Time to tackle pricing – a key piece of the puzzle. How much should you charge for your newsletter, and will you offer monthly vs annual plans, tiers, etc.?
First off, research what similar creators charge. Many paid newsletters fall in the range of $5 to $15 per month. For instance, Substack’s popular newsletters often use $5/month or $50/year as a baseline. If you’re offering extremely niche or business-critical info, some go higher ($20-$30/month), but realize the higher the price, the more specific and high-value it must be to justify.
Remember, it’s easier to start modest and increase later than to lower price later (which can upset early adopters if not handled well). You can even grandfather in initial supporters at a lower rate.
Consider an annual option with a discount. Many creators find a lot of people take the yearly plan if it’s something like “2 months free” (e.g., $5/month or $50/year). This is good for you because it gets more money upfront and commits the subscriber longer (reducing monthly churn). MailerLite’s guide suggests offering annual plans by default to reduce month-to-month churn.
You might also think about tiers: - Single Tier: One price for full access is simplest and usually effective. - Multiple Tiers: Some creators offer a higher tier with extra perks (like 1:1 consultation or group Zoom calls, merchandise, etc.). Only do this if you have bandwidth to fulfill those extras; it can get complex. - Founding Members: Some Substackers do a “founder member” higher price option ($100/year or something) for super fans who want to support you extra – they often get a special thank you or small bonus. It’s not required but can be nice if you have that dedicated following.
Be clear on what subscribers get for the price. If it’s weekly content plus community, highlight that. Also decide if you’ll offer free trials or money-back guarantee for initial signups. Free trials (say 7 days or a sample issue) can lower the barrier. Platforms like Substack have a feature to let people “subscribe for free” and then you convert them – but that’s essentially just having free content as we discussed. You can manually offer a refund to anyone unhappy in first X days – mentioning that policy (e.g., 30-day refund window) can reassure signups (trust-building moves like refund options make people more comfortable paying).
One key insight: price for your value, but also for your audience’s willingness. If your audience is young or budget-conscious, lean lower. If it’s corporate folks who’d happily expense it or invest in their career (e.g., a deep-dive industry newsletter), you could charge more. MailerLite noted if your content helps people gain professional skills or money, higher price is easier – because the ROI is clearer.
When you announce pricing, framing helps: - Compare it to something trivial. “For the price of a coffee, get expert advice delivered weekly.” - Emphasize annual savings if applicable (“Save 20% with annual plan – 2 months free”). - Possibly mention any special launch pricing (some do an early-bird lower rate for initial subscribers). - Also mention if any discounts for certain groups (like student discount) if you plan to – not mandatory, but can be part of strategy. For example, some newsletters offer team or group rates, which could be relevant if selling to companies or if, say, couples both want to join.
Finally, position pricing around the value. Instead of thinking “I’ll charge $x because others do,” articulate the value: e.g., “This $10/month newsletter could help you save hundreds by avoiding mistakes / making smarter decisions / etc.” People often weigh cost vs benefit, so help them see the benefit clearly outweighs the modest cost.
By the end of Step 3, decide on: - Your monthly price (and maybe founding launch promo price if any). - Your annual price (usually 10-20% discounted from monthly x 12). - Any tiers or special membership options, or keep it simple with one tier. - Any trial or guarantee policy you’ll communicate.
Locking these in now will let you set up your payment settings on the platform of choice in the next step and craft your marketing messages around it.