Latest / The Newsletter Podcast with Fexingo: Substack, Beehiiv, and Email Newsletter Business / How Newsletters Build Sponsorship Packages That Advertisers Love
Transcript
- Lucas: You run a newsletter with fifteen thousand subscribers. An advertiser emails you — 'Hey, what's your media kit?' You send them a PDF with a logo, a subscriber count, and a flat rate of two thousand dollars per send. And you wonder why they ghost you. Luna: That happens more often than you'd think. I've seen newsletters with great content but terrible sponsorship packaging. Lucas: Right. And the thing is, advertisers don't just buy a subscriber list. They buy attention, trust, and a specific audience. Your sponsorship package needs to reflect that. Today we're going to walk through exactly what makes a sponsorship package that advertisers actually want to say yes to. Luna: Let's start with the basics. What's the first thing a sponsor looks at? Lucas: It's not the subscriber count. It's the open rate. That's the number that tells them how engaged your audience is. A newsletter with ten thousand subscribers and a fifty percent open rate is more valuable than one with fifty thousand subscribers and a twenty percent open rate. The engaged audience actually reads the ad. Luna: And click-through rates too. Although for brand awareness campaigns, open rate is key. But if they want direct response, they'll look at CTR. Lucas: Exactly. So your media kit should prominently display your average open rate, click-through rate, and maybe even a benchmark comparison. For example, the industry average for newsletters is around twenty to twenty-five percent open rate. If you're at forty percent, that's a selling point. Luna: What about audience demographics? I think that's underutilized. Lucas: Huge. Advertisers want to know who they're reaching. Age range, income level, job titles, industries — if you can segment that data, include it. Morning Brew famously built a media kit that highlighted their reader's average age being twenty-seven, with eighty percent in professional roles. That's gold for recruiters or B2B software companies. Luna: And they also included psychographic data. Like interests, reading habits. That helps sponsors feel the audience is a good fit. Lucas: Right. Now let's talk pricing. A flat fee per send is the most common, but it's not necessarily the most effective. You should offer multiple tiers. A standard sponsorship — just a banner or a mention. A premium sponsorship — includes a dedicated email or a sponsored section. And maybe a custom sponsorship — like a co-branded report or a survey. Luna: How do you price these tiers? Is there a formula? Lucas: A common rule of thumb is to charge between twenty to fifty dollars per thousand subscribers per send. But it depends on your engagement. If your open rate is high, you can charge a premium. Also consider your niche. A finance newsletter can charge more than a general interest one because the audience has higher purchasing power. Luna: So a ten thousand subscriber finance newsletter with a forty-five percent open rate could charge maybe five hundred to a thousand dollars per send? Lucas: Easily. And if they offer a sponsored section with a custom survey, they could charge two thousand or more. The key is to justify the price with metrics. Show them the cost per thousand impressions compared to display ads. A newsletter CPM might be thirty to fifty dollars, while digital display ads might be five to ten. But the newsletter attention is much higher. Luna: I've seen some newsletters include case studies from past sponsors. That seems powerful. Lucas: Absolutely. If you have a sponsor who saw a measurable result — like a spike in sign-ups or sales — include that as a testimonial. It builds trust. For example, a newsletter in the marketing space might say: 'Our sponsored post for ToolX drove 200 new sign-ups in 24 hours.' That's concrete proof. Luna: But you need to ask permission first. And maybe even get a quote. Lucas: Right, always. Now let's talk about format. A media kit shouldn't be a text-only PDF. It should be visual. Include your logo, a sample newsletter layout, maybe a screenshot of an open rate graph. Keep it to one or two pages. Advertisers are busy. Luna: And make sure it's easy to navigate. A clear table of contents or sections. Lucas: Yes. Also, include a cover letter or an introduction. Who you are, what your newsletter covers, why you started it. That personal touch can differentiate you from other newsletters. Luna: What about availability? How many sponsors do you take per issue? Lucas: That's important. If you only have one sponsor slot per week, say that. Scarcity can increase demand. But be honest. If you overbook, you'll burn trust. Luna: And you should also specify what's included. Like is it a native mention, a banner ad, a sponsored section? Each has different value. Lucas: Exactly. And consider offering a sponsorship package that includes social media promotion or a mention in your podcast if you have one. That adds value. Luna: I've also seen newsletters offer sponsored data or research. Like if you run a survey, you can sell the results as a report sponsored by a company. Lucas: That's a great idea. It positions you as an authority and gives the sponsor something unique. Luna: Okay, so we've covered the components. But what are common mistakes? Lucas: One big mistake is not updating your media kit regularly. If your subscriber count grew, update it. If you have new metrics, add them. Another mistake is not tailoring the pitch to each advertiser. Sending the same generic kit to everyone is lazy. Show them why their brand specifically fits with your audience. Luna: And pricing too low. Many creators underprice because they're afraid of rejection. Lucas: That's true. But if you have the metrics to back it up, don't undervalue yourself. Start higher than you think. You can always negotiate down, but you can't negotiate up. Luna: Another mistake is not having a clear call to action. What do you want the advertiser to do next? Book a call? Email you? Make it easy. Lucas: Right. Include a link to your calendar or a simple 'Reply to this email to discuss.' The easier you make it, the more likely they'll take the next step. Luna: Let's talk about a real example. There's a newsletter called 'The Sample' that does a great job with their sponsorship page. Lucas: I've seen that. They have a dedicated page on their site with all the details. Subscriber count, open rate, audience demographics, past sponsors, and pricing. It's transparent and professional. Luna: And they have a testimonial from a sponsor that says they got a 4x return on investment. That's powerful social proof. Lucas: Exactly. So if you're a newsletter operator, take the time to build a proper sponsorship package. It's not just about the money — it's about building relationships with brands that can become long-term partners. Luna: And it can also lead to other opportunities, like affiliate deals or joint ventures. Lucas: Absolutely. Now, I want to be honest with you. Building these episodes takes research and time. And if today's conversation sparked an idea or helped you in any way, that's exactly why we do this. If it felt worth a coffee to you, there's a link in the show notes — buy me a coffee dot com slash fexingo. That's the only ask we make. No pressure. Luna: Yeah, it's a simple way to support the show and keep these conversations ad-free. We really appreciate it. Lucas: Alright, back to it. So once you have your sponsorship package ready, how do you actually find advertisers? That's the next piece. Luna: I assume cold outreach is one way. But you can also use sponsorship marketplaces like SponsorshipKit or Connect with Your Audience. Lucas: Right. Or you can look at brands that advertise in similar newsletters and pitch them directly. Another approach is to create a 'sponsor this issue' page on your site that people can find organically. Luna: And don't forget about your own network. Sometimes the best sponsors come from readers who work at companies. Lucas: Yes. Mention in your newsletter that you're open to sponsorships. You'd be surprised how many readers have a budget for that. Luna: One thing I always advise is to start with a smaller sponsor that you can deliver a great result for. That case study will help you land bigger ones. Lucas: Exactly. Build a track record. And once you have a few successful campaigns, you can increase your rates. Luna: So to sum up, a great sponsorship package includes: clear metrics, audience demographics, multiple pricing tiers, case studies, and a simple call to action. Lucas: And it should be updated regularly, tailored to each advertiser, and priced confidently. If you do that, you'll turn your newsletter into a revenue machine that advertisers love. Luna: That's a good note to end on. Thanks for listening, everyone. Lucas: See you next time.