What Is Substack? The CEO’s Guide to Revenue & B2B Growth (2025)

Introduction

Everyone tells you that “email marketing is king.” They’re right. But most business owners are stuck on rigid platforms like Mailchimp or HubSpot, paying high monthly fees just to send emails that end up in the Promotions tab.

Enter Substack.

Originally built for independent writers, Substack has quietly become the most powerful lead-nurturing engine for B2B founders and startups. Why? Because it combines a blog, a newsletter, and a payment system into one clean interface that Google loves to rank.

But here is the problem: Most founders are too busy to write.

If you are a business owner looking to own your audience rather than renting it from LinkedIn or Facebook, this guide will show you how to use Substack as a Client Acquisition Asset, not just a blog.

⚠️ Editor’s Note for Busy Founders:

Already know you need a newsletter to nurture leads, but don’t have 5 hours a week to write it?

At SalesNanny, we build, write, and manage high-converting Substack publications for B2B brands. We handle the strategy, content, and growth; you own the email list.

See Our Content Growth Packages

What Is Substack?

Substack is a newsletter platform that combines email marketing, content publishing, and subscription management into one simple system. Think of it as a cross between a blog, an email list, and a membership site.

For a business, it solves three major problems:

1. Deliverability: Substack emails hit the “Primary” inbox more often than legacy marketing tools.
2. SEO: Every email you send is also published as a blog post that ranks on Google (AEO friendly).
3. Simplicity: No complex drag-and-drop builders. Just writing and sending.

How Substack Works

For Writers:

• Create and publish newsletter content directly on the platform
• Build an email subscriber list automatically
• Set up paid subscriptions with built-in payment processing
• Engage with readers through comments and discussions

For Readers:

• Subscribe to newsletters for free or pay for premium content
• Receive content directly in their email inbox
• Access archived content through the Substack website or app
• Participate in community discussions

What Makes Substack Different

Unlike traditional email marketing platforms or blogging sites, Substack is specifically designed for monetization through subscriptions. On Substack, creators earn a living doing what they love. Getting started is easy. Set up paid subscriptions in just a few minutes.

Key Differentiators:

• Built-in payment processing – No need for separate payment systems
• Direct reader relationships – You own your subscriber list
• Discovery features – Substack’s recommendation engine helps grow your audience
• Mobile app – Readers can access content through Substack’s dedicated app
• Community features – Comments, discussions, and networking opportunities

Substack’s Business Model

Substack takes a 10% fee from paid subscriptions (plus payment processing fees), which means they’re incentivized to help you succeed. Free newsletters cost nothing to run, making it risk-free to start building an audience.

The Revenue Model: How Businesses Actually Make Money on Substack

Most “gurus” tell you to charge $5/month for your newsletter. If you are a B2B service provider or SaaS, this is terrible advice.

You don’t want “pocket change.” You want high-ticket clients.

Here are the 7 proven strategies to monetize Substack, ranked by ROI for Businesses.

Strategy 1: The “Lead Gen” Model (Best for Agencies & SaaS)

If you run an agency, SaaS, or service business, do NOT charge $5/month for your newsletter. That is pennies compared to what your actual service is worth.

Instead, keep your Substack free.

Use the newsletter to demonstrate your expertise, share case studies, and build trust. Then, place a “High Ticket” Call-to-Action (CTA) in the footer of every email.

• The Math: If you have 500 subscribers and 1 of them books a $2,500/month retainer with you, your newsletter just made you $30,000/year.
• Compare that to Paid Subs: To make $30k with a $5 subscription, you would need 500 paying members (which usually requires 10,000+ free readers).

The Verdict: For businesses, the real money is in the backend sales, not the subscription fee.

Strategy 2: Sponsored Content (The “Media” Play)

Once your list grows (2,000+ subscribers), other companies will pay to reach your audience.

• Newsletter sponsorships: Companies pay for a dedicated shoutout in your intro.
• Pricing: For a targeted B2B list, you can charge $200-$500 per email, adding a nice revenue stream on top of your client work.

Strategy 3: Digital Products & Templates

Since your readers trust your expertise, sell them the “DIY” version of what you do.

• Examples: Industry reports, SOP templates, or “How-To” guides.
• Price Point: $49 – $149.
• Why it works: It captures the people who can’t afford your high-ticket service yet but still want to pay you.

Strategy 4: Affiliate Marketing (Software Recommendations)

As an expert, people trust your tools. Promote the software you actually use (CRMs, SEO tools, Hosting) and earn recurring commissions.

• Best Practice: Only recommend tools you use daily. Trust is your currency.

Strategy 5: Consulting & “Office Hours”

Use the Substack “Paid Tier” not for content, but for Access.

• Free Tier: Gets the weekly newsletter.
• Paid Tier ($50/mo): Gets access to a monthly “Open Office Hour” Q&A call with you. This allows you to monetize your time without doing full 1-on-1 consulting.

