How Much is a list worth in 2009?

6 replies
We have all heard the wisdom that the money is in the list.

However how much worth is a list really worth these days? The assumption if I remember is that each subsrciber should bring an average of $1 per month.

I was shocked to learn that a relatively well known guy with a list of over 100,000 people makes a profit of just a little over $25,000 per month from it. I thought he would be making at least $100K per month.

His average per subscriber earnings are slowly dropping over the years as more and more upcomers cannabalise his subscribers.

This also helped me understand why so many gurus I have subscribed to only rarely send me offers. (Phil Wiley, John Reese etc)

The guy with the 100K list spent nearly 6 years to build his list and John Xfactor of Adsense fame makes nearly the same amount as him from his no list AdSense empire built within a year.

So how much is a subscriber list really worth these days?

I have just earned my Christmas bonus, and I was wondering whether I should spend it on buying PPC traffic to build myself a big list that I can leverage over time. That is why I am asking: so as to make a comparison of different strategies. I am not being nosy for the sake of it.
#2009 #list #worth
  • Profile picture of the author butters
    If your list makes 1 buck per subscriber and consistently shows that then its probably the same as a website, times it by 8 months and thats how much it is worth. If it isn't consistent 1 dollar a month then I don't know, thats how I would guestimate what a value of a list is worth.
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  • Profile picture of the author Sparhawke
    A list or subscriber stream is worth absolutely nothing until someone actually buys a product.

    You could have the biggest list in the world but if no one buys anything you are wasting your time if you cannot figure out how to market that list to someone who might want to buy.

    First figure out who you want to sell your list to, and then start looking around for similar deals that have been closed and go from there.

    Simply put, you should never base your results on the results of others absolutely, but simply use them as a guideline only.
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  • Profile picture of the author petelta
    [QUOTE=JK Nyerere;1533807]
    This also helped me understand why so many gurus I have subscribed to only rarely send me offers. (Phil Wiley, John Reese etc)
    [QUOTE]

    They don't have to send too many offers...you already know their stuff works. There is no need to build a relationship so no need to lose subscribers with over doing it.

    The $1/month per subscriber depends on niches, your emails, etc. Just because there is 100k on a list doesn't guarantee anything.

    What are your conversion rates now on your list? If you are getting good conversions on automation then use that PPC and build a bigger list. If you have a crap load of people on your list but only make 20 bucks a month from it, don't waste your money. Focus on making your list better.
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  • Profile picture of the author Zeus66
    There are at least 2 big differences between that $25,000 per month from a list vs. $25,000 from Adsense (or any other website-based income stream that relies on organic search engine traffic)...

    1. With a list, your business is not at the mercy of the ever-changing whims of Google.

    2. A good offer + squeeze page will often convert 50% or more of your traffic into list subscribers. Offer something free and it takes all the pressure off of needing tons of traffic.

    I'm into Adsense. I have been since it came out back in 2003. I'm not knocking it for a second. It has paid my bills for years now. What I'm saying is that I'd give anything to be able to go back in time to 2003 and put the same amount of effort I expended on Adsense into building lists. I'd be wealthier and have a more sustainable business today.... by far.

    John
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  • Profile picture of the author rickkettner
    I think it's fair to say your business will profit around $1 per month from each subscriber, but that isn't to say it will last forever. Especially if you use single opt-in... that list is going to lose a lot of value over time. Double Opt-In has a much longer life expectancy, but can still lose momentum after six+ years.

    It's all about continuing to provide value, maintaining a relationship with those prospects, and promoting relevant products. Do surveys, conduct ask campaigns, and figure out exactly what they want to buy from you... then deliver great products to keep them coming back.
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  • Profile picture of the author activetrader
    It depends on your list, on how you are building it, on who joins your list, on which niche your list is in, and many other variables. If you have a decent list that buys, this saves you during the down time or when you really need to raise money fast
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