The platform Substack, once considered a frontrunner in the newsletter space, is experiencing a notable decline in the number of writers opting for it, with many transitioning to alternative platforms that provide them with more control and flexibility. Last month, The Ankler, one of the most popular publications on Substack, announced its move to a new platform that offers greater control over its content.
This shift is occurring against a backdrop of growing complaints from writers regarding Substack's increasing focus on social features and a pricing model that burdens them. Many writers who left the platform over the past year expressed dissatisfaction with these trends, prompting them to seek more suitable alternatives.
Details of the Transition
Sean Hyken, founder of the sports newsletter The Rose Garden Report, stated that he has achieved "much greater profits" after moving from Substack to the Ghost platform last April. He notes that after a period of growth supported by Substack, the support ceased when he was no longer considered one of the "new talents," leading to stagnation in his growth. Now, Hyken pays approximately $2,052 annually on Ghost, compared to $4,968 on Substack, and his subscriber base has increased by 22% since the end of 2024.
A similar experience was shared by Matt Brown, founder of Extra Points, who transitioned to the Beehiiv platform in 2021, saving him thousands of dollars annually. Brown mentioned that he would have had to pay over $25,000 annually for Substack, while he now pays around $3,000 for Beehiiv.
Background & Context
Substack was founded in 2017 as a platform that allows writers to create their own newsletters and manage paid subscribers. However, it takes a 10% cut of total subscription revenue, which may seem insignificant at first but increases significantly with the number of subscribers. For instance, if a newsletter charges $10 monthly with 400 subscribers, the monthly cost reaches $636, while it escalates to $79,500 monthly with 50,000 subscribers.
In contrast, many competing platforms like Ghost and Beehiiv offer more flexible pricing models, charging flat rates instead of commissions. Ghost's fees start at $15 monthly for 1,000 subscribers, while Beehiiv is free up to 2,500 subscribers.
Impact & Consequences
These transitions indicate that writers are beginning to reassess their options, seeking platforms that grant them more control over their content and relationships with their audience. Moving to platforms like Ghost and Beehiiv reflects writers' desire to distance themselves from the closed systems imposed by Substack, which may negatively affect their growth. This phenomenon is seen as a sign of a shift in the newsletter landscape, where Substack may become a launching pad for publications rather than a permanent home. As more writers transition to other platforms, Substack may face greater challenges in attracting new writers.
Regional Significance
This trend highlights the changes in the newsletter landscape, affecting how writers interact with their audiences. The migration of writers to platforms that offer better terms and conditions could reshape the dynamics of content creation and distribution in the digital age. As the competition intensifies, platforms will need to adapt to retain their user base and attract new talent.
In conclusion, the ongoing shift of writers from Substack to alternative platforms underscores a significant evolution in the newsletter industry, emphasizing the importance of flexibility and control for content creators.