Hey there,
A couple weeks ago, I had a Zoom lunch with Alex Lieberman (Co-Founder of Morning Brew). We were swapping stories about media and creators. At one point, he let me know he was heading on My First Million to talk newsletter growth with Sam.
After our conversation, something clicked: there are really two paths for growing newsletters.
1. Grow fast. Sell ads.
2. Grow smart. Acquire customers.
Both can work. But if you're running a newsletter inside a customer acquisition model, you don't need millions of subscribers. You need the right ones.
Most newsletter operators chase volume. They buy subscribers from DMI, co-reg, and TikTok, anywhere they can find $1.50 - $2.00 subs. But most of those folks churn. They rarely open the email. They don't click. And they definitely don't convert.
We've tested it. It's not worth it.
Instead, we invest in channels that bring in quality readers:
After doing some list cleanup and bot filtering, we saw open rates jump 8%. That's massive when you're working at scale.
Once you have the right audience, the next question is: how do you turn readers into revenue?
Media companies lean on native ad spots. They're visual, branded, and advertisers love them. But here's the catch, they're not the best-performing real estate.
We're experimenting with two placements that drive better results:
This approach takes time. It takes great editorial, brand-building, and patience. But it's more sustainable.
We're not alone in this thinking. Morning Brew, Semafor, and others are shifting from mass reach to niche depth (h/t The Rebooting). Brands are smarter now: they evaluate audience fit, open rates, CTRs, and CPM value.
And when you're operating in a customer acquisition model, you have the luxury of growing intentionally. Not just for ad revenue, but for long-term business impact.
That's it for this week. Going into the weekend thinking about 'taste.' How do we help marketers develop it? How do we teach it? Hopefully I can wrap my head around it next week.
Until next time ✌️
Kyle