Conversations with digital entrepreneurs on courage, craft, and creative living.
Today’s guest is Lex, a newsletter writer and subscription marketing expert. With over 10 years of experience leading growth projects for tech startups like Gusto, Prosper, and Burner, she helped pioneer growth design. Lex also founded the Growth Designers community, where she educates tech teams on using data to guide product decisions.
In 2019, Lex started her own growth design consultancy and, by 2021, shifted her focus to marketing for creatives. She’s now on a mission to help journalists and indie newsrooms grow their audience and income through subscription marketing.
Her new venture, Journalists Pay Themselves, does what it says on the tin! With the rapid decline of journalism jobs, she’s exploring ways to support those transitioning to independent work.
It’s written for journalists but applies to most media subscription businesses.
We chatted about growing your list and community, Substack v Beehiiv, how much she’s earning from her newsletters, and the benefits of niching down.
Buckle up and enjoy our chat!
Cheers,Nika 🥂
Why did you start Journalists Pay Themselves?
I saw the layoffs and publication shutdowns happening in quick succession earlier this year, which got me looking more seriously at news business models. Since I’ve been helping companies make money online for 12 years, I was curious what exactly “wasn’t working” about news monetisation.
I’d been journalist-adjacent for several years through community organising work and reached out to a few people I had good connections with. That started my research, and then I realised I should publish everything I learn, hence the newsletter.
What problem is it solving for readers?
JPT dives into how reader subscriptions work and how you get more of your free readers moving to paid subscriptions. I am finding that indie journalists and micro newsrooms prefer to be majority reader-funded because it offers them editorial independence, and they often get a good uptake when they launch.
Eventually, though, growth slows (true of all businesses), and journalists have to become their own marketers. I cover how to do that in JPT.
What’s always on your desk?
My Bluetooth speaker, my “Happy Planner,” my Airpods, and two tiny oranges I have every intention of eating.
Why did you choose Beehiiv as your ESP? How’s it going?
I had another newsletter on Beehiiv and immediately loved the platform. I started on Mailchimp years ago, had a Substack in 2020 and moved to Mailerlite in 2021. I’ve tried many newsletter platforms, but Beehiiv offers Substack's growth functions with flexible segments and the automation of an email marketing tool.
Pros: built-in monetisation through boosts and ad network, recommendations similar to Substack, easy-to-embed forms, solid analytics, a beautiful composer that’s quick about online/offline syncing, segments and automation that are necessary for selling. Keeping your subscription revenue 100% (they don’t take a fee and you can bypass them fully and take it to your own Stripe).
Cons: waiting for the other shoe to drop on where they are headed (it’s still early, and it’s a bit too good to be true in some ways). It's not as strong a writers or journalists network as Substack and is full of spammy, weird newsletters about AI and crypto.
Can you share your best tip for growing your email list and community?
Just one?! If I have to pick just one, it's to make it your main call to action. Everywhere on your website, on all your social profiles, anytime you give a talk, do a podcast or talk to someone, tell them about your newsletter.
The more you can automate this (or just put it in place once), the better, but even keeping this top of mind goes a long way to marketing your list.
I think the newsletter game is important even if you don’t know that you want a newsletter business, because it’s a great way to build in public, research in public, and start a dialogue.
How much are you currently earning from your newsletters?
Journalists Pay Themselves makes $0 right now, but my other newsletter, Low Energy Leads, has been my primary revenue channel for the past year. I’m shutting Low Energy Leads down to focus on JPT, but it made $1.2K in sponsorships this year and $96K in membership, events, digital products and speaking gigs that came directly from the newsletter.
I broke it down in this newsletter issue and shared some past newsletter projects.
Low Energy Leads had many growth problems, though, and I suppose, in some ways, that’s hopeful because, despite the headwinds, I still made a living off it. Pretty much every other newsletter has more of a shot than that one, though. The niche was bad.
Is there anything you would do differently if you were starting your newsletter based on what you know now?
I wish I could go back in time to when I launched LA Pays Attention and work on scaling that more and taking the revenue seriously there. That newsletter launched in March 2020, and it was a very good time to be on Substack. I picked up press mentions from most major outlets in LA, and it grew to 2K subs in only a few months before recommendations, paid boosts, or any of that existed.
It was always a side project, and I didn’t understand what I had tapped into (I do now). It was acquired last year for a nice payout and became a wonderful local news outlet called LA Public Press.
Which creators inspire you on Beehiiv and beyond?
On Beehiiv: Kaitlyn Arford with Freelance Opportunities, Garbage Day, The Publish Press (Colin and Samir’s newsletter), Sparsh with Rustic Flute and Jason Levin’s Meme Alerts.
Off Beehiiv: Alissa Walker’s Torched and Kat Vellos’ We Should Get Together.
What does ‘success’ mean to you?
For my newsletter, it means making a sustainable living off of it while offering a light to as many journalists as I can who want to do the same.
In life, it’s much bigger than that :)
Where can we find you?
Mostly on X and LinkedIn and, of course, at journalistspaythemselves.com. We have events going over at JPT! Come by.
Team Substack Substackinc - please hire Lex to help us improve our conversion rates! 🙏
See all the ‘Bold Types’ interviews.
