Substack is a market place and you are renting a stall because it gets the traffic. Smaller market places are cheaper because they are not on prime land. A simple business decision. Enjoyed your take on it.
I don't consider the Substack / Stripe 13% to 14% cut to be excessive. Because you get to keep the other 86% to 87% that you wouldn't have without Substack.
86% of something is a lot better than 100% of nothing.
Yeah it's an interesting argument. I get it and think both sides have fair points.
But I think there's real value you get from the Substack ecosytem that they miss.
Like, sure, you could drive traffic from somewhere else to your email list. But having them pay for an email subscription through a different provider just won't be the same.
The interface isn't as user friendly as Substack. You don't have the comments and community that already live here. Tons of people will only subscribe if it's on Substack. There's major functionality you lose by going somewhere else.
And then, like you mentioned, that doesn't factor in the discovery aspect and the connection to your notes account.
So yeah, I think it's 100% worth it (even though I don't have a paid subscription offer).
10% actually isn't bad when you also consider it gives you:
Yes! people that “don’t know business,“ only look at P&L statements, and forget to consider things like network effects, which are not anything close on Ghost.
Also, although less expensive, Ghost still charges a (likely) 3% processing fee on all credit card transactions. So if you are still running a membership through there, you’re still paying.
She's completely ignoring Substack's network effects. Or more likely, isn't aware of them.
Substack makes it dead simple to accumulate subscribers and expand your network. You mentioned all this, and your spot-on.
Moving to host an *existing* community on your own website via a tool like Ghost can work for someone like my friend Lucy Werner, because she already has that community built up.
For the average Substack user, paying Ghost $160 or so a month upfront is a very bad investment.
And for the record, I have nothing against Ghost. I actually think Ghost is an amazing tool that can be exactly right for creators in *select circumstances*. But for the average creator who is just starting, Substack is the best possible solution IMO and its not even close.
Exactly, Mack. I really didn’t like how she oversimplified it, and then came after me in the comments without considering this. Like, why must we defend to the death our POV when there are multiple sides to the argument? Ohhhh I know. It’s because she’s selling some other solution. Great marketing plan, eh? 😂
I'd pay $1600 a month to pay $1600 a month to Substack anyday....that's like the guy that asked someone if they'd ever pay a $million in taxes. I'd love to be paying a million in taxes!
Substack is a market place and you are renting a stall because it gets the traffic. Smaller market places are cheaper because they are not on prime land. A simple business decision. Enjoyed your take on it.
I don't consider the Substack / Stripe 13% to 14% cut to be excessive. Because you get to keep the other 86% to 87% that you wouldn't have without Substack.
86% of something is a lot better than 100% of nothing.
Yeah it's an interesting argument. I get it and think both sides have fair points.
But I think there's real value you get from the Substack ecosytem that they miss.
Like, sure, you could drive traffic from somewhere else to your email list. But having them pay for an email subscription through a different provider just won't be the same.
The interface isn't as user friendly as Substack. You don't have the comments and community that already live here. Tons of people will only subscribe if it's on Substack. There's major functionality you lose by going somewhere else.
And then, like you mentioned, that doesn't factor in the discovery aspect and the connection to your notes account.
So yeah, I think it's 100% worth it (even though I don't have a paid subscription offer).
10% actually isn't bad when you also consider it gives you:
- An email service provider
- Website hosting
- Payment processing
- Marketing discovery
- Market trust
- Top tier design
- Excellent community/commenting capability
Nailed it and love what you said. You get a lot for that 10%. The YouTuber’s argument left all of that out.
Read this yesterday then got distracted by a dog who needed to potty. As it goes…
Here’s what I wanted to say to you, Tracy!
Thanks for taking the frustration and putting pen to paper rather than arguing with her.
I find I’m often frustrated with the idea, not the person themselves (sometimes that)
But when we use that fuel for something like writing we are better able to stand up for or against an underlying idea. And that is pretty cool.
Thanks, Ashley! Yeah, I figured it would be a waste of energy since she had already decided that an 800% ROI was for people who “don’t get business” 🤣
Yes! people that “don’t know business,“ only look at P&L statements, and forget to consider things like network effects, which are not anything close on Ghost.
Also, although less expensive, Ghost still charges a (likely) 3% processing fee on all credit card transactions. So if you are still running a membership through there, you’re still paying.
It’s tax deductible anyway! People are so shortsighted with money and that’s the source of so many problems.
Totally!
She's completely ignoring Substack's network effects. Or more likely, isn't aware of them.
Substack makes it dead simple to accumulate subscribers and expand your network. You mentioned all this, and your spot-on.
Moving to host an *existing* community on your own website via a tool like Ghost can work for someone like my friend Lucy Werner, because she already has that community built up.
For the average Substack user, paying Ghost $160 or so a month upfront is a very bad investment.
And for the record, I have nothing against Ghost. I actually think Ghost is an amazing tool that can be exactly right for creators in *select circumstances*. But for the average creator who is just starting, Substack is the best possible solution IMO and its not even close.
Exactly, Mack. I really didn’t like how she oversimplified it, and then came after me in the comments without considering this. Like, why must we defend to the death our POV when there are multiple sides to the argument? Ohhhh I know. It’s because she’s selling some other solution. Great marketing plan, eh? 😂
I'd pay $1600 a month to pay $1600 a month to Substack anyday....that's like the guy that asked someone if they'd ever pay a $million in taxes. I'd love to be paying a million in taxes!