Craft Chat Not Quite a Pyramid Scheme

[BrianY]

I have noticed a sharp increase personal replies to my pitches and proposals. Not because they're better in some way, but rather, because these agents and editors want me to buy subscriptions to their Substack pages. I'm reminded of the days when people would pollute every conversation with pleas to join the "downline" (or whatever they called it) for one of those multi-level marketing schemes.

These sorts of sales pitches make me ask what I'm paying for. As a subscriber, do I have more access? Am I more likely to make a deal? It reeks of sleaze.

After all, how many agent, editor, or even writer newsletters can I read? Do I need to read about the deals made by agents who never had any intention of repping me, but are happy that they've gotten a few bucks from me?

Is Substack anything more than a shakedown? Is there any potential at all?

 

[Sedayne]

I find myself subscribed to a few Substacks but just the free versions. I can't remember how or why I came to be signed up to them. They are mildly interesting, but I haven't been tempted to fork out for any paid content because I'd rather be writing than wasting my time reading endless blogs by people I don't know and am not especially interested in.
It's never occurred to me that it might be some kind of scam. I've always taken Substack to be what it says it is - a bit of free content and more for those who pay to subscribe.
I'd be interested to know if those who do have paid subscriptions feel they get any value.

 

[BrianY]

I'm confident that it didn't start out as a scam, it's just wound up that way. I've paid for only one - supposedly for cookbook writers - but it turned out to be nothing more than another "how to break in." Those are thick on the ground and not what I was looking for.

 

[AgentPete]

Substack is a losing proposition for most writers, and it’s concerning to see editors (jeez!) flocking there.

According to Financial Times estimates, the fees actually total something closer to 20.7% of your revenue. That means if you made $60,000, your earnings would be closer to $47,580—before taxes. Federal and state tax rates vary, but assuming an average rate of 27%, you’re ultimately looking at $34,733 in take home pay, a far cry from that initial $60,000.
...
The bottom line
As is the case with social media platforms like TikTok or YouTube, if you can’t build an audience on Substack, you won’t make a lot of money. To really make a living off of a newsletter, you’d need to shoot for around 500 paid subscribers you can keep on the hook for their $5 per month by offering them frequent, original content. Given that Substack estimates only 5-10% of a newsletter’s readership will be paid subscribers, that means you’ll need actually need a readership base that’s closer to 10,000 people.
- Lifehacker

I also think we’re reaching saturation point (or did reach it some time ago) for many subscription-based models. People do not have infinite pockets.

 

[Sedayne]

People do not have infinite pockets

nor infinite time to get value from what they've paid for.
And people are already getting fed up.

This just makes me think what a great model the Litopia Author Platform is for writers and readers. Flexible, individual yet united, connected. And no whiff of anything scammy.