Local Media HQ

Negative CAC for Local Newsletters

May 8, 2025
Explore the innovative negative CAC model that could transform local newsletter monetization. Discover how strategic onboarding emails can yield profits exceeding subscriber acquisition costs within just a week. Hear about real-life examples like med spas, where high-value offers can effectively turn a profit. Learn why providing value upfront is crucial, and how targeting specific demographics can enhance engagement. With practical advice on segmentation and automation, this approach opens new avenues for growth and scaling.
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INSIGHT

Negative CAC Can Finance Growth

  • Negative CAC means making more revenue from onboarding offers than you spend acquiring a subscriber within the first week.
  • That lets you scale acquisition aggressively because new subscribers fund growth immediately.
ANECDOTE

Example: The Assist's Welcome Sequence

  • TJ describes The Assist's welcome sequence that sends daily valuable emails with affiliate-style software deals.
  • They reportedly earn slightly more in the first week than their subscription cost, enabling fast paid growth.
ADVICE

Embed Offers Inside Valuable Onboarding

  • Do provide value first in your onboarding and embed offers inside helpful content rather than pitching immediately.
  • Use a sequence of useful emails and sprinkle high-value offers to convert new subscribers early.
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