What is the average income from a good list?

18 replies
Hi
I'm new to list building, so am wondering what kind of income "non-gurus" make from their list?
I've read several times that you can expect (hope) to make on average $1 per month, per subscriber.
Is this realistic?
Thanks
Tony
#average #good #income #list
  • Profile picture of the author Luke Dennison
    Originally Posted by tonyclif View Post

    Hi
    I'm new to list building, so am wondering what kind of income "non-gurus" make from their list?
    I've read several times that you can expect (hope) to make on average $1 per month, per subscriber.
    Is this realistic?
    Thanks
    Tony
    I have a couple lists that make only $1 per subscriber, and those lists are the ones i just send out affiliate emails. The ones where i concentrate on relationship building (aka training them to open emails) i make $2.50 per subscriber.
    {{ DiscussionBoard.errors[9355404].message }}
  • Profile picture of the author Alexa Smith
    Banned
    Originally Posted by tonyclif View Post

    I've read several times that you can expect (hope) to make on average $1 per month, per subscriber. Is this realistic?
    This information simply isn't collated anywhere, so nobody knows.

    (It's information that isn't "available to be collated", if you think about it, isn't it?).

    The sometimes-cited so-called "average figure of $1 per subscriber per month" is just a totally random fiction, signifying nothing.
    {{ DiscussionBoard.errors[9355548].message }}
    • Profile picture of the author JohnMcCabe
      Yes, the $1/month/subscriber number came out of thin air at a presentation made at an IM conference. That number was picked to keep the math easy when making the point that having a responsive list was a pretty reliable way to have a steady income from an unsteady biz.

      I only know one person who makes exactly $1/month/subscriber. He has a paid newsletter, and he charges $12/yr.
      {{ DiscussionBoard.errors[9355655].message }}
      • Profile picture of the author tonyclif
        Thanks Luke, Alexa and John.
        Interesting to hear this info. It makes sense that it would be different for everyone, and especially that Luke has different rates from different list methods.

        If $1 is a lowball figure, that is great news if you have a big list!
        {{ DiscussionBoard.errors[9357491].message }}
        • Profile picture of the author Alexa Smith
          Banned
          Originally Posted by tonyclif View Post

          If $1 is a lowball figure, that is great news if you have a big list!
          In theory, yes.

          But I suspect the reality might often be rather different, because most "very big lists" have probably been built by marketers whose emphasis was on quantity rather than quality, with the inevitable outcome that their monthly earnings-per-subscriber are going to be decidedly on the low side.

          Some of the factors that influence the earnings-per-subscriber per month of lists are actually fairly predictable (partly because they overlap so extensively with the factors that also influence open-rates).

          For example, I strongly suspect that some of the biggest lists will belong to marketers who have built them mostly from SEO traffic, have opted them in via a squeeze-page rather than via an opt-in on a visibly content-rich site, haven't sent them (in exchange for their email addresses) something that fulfils all the purposes explained here, haven't set their subscribers' expectations very well, don't have much of a continuity-process, send email far too often, include promotions in most or even all(!) of the emails they send, and so on. Guess what? Their earnings-per-subscriber per month are probably going to be about the lowest you can find.

          http://www.warriorforum.com/main-int...ml#post6123982

          http://www.warriorforum.com/main-int...ml#post8661178

          .
          {{ DiscussionBoard.errors[9358448].message }}
          • Profile picture of the author Floyd_61
            What is wrong with this calculation?

            5000 subscribers should bring you $5000/month

            5000 mails sent -> 10% open rate = 500 eyeballs read your email.

            10% CTR -> 50 subscribers see the offer.

            Conversion rate of 2% equals 1 sale out of 5000 emails.

            50% commission on a $30 offer is $15.

            $5000 / $15 = 333 times a month (11 times a DAY)you have to
            send out a promo email to earn $5000/month in commission.

            Which numbers are wrong?
            {{ DiscussionBoard.errors[9359287].message }}
            • Profile picture of the author JohnMcCabe
              On the one hand, if my success rates were chronically that low, I'd be very depressed. On the other hand, those are probably closer to reality for most marketers (especially newbies) than the $1/mo/sub.

              If I recall correctly, the presentation that number came from was based on having a mix of one's own products and affiliate offers in a fairly deep funnel.

              I recently watched the prelaunch videos for Jeff Walker's new project (whatever it is, linked to his physical launch book). He says that as lists get bigger, the responsiveness tends to go down.

              The flip side of the coin is that you can't pay a bar tab with open rates or CTRs... (that one is mine, not Jeff's) - you have to find the balance. If your list is so big that the response rates tank, it might be time to segment your lists.
              {{ DiscussionBoard.errors[9359988].message }}
            • Profile picture of the author tonyclif
              Originally Posted by Floyd_61 View Post

              What is wrong with this calculation?

              5000 subscribers should bring you $5000/month

              5000 mails sent -> 10% open rate = 500 eyeballs read your email.

              10% CTR -> 50 subscribers see the offer.

              Conversion rate of 2% equals 1 sale out of 5000 emails.

              50% commission on a $30 offer is $15.

              $5000 / $15 = 333 times a month (11 times a DAY)you have to
              send out a promo email to earn $5000/month in commission.

              Which numbers are wrong?
              Floyd_61, I'm not sure about your figures as they seem very different (low) to figures I often see quoted, albeit usually by people trying to sell me something. They are still food for thought, and my 1st reaction is that they lead me to want to market big ticket items
              AffGuides comment also steers me in this direction
              Thanks
              {{ DiscussionBoard.errors[9361029].message }}
              • Profile picture of the author Alexa Smith
                Banned
                Originally Posted by tonyclif View Post

                my 1st reaction is that they lead me to want to market big ticket items
                That shouldn't really be your first reaction, Tony.