Lex shared some great ideas and insights, so I now have to put them into action ;-)
With my AI bestie’s help, I’ve created a step-by-step guide based on our conversation to help you grow and monetise your newsletter.
Newsletter Growth Guide: 6 Lessons from Lex.👇
1. Build Your Newsletter Foundation
a. Position Your Newsletter as a Portfolio
* Treat your newsletter as a portfolio piece, showcasing your expertise, even before it becomes monetised. It can lead to opportunities like consulting, speaking gigs, or press coverage, as Lex experienced.
* Highlight your niche and strengths. Focus on your unique perspective and craft each issue with the quality you'd put into a professional portfolio.
2. Strategically Grow Your Audience
a. Leverage Existing Readers for Organic Growth
* Create a referral program: Tools like SparkLoop can turn your current readers into advocates who share your newsletter with others. Offer rewards or exclusive content to encourage participation.
* Ask for reader feedback: Poll your most engaged readers about the online communities they are a part of or where they spend time. This can reveal new platforms to promote your newsletter.
* Prominent CTAs: Ensure your call-to-action (CTA) is visible across all platforms, from your website to social media and even during podcasts or public talks. Make your newsletter the primary way people can keep in touch with you.
b. Experiment with Visuals to Stand Out
* Add custom illustrations or unique visual elements to make your newsletter more engaging. Lex highlighted how visual appeal helps newsletters stand out in crowded inboxes. Experiment with styles that fit your brand and audience.
* Use data-driven design choices: Test different formats, colour schemes, and layouts to see what drives higher engagement rates, clicks, or reader retention.
3. Engage and Retain Your Community
a. Build a Strong, Platform-Independent Community
* Create a discussion space outside platforms: With Substack removing discussion threads, explore platform-independent community spaces like Discord, Slack, or even dedicated forums to foster conversation among your audience.
* Host interactive events: Webinars, Q&As, or virtual meetups can enhance engagement and give your readers a reason to stay connected. Offer exclusive access to these events as a perk for paid subscribers.
b. Maintain Consistency in Content Delivery
* Set a clear publishing schedule and stick to it. Consistency helps build trust and ensures your audience knows when to expect your content.
* Offer behind-the-scenes content to loyal readers. Lex mentioned how paid subscribers enjoy getting exclusive insights into the content creation process. This could include sneak peeks, creator reflections, or even detailed case studies.
4. Monetise Effectively Through Diversified Streams
a. Experiment with Different Paywall Models
* Test full, partial, and metered paywalls to see which drives the best results. A partial paywall allows free access to some content while locking premium sections, while a metered paywall provides free readers limited access before requiring a subscription.
* Use data and feedback to adjust your approach based on which model leads to higher conversions or retention rates.
b. Offer One-Time Purchases and Tipping Options
* Monetise without locking in subscriptions: Provide readers with opportunities for one-time purchases, such as curated guides, digital products, or exclusive reports. This allows low-commitment ways for your audience to support you.
* Add a “tip jar” feature on your newsletter platform. This gives free readers the option to contribute financially without committing to ongoing subscriptions. A platform like Ko-fi or Buy Me a Coffee can help facilitate this.
c. Create Additional Perks for Paid Subscribers
* Behind-the-scenes content can serve as a great incentive for paid subscribers. Lex suggests this as one of the most popular perks, offering an intimate look into your process or exclusive updates.
* Offer value-add options: Host private events, workshops, or AMAs (Ask Me Anything) for subscribers who want more in-depth, interactive content.
5. Reduce Platform Dependency and Outsource Smartly
a. Diversify Your Revenue and Income Streams
* Don’t rely on a single platform: Changes like Substack’s removal of discussion features underscore the risk of being too reliant on any one service. Diversify your revenue sources across events, digital products, freelance work, and paid newsletters.
* Balance multiple streams of income to ensure a stable financial foundation. Whether it’s through speaking gigs, consulting, or selling digital products, spreading your revenue across different channels will reduce vulnerability.
b. Outsource Specific Tasks for Efficiency
* Outsource selectively: Lex mentions the value of outsourcing one-off tasks such as thumbnail design, illustrations, or copyediting. This allows you to focus on high-level strategy and content creation.
* Assess your needs carefully: Decide what can be automated or delegated. Invest in areas that will have the greatest impact on saving you time or improving quality.
6. Track, Learn, and Adapt
a. Use Data to Drive Decisions
* Track reader behaviour and engagement through analytics tools. Look at metrics like open rates, click rates, and conversion rates to understand what content resonates most with your audience.
* Survey your readers regularly to ask about their preferences. This will help guide your content and monetisation strategies based on their direct input.
b. Stay Flexible and Open to Change
* Adapt your strategy as new trends emerge or platforms evolve. Staying informed about the latest in the newsletter industry, such as platform changes or new tools, will help you stay ahead.
* Embrace experiments: Regularly test new formats, paywall approaches, or promotional strategies, and evaluate the results to find what works best for you.
Summary:
By following these steps and incorporating Lex’s proven strategies, you’ll be well on your way to growing your newsletter, building an engaged community, and establishing multiple streams of revenue. The key is to start small, test often, and remain open to evolving your approach as you learn from your readers and the market.
Also online here if you want to print it out :)
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