In this issue we discuss:
Is supply outstripping demand for newsletter sponsorships?
Giving away products to grow
Building a newsletter-first media company
💰 Beehiiv To The Rescue
Last month, we featured that Michael Houck believes that the demand for newsletter sponsorships may not keep up with the supply of newsletters coming into the space. Marketing Max also posted that the increased supply will make landing sponsors 10x harder going forward.
This week, Manu from Stacked Marketer, who has sold more ads than most, categorically stated that, from his experience, ad budgets have now shrunk significantly:
He also states that supply has increased, where there is now a competing newsletter in every niche meaning:
Combine 1 and 2, and you will see much lower CPMs and CPCs.
Manu, Stacked Marketer
Now, it’s possible for niche newsletter operators to be served up ads, without having to build an ad sales process, work on copy and report on numbers.
Will CPMs and CPCs be lower than what you could get yourself?
But combine this with earning from beehiiv boosts (both web and email) and newsletter operators will now be able to focus their efforts on creating great content.
Alex believes the result of this is a new wave of independent media at scale:
The decreased friction for advertisers (not having to deal with lots of niche newsletters) will likely increase the amount of sponsorship $$$ flowing within the ecosytem.
And with that, over time, beehiiv may in fact be able to increase CPCs for newsletter operators.
🧑✈️ Grow Your Newsletter on Auto-Pilot
1. Refind recommends your newsletter to matching users
2. They can subscribe to your newsletter
3. You get their verified emails into your ESP
Refind is used by industry leaders in the newsletter business space:
When I worked at The Hustle, we saw a 60% open rate from Refind ad subscribers”.
Matt McGarry from GrowLetter
Refind’s conversion ads work brilliantly.
Jeff Northcott from The Week in Games
Refind is super easy to work with. The traffic is definitely qualified.
Manny Reyes from Morning Brew
🏆 Give It Away Now
The referral tool used in the image of the post above is Sparkloop, who just released a podcast with Louis talking with Aleyda Solis about how she uses giveways to maximise growth for her SEOFOMO newsletter:
Duuce is the #1 marketplace for buying & selling newsletters. See what your newsletter is worth with their free valuation calculator. Check it out
Sponsorships(.com) Newsletter Agency helps newsletter operators earn more revenue through sponsorships with top brands. Check it out
The Newsletter Is The Business is everything we know about launching, scaling and selling editorial newsletter businesses. Check it out
☝️ One More Thing
From investment banker to pickleball newsletter operator to a newsletter-first media company…
Disclaimer: Not financial or business advice. This newsletter is strictly for information and education purposes. There are no affiliate links in this issue.