Even if you hit the numbers in the previous issue, sponsorships might not be the right monetization strategy for you. There are two other major ways to monetize your audience….here they are:
This is when your audience pays you directly for access to premium content.
When this makes sense:
Your audience has paying capacity, i.e. they can afford $5-20/month
You create content that has high individual value. Eg - deep insights, proprietary research, tactical advice people can't get elsewhere
You have a bigger overall audience because typically only 2-5% of your free audience will convert to paid
Examples:
A fintech newsletter that breaks down investing strategies for high earners
A podcast that does deep-dives into industry trends for professionals
A niche analysis newsletter that saves subscribers hours of research
The trade-off: You need to consistently deliver premium value. If you can't, subscribers churn. And you need volume, because even with great conversion, a 5K list might only get you 100-250 paid subscribers.
Option 2: Digital Products
This is when you package your expertise into something your audience can buy once:
a course,
a template,
a guide,
a toolkit.
When this makes sense:
You have specific expertise your audience wants to learn or use
Your content naturally leads to a "what do I do with this?" moment
You're willing to put in upfront work to create and sell the product
Examples:
A marketing newsletter that sells a cold email template library
A productivity podcast that sells a Notion course
A creator-focused newsletter that sells a sponsorship pitch template pack
The trade-off: You have to build, launch, and market the product. It's more work upfront, but the margins are better than sponsorships (you keep 100% of revenue minus platform fees).
Option 3: Sponsorships
This is when brands pay you to reach your audience.
When this makes sense:
You've hit the baseline numbers
Your audience trusts your recommendations
Your niche attracts brands with budgets (B2B, finance, tech, productivity, e-commerce)
You're comfortable integrating brands into your content in a way that feels natural
The trade-off: You have to find sponsors, negotiate deals, and execute placements. And you're dependent on external revenue.
So, Which Path Should You Choose?
Here's a simple decision tree:
Choose paid content if:
You consistently create high-value, differentiated content
Your audience has demonstrated willingness to pay (replies like "I'd pay for this")
You want recurring, predictable revenue
You have a large enough audience to make 2-5% conversion meaningful
Choose digital products if:
You have a specific skill or system your audience wants
You're willing to invest time upfront to create and launch
You want ownership and control over your revenue
You're comfortable with the marketing and sales process
Choose sponsorships if:
The other two don't align with your content or audience
You have the baseline numbers and engagement
Your audience trusts your recommendations
You're in a niche where brands are actively spending
Most creators will eventually do more than one. But early on, pick the path that feels most natural. Don't force sponsorships just because you see others doing it.
The Bottom Line
Sponsorships can be great. But they're not the default. And they're definitely not the move if you're too early.
If you're under the baseline numbers, focus on growth. If you're above them, think carefully about whether sponsorships are actually the best way to monetise, or if paid content or digital products would serve you (and your audience) better.
Sponsorships are relationships, not transactions. And relationships only work when you're coming from a place of strength, not desperation.
In the next post, we'll break down exactly how to price sponsorships once you've decided they're the right path.