shift in its business strategy that aims to appeal to price-sensitive consumers and diversify its revenue. By partnering with advertising firms and offering cheaper plans, Netflix hopes to attract a broader audience and compete with other streaming services. Netflix plans to innovate in advertising approaches, develop strategic partnerships, and ensure that ad-supported models contribute to long-term sustainability and growth.
- Tuesday, September 24, 2024
TikTok is expanding its subscription option to non-live creators. This allows more users to build an audience of paying subscribers in the app. Creators can customize their subscription packages to offer three different tiers, selecting benefits such as private communication channels and exclusive content. Eligible creators have to be 18 years or older and have an account in good standing with 10K+ followers and 100K+ video views in the past calendar month.
- Monday, June 10, 2024
Revenue stagnation can be addressed by focusing on designing features for distinct user personas rather than adding features for existing users. This involves breaking down the user base into different segments based on their motivations and needs. Addressing the unique, high-value problems of each user group can lead to the creation of solutions that are indispensable to users, thereby increasing their willingness to pay and stay subscribed.
- Friday, September 13, 2024
This post shares 8 strategies to experiment with to optimize paywall conversion. These include adding a Free vs. Premium comparison chart, sharing stats on premium user success rates, offering discounts for annual subscriptions over monthly ones, and incorporating dynamic images and copy that match with what users tapped to reach the paywall.
- Monday, April 29, 2024
Consumers now have subscriptions for everything — streaming services, software, and grocery delivery. App subscription fatigue is about to get even worse with AI. Major tech companies are using the AI boom to push consumers toward pricier subscriptions. They're also using consumers' data to help train various gen AI tools, meaning the consumers are effectively paying for these tools twice.
- Monday, September 9, 2024
General news outlets are increasingly unprofitable, with many relying more on reader revenue as advertisers shy away from hard news. To mitigate losses, these outlets are launching non-news verticals such as games, recipes, and lifestyle content, which can generate more reliable income streams.
- Tuesday, April 23, 2024
This article looks at how 3 Indonesian creators grew their Instagram Subscriptions. Offer exclusive and consistent content tailored to your audience's interests and preferences. This is key to building and maintaining a close-knit community with your followers. Instagram Stories and Live are the 2 most popular content formats used by the 3 creators. They post anywhere from 5-7 Stories per day and go live 2X a week. Their fans prefer fast-paced updates on what's going on in their lives. Creators need to identify a content plan that works best for their communities.
- Thursday, August 8, 2024
In a recent earnings call, Reddit CEO Steve Huffman suggested that certain subreddits might be paywalled to boost revenue post-IPO. The platform has stayed notably consistent over the years, lacking the excessive monetization found on other social media sites, but recently the site has aggressively pursued new revenue sources. The most controversial change was to hike up its API fees, which many third-party apps couldn't afford, and more recently the company signed a licensing deal with OpenAI.
- Wednesday, May 8, 2024
While AI applications offer new capabilities to users, the pricing is mostly the same as traditional software applications. Most AI apps use subscription models, often based on the number of users. Free versions or trials are common to drive initial adoption. A new pricing model that AI could help facilitate is success-based pricing, where the user gets charged only when the product delivers a successful outcome.
- Thursday, June 20, 2024
A new study found that viewers' income and likelihood of buying a product were not factors that determined how much it costs to reach them — it's how active they are on the platforms where the ads run. More active audiences command a lower advertising price per impression, while groups that don't tune in as often cost a premium to advertise to. As a result, TV advertisers pay more to reach young men who watch TV infrequently and pay less to reach women and older groups, whereas on platforms such as Instagram and TikTok, older audiences can be more expensive to reach. This scarcity factor explains why broadcast and cable advertising revenue largely held steady from 2014 to 2019, even as more people moved over to streaming services.
- Friday, August 30, 2024
This report summarizes insights from a marketer survey on the challenges, opportunities, and perceptions of YouTube as an advertising platform. YouTube's ad revenues hit $8.1 billion in Q1 2024, a 21% increase from the previous year, fueled partly by 44.7% of marketers noticing improved ad performance post-anti-ad blocker measures. Influencer marketing (25.6%) and organic content marketing (25.1%) are the most common strategies, followed by paid advertising (13.5%) and sponsored content (10.2%). About half of marketers use YouTube primarily for brand awareness.
- Optimal Meta Ads account design for scaling US-focused subscription apps, targeting older audiences.Tuesday, April 2, 2024
This post describes an optimal Meta Ads account design for a US-focused subscription app. The account foundation is built on Manual App Ads and all ad sets use bid caps. Trial conversion tends to be low for younger audiences, so users ages 18-24 are excluded on an account level and there is limited spend on users aged 25-34. To reach the goal of targeting older audiences, the account prioritizes Facebook Feed as the top placement, followed by IG Feed for scale.
- Tuesday, June 11, 2024
This guide explores the role of pricing as a direct lever for revenue in SaaS. It highlights strategies like targeting high gross margins and establishing clear price positioning. The guide examines pricing models from ChatGPT's $20/month flat-rate plan to Stripe's transaction-based pricing and covers tactics such as tiered pricing and the Van Westendorp Price Sensitivity Meter to determine optimal price points. It also recommends continuous experimentation and iteration, sharing examples of how companies like Hubspot adjust pricing based on customer value and willingness to pay.
