People Magic: How to Build a $1M Community Why Freemium Communities Fail (& The 3 R’s to Charge What You’re Worth)
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Jul 24, 2025 Freemium communities often stumble, lacking engagement and revenue. The conversation highlights the importance of structured, paid communities for better results. Three key principles for pricing—Results, Replacement, and Respect—are essential for success. Mini launches can significantly boost community interaction. A shift in mindset from creator to host opens up new possibilities. Sharing stories takes precedence over simply dispensing advice, creating a more genuine connection among members.
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Community Drives Transformation
- True transformation happens through applying ideas in community, not just consuming content.
- Community interaction drives habit changes and lasting results, not passive learning.
Avoid Freemium Communities
- Avoid freemium communities; they require more work and yield less engagement and revenue.
- Use mini launches with a free containered course or challenge, and consistently upsell paid membership offers.
Price Using Three R's
- Price your community based on the three R's: Results, Replacement, and Respect.
- Ensure members see clear value, what they're replacing, and feel respected to justify your pricing.