Contrary to popular belief, dedicating 50% of your effort to a free weekly newsletter may yield no impact on paid conversions. Tech leader Dave Anderson paused his free newsletter and saw zero change in paid growth, suggesting the free content was a separate value stream, not a conversion funnel.
To grow their email list organically, Province of Canada sent a daily email with an interesting fact about Canada. This non-promotional content got them into people's inboxes daily, building brand affinity and an audience that they could later market to, proving that value can be detached from the product itself.
Split tests reveal that leads from free offers convert at the same rate and ticket size as those from paid offers. The primary difference is that free offers dramatically lower lead acquisition costs (by 5x or more), making them more profitable. The "freebie seeker" stereotype is largely a myth.
Instead of a hard paywall after a few paragraphs, providing half of every paid article for free delivers substantial value. This strategy builds trust and keeps free subscribers engaged for months or years, eventually converting them when a particularly relevant article finally convinces them to pay.
Media companies can scale paid acquisition infinitely by selling a low-ticket digital product (e.g., a guide) on the thank-you page after a free newsletter signup. If even a small percentage buys, the revenue can offset ad costs, making subscriber growth free or profitable.
Newsletters can be powerful list-builders, but only if promoted like a product. Instead of a simple 'join my newsletter' prompt, create a dedicated page that details the value, explains what subscribers will get, and even offers a preview of a past issue.
Dan Kohler's Kapo Chronicle newsletter converts over 40% of its list by paywalling every weekly issue. Free subscribers only get a monthly email summarizing what they missed, creating a powerful incentive to upgrade. This challenges the common freemium model where substantial free content is the norm.
When the Coppell Chronicle's founder considered adding ads, paying subscribers responded negatively, with some even offering a higher subscription fee to keep it ad-free. This reveals that for a niche audience, an ad-free experience is a core product feature they are willing to pay a premium for.