Email Platform Subscription Model

Noah Kagan discusses disrupting the email marketing industry by making email sending free and monetizing through other means, similar to Substack's model. The business focuses on serving specific creator audiences like YouTubers and podcasters.

Key Points:

  • Core Business Model:

    • Make email sending free or very low cost
    • Generate revenue through subscription features rather than charging for email sends
    • Target cost is around $0.0002 per email send
  • Target Market Focus:

    • YouTubers
    • Podcasters
    • Content creators who aren't utilizing email effectively
  • Key Features:

    • Built-in referral engine system
      • Similar to Morning Brew and Hustle's referral programs
      • Available to all users for free
    • Smart Campaigns
      • Pulls in social information
      • Recommends top 3 things to email audience weekly
      • Helps maintain consistent weekly sending
  • Team Structure:

    • Small team of about 6 people:
      • 2 developers
      • 1 designer
      • 1 GM
      • Support staff
  • Competitive Advantage:

    • Traditional email platforms make money from inactive subscribers
    • This model encourages actual email usage and engagement
    • Focus on helping creators maintain consistent communication with their audience
NK

Noah Kagan

Launched AppSumo, a daily deals website for digital products, which now generates $100 million annually.

Former Facebook employee who played a key role in growing the platform's user base before departing in 2005.

Hosts the popular podcast "Noah Kagan Presents" and authored "Million Dollar Weekend," sharing insights on rapid business growth.

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