- Monday, September 23, 2024
Alex Pattis grew his newsletter, Last Money In, to 41K+ subscribers and $200K in annual ad revenue in just over a year. Pattis identified a niche in the special purpose vehicle space and consistently published weekly content tailored to two target audiences. He secured long-term sponsors through pilot programs, offering ad placements and quarterly deep dives. For growth, Pattis generated buzz on LinkedIn with mini deep dives and ran targeted Meta ads to attract subscribers. Additionally, he implemented a funnel strategy to upsell readers to his paid newsletter, Deal Sheet, which achieved $500K in annual recurring revenue through outreach and referrals.
- Friday, April 12, 2024
The “Plus 20% Content Strategy” advises marketers to improve social media engagement by analyzing content performance and adjusting strategies incrementally. By focusing on content that exceeds the median by 20% and doubling down on its production while cutting underperforming content, marketers can enhance engagement gradually.
- Apple, Netflix, and Amazon are developing performance-based compensation models for Hollywood stars.Monday, May 13, 2024
Apple will soon begin basing pay on how a series or movie performs. Talent would receive bonuses on a points system, with the size of the bonuses being based on the number of people who signed up for Apple TV+ to watch, how much time they spent viewing, and the cost of the program relative to the size of its audience. Netflix and Amazon have also spent months developing plans for performance-based compensation, but neither have gone public yet with their models. Streaming services are becoming increasingly more transparent - the practice will make it easier to tie pay to performance.
- Thursday, August 15, 2024
Mobbin, a mobile and web design reference library, found that adding elements like feature tables and FAQs on the pricing page dramatically increased engagement and conversion rates for free plans, but in some scenarios reduced paid plan sales. Its team believed that this extra content was a distraction for the segment of users who had already decided to buy. Mobbin ran a test that routed higher-intent users (those who clicked on a ‘Get Pro' link) to a slimmed down version of the plan pricing, without the free option. This resulted in an 18% increase in transactions.
- Wednesday, July 17, 2024
Megan Morreale, former Head of Content Marketing at Reddit and Taboola, believes that the traditional content marketing role is fading. Companies now prefer specialized roles focusing on specific aspects like SEO, email, or social media. Morreale advises content marketers to leverage their skills in more strategic, revenue-driven roles within growth or product marketing teams.
- Wednesday, April 10, 2024
This article shares how to create interactive content that resonates with audiences on a deeper level than traditional social media posts. From quizzes and polls to user-generated content campaigns and giveaways, these innovative approaches not only boost visibility, but also foster a sense of community and brand loyalty.
- Tuesday, July 30, 2024
To succeed in the YouTube Shorts feed, ads should mimic the platform's organic content style. Brands can leverage everyday people and influencer partnerships to create authentic, engaging content that resonates with viewers. Incorporating elements like direct-to-camera addresses and calls to action can encourage interaction.
- Monday, July 22, 2024
Netflix's growth model is evolving with the rise of ad-supported memberships, which grew 34% quarter-over-quarter and now account for 45% of sign-ups in available markets. Despite this rapid growth, Netflix's current ad inventory can't keep pace, so significant ad revenue isn't expected until after 2025. To address this, Netflix is developing an in-house ad tech platform set to launch globally in 2025.
- Thursday, July 25, 2024
Classic content marketing focused on high-volume keywords and Google rankings is outdated. You now need an audience-first approach that identifies where your audience spends their time and fits into those spaces. Find your audience's sources of influence through surveys, interviews, and broad data sources. Use keyword research, audience research, and social media listening to find resonant topics. Select the right content format based on audience behavior and preferences. Monitor competitors and find opportunities for co-marketing and guest posts. Finally, distribute content effectively and continually test and repurpose.
- Friday, March 15, 2024
Reddit revealed new free-form ads that mirror user posts, aiming to bolster engagement and advertiser interest ahead of its IPO. The new format will offer flexibility in content creation and quick information delivery inspired by popular megathreads. While advertisers may benefit from enhanced engagement, users might perceive ads blending with regular content as intrusive.
- Wednesday, July 3, 2024
GuitarTricks uses popular YouTube videos and blog posts to draw in potential customers, offering a free membership level to capture and engage visitors. This strategy allows it to upsell within its member area and through email campaigns, providing a taste of paid content to encourage upgrades. Retargeting ads and discounts further drive conversions, making its marketing funnel highly efficient.
- Friday, July 5, 2024
A transparent review of what happened to leading Product-led Growth Advisor Leah Tharin's subscription revenue and inbound after posting less consistently on her demand channels, Substack, and LinkedIn.
- Monday, July 15, 2024
Grammarly's marketing focused on SEO, content marketing, social media, and email in its early days. After receiving funding, it began to heavily invest in paid advertising, including branding and awareness campaigns, while also expanding its social media presence. The brand's freemium model, which creates a low-friction entry point, is a perfect example of product-led growth.
- Monday, April 22, 2024
Netflix's latest earnings report showcases its remarkable ability to attract and retain subscribers. The company faced several challenges such as password-sharing crackdowns and pricing adjustments, but was able to successfully adapt to changing market dynamics and maintain its leadership position. Netflix focused on delivering value through a combination of compelling content, personalized recommendations, and strategic initiatives like live events and gaming.