Latest / The Newsletter Podcast with Fexingo: Substack, Beehiiv, and Email Newsletter Business / How Newsletters Use Welcome Sequences to Grow Revenue
Transcript
- Lucas: Luna, I was looking at Beehiiv's 2025 benchmark report last week, and one number jumped out at me: newsletters that send a welcome sequence of three or more emails see paid conversion rates thirty to forty percent higher than those that send just one welcome email. Luna: That's a big gap. And I bet most writers are still in the one-email camp. Lucas: Exactly. Most people put all their effort into the first email — the 'thanks for subscribing, here's a link to my best post' email — and then they go silent until the next regular issue. But that's a missed opportunity, because the moment someone subscribes is when their attention is highest. They literally just opted in. They're curious about you. Luna: So you're saying we should bombard them before they lose interest? Lucas: Not bombard — sequence. The key is to deliver value in a deliberate order. I've seen this work really well for newsletters like 'The Profile' by Polina Marinova Pompliano. She sends a three-email welcome flow: first, a personal note about why she started the newsletter and what readers can expect. Second, a curated set of her most popular issues. Third, an invitation to upgrade to paid with a clear benefit. Luna: And that third email is where the conversion happens. She's not asking for money on day one. Lucas: Right. She builds trust first. And that's the pattern for any newsletter: educate, demonstrate value, then ask. The mistake most writers make is they either ask too soon or never ask at all. Luna: What about the risk of annoying people? If I subscribe to a newsletter and suddenly I'm getting five emails in a week, I might unsubscribe. Lucas: It's a valid concern, but the data suggests that if your content is good, people actually appreciate the onboarding. The open rates on welcome sequences are typically higher than regular issues — sometimes seventy to eighty percent for the first email. And unsubscribes are usually under two percent. The bigger risk is never giving them a reason to open a second email. Luna: So what's the optimal number? Three, five, seven emails? Lucas: The Beehiiv benchmark says three to five is the sweet spot. More than five and you start to see diminishing returns. But the structure matters more than the count. Every email should have a single job: first email introduces the writer's voice and sets expectations. Second email delivers high-value content — usually a roundup of past hits. Third email makes the paid offer, ideally with a testimonial or social proof. Luna: And then you can add a fourth or fifth if you have a specific lead magnet or a time-sensitive discount. Lucas: Exactly. 'Morning Brew' does this really well. Their welcome sequence is five emails, but each one is short and punchy. The first email is just a warm greeting and a GIF. The second email explains the newsletter's format. The third email highlights their most popular story. The fourth email introduces their social channels. The fifth email asks for a referral. Luna: Wait, they don't ask for paid conversion in the welcome sequence? Lucas: No, because 'Morning Brew' is ad-supported, not paid. But the principle still applies: they're shaping the reader's habit. By day five, the subscriber knows exactly what to expect and when. That consistency is what keeps them opening. Luna: And if you're a paid newsletter on Substack, you'd want to slot a conversion email somewhere in that sequence, probably around email three. Lucas: Right. And you can use the welcome sequence to segment your audience too. If someone clicks on the paid link but doesn't convert, you can tag them as 'interested' and send a follow-up sequence later. If they never open past email one, you might send a re-engagement campaign. Luna: That's smart. So the welcome sequence isn't just a set of emails — it's the foundation of your entire email marketing strategy. Lucas: It really is. And the best part is, it's a one-time setup. Once you write those three to five emails, they run on autopilot forever. For most newsletter writers, that's the highest-leverage hour they can spend. Luna: And speaking of high-leverage hours — this is the kind of practical insight that makes these conversations worth having. If you've gotten something useful out of this podcast, a couple of dollars a month is genuinely what keeps these episodes going. You can support the show at buy me a coffee dot com slash fexingo. Lucas: Yeah, it's a small thing that makes a big difference. We keep the podcast ad-free and focused on actionable tactics, and listener support is what allows that. Luna: Alright, back to welcome sequences. Lucas, you mentioned that the first email sets expectations. What exactly should that first email include? Lucas: The first email should answer three questions: Who are you? What will I get? How often will I hear from you? Keep it warm and personal. Polina from 'The Profile' starts with a photo of herself and a short story about why she started the newsletter. It's not a sales pitch — it's a handshake. Luna: And the second email — the value email — should be your greatest hits, right? Lucas: Exactly. But don't just dump links. Curate three to five of your best posts, and for each one, write a sentence about why it's worth reading. This email proves to the subscriber that you consistently deliver high-quality content. Luna: And the third email is the ask. But how do you make the ask without sounding desperate? Lucas: You frame it as an invitation, not a pitch. Say something like: 'If you've enjoyed these emails, consider upgrading to paid for exclusive deep dives twice a month. Your support keeps this newsletter independent and ad-free.' Then include a testimonial from a current paid subscriber. Social proof is huge here. Luna: I've also seen writers use a limited-time discount in the third email, like twenty percent off for the first month. Lucas: That can work, but be careful. Discounts can devalue your offer if you use them too often. I'd reserve them for special occasions or as a test to see if price sensitivity is the barrier. For most newsletters, the problem isn't the price — it's that the reader hasn't seen enough value yet. Luna: So the welcome sequence buys you time to demonstrate that value. Lucas: Exactly. And one more thing: you should track the performance of each email in the sequence. Look at open rates, click-through rates, and conversion rates for each step. If email two has a low click rate, maybe your curation isn't compelling enough. If email three has a low conversion rate, maybe your offer or your social proof needs work. Luna: That's the data-driven approach. And for writers who are just starting out, how long should they wait before setting up a welcome sequence? Lucas: I'd say as soon as you have three to five pieces of content you're proud of, you can write the sequence. You don't need a huge archive. In fact, a welcome sequence can help you figure out what your best content is — because you'll see which links get the most clicks. Luna: So it's both a growth tool and a research tool. Lucas: Exactly. And the beauty is, once it's set up, it works for you 24/7. Every new subscriber gets the same thoughtful onboarding, regardless of when they join. That consistency builds trust and, ultimately, revenue. Luna: I think a lot of writers overlook this because they're focused on the next issue, not the onboarding flow. But this might be the single highest roi email you'll ever write. Lucas: I'd agree. If you're running a newsletter and you haven't set up a welcome sequence yet, that's the one thing I'd recommend you do this week. Three emails, clear purpose each time, and you'll see the difference within a month. Luna: Great advice. And for listeners who want to dig deeper, we'll link to the Beehiiv benchmark report and a template for welcome sequences in the show notes. Lucas: Sounds good. That's all for today. Thanks for listening. Luna: See you next time.