Strategy 6: Private Communities

Substack allows you to create “Subscriber Only” chat threads. You can use this to build a private mastermind network for your paid subscribers, adding value beyond just the text in the email.

Strategy 7: Event Fillers

If you host webinars or live events, your Substack list is your “Guaranteed Attendance” insurance. An engaged email list converts to webinar signups 10x better than LinkedIn ads.

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Setting Up Your Substack for Success (The 80/20 Rule)

1. Choose a “Pain-Killer” Topic

Don’t write about “General Marketing.” Write about specific pains.

• Bad: “Digital Marketing Tips”
• Good: “How to Lower Customer Acquisition Costs for SaaS Founders”

2. The Content Mix

• 80% Value: Educational, entertaining, or inspirational content with no hard pitch.
• 20% Offer: Client wins and success stories that prove your agency gets results, followed by a “Book a Call” link.

3. Consistency is the Algorithm

The only way email works is if you show up. You need to publish weekly. If you miss a week, your open rates drop, and your audience forgets you.

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Final Thoughts: Who Should Manage Your Substack?

Substack is technically easy to set up, but operationally hard to maintain. Writing high-quality B2B content takes time—time you should probably spend closing deals or building your product.

You have two choices:

1. The DIY Route: Block out 4 hours every Sunday to write, edit, and format your post.
2. The “Fractional Team” Route: Hire a dedicated team to run it for you.

At SalesNanny, we turn Substack into a revenue engine. We interview you for 20 minutes, then our team writes, designs, and publishes the newsletter for you. You get the authority; we do the work.

Book a Growth Call and start building your audience today.

Frequently Asked Questions

Q1: How much money can I realistically make on Substack?

Your earning potential depends on audience size, pricing, and engagement. Thousands of writers get paid and the top 10 authors on Substack collectively make $25 million annually, but realistic expectations for new creators are:

• Months 1-6: $0-500/month while building audience
• Months 6-12: $500-2,500/month with consistent publishing
• Year 2+: $2,500-10,000+/month with established audience and multiple revenue streams

Success factors include niche selection, content quality, consistency, and audience engagement rather than just subscriber numbers.

Q2: How many subscribers do I need before going paid?

Most successful creators recommend having 500-1,000 engaged free subscribers before launching paid tiers. This ensures you have a solid foundation of readers who value your content and are more likely to convert to paid subscriptions.

However, the quality of engagement matters more than raw numbers. 500 highly engaged subscribers in a valuable niche can convert better than 2,000 casual subscribers.

Q3: What’s the best pricing for a paid Substack?

Writers can set 3 pricing tiers for paid publications: monthly, annual, and founding member tiers. Recommended pricing:

• Monthly: $10-25 (depending on niche and value provided)
• Annual: 15-25% discount from monthly rate
• Founding Member: $500-2,000 for premium access

Price based on the value you provide, not the time you spend creating content. Business and professional newsletters can command higher prices than general interest topics.

Q4: How often should I publish my newsletter?

Consistency matters more than frequency. Most successful newsletters publish:

• Weekly: Most common and sustainable for quality content
• Bi-weekly: Good for in-depth, research-heavy content
• Daily: Only if you can maintain quality and have news-worthy content
• Monthly: Minimum frequency to maintain engagement

Choose a schedule you can maintain long-term. It’s better to publish weekly consistently than daily sporadically.

Q5: Can I make money with a free newsletter?

Yes! These include sponsorships, affiliate marketing, selling digital products, and creating a paid community. Free newsletter monetization strategies include:

• Sponsorships and advertising – Companies pay for exposure to your audience
• Affiliate marketing – Earn commissions promoting relevant products
• Product sales – Sell courses, ebooks, templates, consulting
• Service promotion – Use the newsletter to attract consulting or service clients

Free newsletters can be highly profitable with the right monetization approach.

Q6: How do I grow my Substack subscriber list?

Multi-platform growth strategy:

• Content marketing on social media (LinkedIn, Twitter, Instagram)
• Guest appearances on podcasts and other newsletters
• SEO optimization – Substack posts rank well in search engines
• Referral programs – Incentivise existing subscribers to share
• Cross-promotion with other newsletter creators
• Free resources as lead magnets to attract subscribers

Focus on providing value consistently rather than growth hacks. Sustainable growth comes from satisfied subscribers who naturally share your content.

Q7: What topics work best on Substack?

High-performing categories:

• Business and entrepreneurship – Strategy, leadership, startup insights
• Technology and AI – Industry analysis, tool reviews, trends
• Marketing and growth – Tactics, case studies, tool recommendations
• Personal finance – Investment strategies, market analysis
• Industry expertise – Niche professional insights

The key is matching your expertise with market demand. Choose topics where you have genuine knowledge and passion, and where people actively seek premium insights.

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