                Imagining that ultra-low open-rates and click-through rates mean that the way to derive income is from a bigger profit per sale are rather missing the point. To sell high-ticket items, you need to be better than other affiliates at relationship-building. The higher the price, the more important is the strength of the recommendation made by someone trusted, and the more important it is to be dealing with buyers, and to have subscribers who are so impressed with your previous, lower-priced recommendations that they'll continue buying from you. (That's where most of the money is, in affiliate marketing).

                An open rate of 10% (would be a disaster, to me) and a CTR of 10% don't sound like the recipients are viewing the email as coming from someone "trusted" at all, do they?

                The "promoting big ticket items" scenario's extremely unlikely to apply to a situation with very low open-rates and click-through rates. It's kind of "the opposite", if anything.


                .
                {{ DiscussionBoard.errors[9361511].message }}
                • Profile picture of the author tonyclif
                  Originally Posted by Alexa Smith View Post

                  That shouldn't really be your first reaction, Tony.

                  Imagining that ultra-low open-rates and click-through rates mean that the way to derive income is from a bigger profit per sale are rather missing the point. To sell high-ticket items, you need to be better than other affiliates at relationship-building. The higher the price, the more important is the strength of the recommendation made by someone trusted, and the more important it is to be dealing with buyers, and to have subscribers who are so impressed with your previous, lower-priced recommendations that they'll continue buying from you. (That's where most of the money is, in affiliate marketing).

                  An open rate of 10% (would be a disaster, to me) and a CTR of 10% don't sound like the recipients are viewing the email as coming from someone "trusted" at all, do they?

                  The "promoting big ticket items" scenario's extremely unlikely to apply to a situation with very low open-rates and click-through rates. It's kind of "the opposite", if anything.

                  .
                  Thanks Alexa. I agree with your points on relationship (& pretty much everything else in your post)My comment obviously didn't convey my full thoughts on this - if the open and CTR are typically as low as quoted by Floyd_61 I would HAVE to sell big ticket items to make any money. This is unlikely to happen if I haven't first built that relationship.
                  I was glad to see you also feel that the figures quoted are low, or in your words, a disaster.

                  Your input is very appreciated, and I can see by reactions to other posts of yours, that your advice is very well received!!
                  Thanks again
                  {{ DiscussionBoard.errors[9363437].message }}
          • Profile picture of the author tonyclif
            Alexa, thank you for the detail in your responses. It really gets one thinking! Each point by itself is valuable, and put together with the previous posts that you quote, I have either learnt something valuable, or been given more food for thought (I just hope I'm not overindulging )
            {{ DiscussionBoard.errors[9361012].message }}
  • Profile picture of the author Edwin Torres
    The whole $1 a subscriber from your list thing is a myth. Some people make more, some people make less. Its all about the relationship you build with your list, and how engaged they are with. The more trust you build the easier it is to sell.
    {{ DiscussionBoard.errors[9360163].message }}
  • Profile picture of the author osamaye360
    Originally Posted by tonyclif View Post

    Hi
    I'm new to list building, so am wondering what kind of income "non-gurus" make from their list?
    I've read several times that you can expect (hope) to make on average $1 per month, per subscriber.
    Is this realistic?
    Thanks
    Tony
    yes its very realistic and even more especially if you have at least 2000 emails in your list. i just started list building. in 4 days i have gotten about 108 subscribers (14 opted out and i removed 2) so making it 92. spent about $40. and more are been added daily without any further expenses.

    i have not started selling to the list, just following up with quality articles/messages.

    building list is like a long term project. so if you have lets say 100 subscribers, i dont think one should start selling immediately until you have developed a relationship with them.
    {{ DiscussionBoard.errors[9360249].message }}
  • Profile picture of the author Ghoster
    I don't think that it's a low-ball figure at all.

    $1 per subscriber seems high, and is probably not typical. Of course, it depends on what you're offering. You can reach this and beyond if you have an authority site and are an Amazon or Ebay affiliate. If you're just promoting your own product, $/per subscriber depends on sooo many factors.
    Signature

    On the whole, you get what you pay for.

    {{ DiscussionBoard.errors[9360435].message }}
  • Profile picture of the author AffGuides
    I've made about $300+ per user from some of my lists. Obviously not everyone is paying me but high ticket items that give 4 figure payments equals a lot of money when you can sell it. I know there are guys that make more than this, and this is not an average.
    {{ DiscussionBoard.errors[9360441].message }}
  • Profile picture of the author Igor Kheifets
    I'm not a frequent posted in open discussion forums but this one caught my eye as I was updating my ads.

    $1+ per sub per month is not a myth, folks.

    It is a myth if you're an affiliate marketer (pushing JVzoo products or low ticket WSOs). It is a myth if you're sending "content" to your list and trying to "bond" with your subscribers.

    On the other hand, if you promote your own products, and your product line is deep enough while delivering on the value you promise to your market - $1+ is most definitely NOT a myth.

    Thanks,
    Igor
    {{ DiscussionBoard.errors[9360630].message }}
  • Profile picture of the author BlackFox
    Originally Posted by tonyclif View Post

    Hi
    I'm new to list building, so am wondering what kind of income "non-gurus" make from their list?
    I've read several times that you can expect (hope) to make on average $1 per month, per subscriber.
    Is this realistic?
    Thanks
    Tony
    Depends on the list. If you have a trading/forex list you can generate up to $100 per subscriber.
    If it's a coupon list could be around $2-$10 per subscriber.
    Signature
    {{ DiscussionBoard.errors[9361516].message }}
  • Profile picture of the author Reddy20
    So is it possible to increase more than $1 per subscriber?
    {{ DiscussionBoard.errors[9364019].message }}

Trending Topics