This State of the Business Report, in partnership with Marigold, shares how publishers and media corporations are rising their subscriber bases, from the methods they use and the challenges they face to how groups efficiently overcome them.
Publishers have a wealth of information from their viewers and subscribers, however as promoting fashions shift with financial uncertainty and the rise of AI, the problem of turning that knowledge into sustainable income is forcing them to rethink how they function and obtain long-term development.
From electronic mail methods and personalization instruments to cross-channel experiences and retention campaigns, publishers are experimenting with new methods to construct and monetize their audiences. Because the market evolves, so do the ways, applied sciences and groups driving outcomes. Nonetheless, challenges additionally proliferate.
On this State of the Business report, Digiday and Marigold surveyed 110 publishers and media corporations about how they’re rising their subscriber base, the instruments they’re utilizing to energy engagement efforts, how these methods contribute to income development and the challenges they encounter alongside the way in which.
01
Funds and departments
The vast majority of respondents (87%) stated they’ve elevated subscriber engagement budgets over the previous 12 months, whereas solely 3% stated they’ve seen a decline.
This elevated funds signifies a robust effort amongst publishers to enhance subscriber engagement.
The survey discovered that subscriber development efforts are primarily attributable to both knowledge and analytics or subscription and buyer expertise (61% mixed), with solely 14% of respondents having stated it’s a cross-department initiative.
The information reveals a transparent shift in how media corporations method subscriber development. It’s more and more led by knowledge and analytics groups (39%) and subscription or buyer expertise departments (22%). This indicators a broader pattern that development is not nearly advertising and marketing campaigns; it’s pushed by insights, experimentation and long-term worth supply. Whereas conventional income groups play a smaller function, the emphasis is shifting towards cross-functional collaboration that brings product, buyer expertise and knowledge nearer to technique execution.
“What’s fascinating is that the product and platform workforce has hardly been chosen,” stated Nick Watson, vp of enterprise consulting at Marigold. “Whereas many conversion ways can happen via messaging channels resembling electronic mail and SMS, a major quantity of conversion occurs on-site and in-app whereas shoppers are studying or watching open or free content material.
“Working with media corporations, we see an in depth connection between subscription, knowledge and expertise groups, and the product or platform departments — seemingly represented by the 14% who chosen it as a cross-department initiative,” he continued. “In our opinion, that is the gold normal working mannequin. All groups must be targeted on buying and retaining subscribers, as this recurring income helps long-term planning and is much less vulnerable to market variations that may have an effect on advertiser-led gross sales.”
02
Knowledge assortment and ways
E mail newsletters, cell app engagement, social media and SMS are the first instruments publishers use to interact subscribers and construct loyalty. Every was chosen by greater than half of survey respondents, with electronic mail main at 78%, adopted carefully by cell engagement at 75%, social media at 72% and SMS at 55%. These channels type the muse of most subscriber methods. Extra advanced or resource-intensive ways like customized content material suggestions, cross-promotions, loyalty packages and paywalls are used much less extensively however provide alternatives for development and differentiation.
As subscriber engagement turns into extra fragmented throughout instruments and groups, some publishers are turning to community-building efforts as a solution to unify methods and foster deeper connections. These initiatives typically sit inside editorial or advertising and marketing groups and purpose to strengthen relationships throughout contact factors, deepen loyalty and help long-term retention. Whereas not but mainstream, group is rising as a helpful complement to conventional engagement ways.
Demographic knowledge, machine utilization and content material preferences are essentially the most generally collected subscriber knowledge factors, with every cited by greater than 60% of publishers. These align carefully with the most-used engagement channels: electronic mail, cell, social and SMS. E mail, particularly, gives robust indicators round content material pursuits and conduct over time.
Whereas solely 23% of respondents stated they acquire survey responses or user-submitted types explicitly, it’s seemingly that different knowledge varieties — resembling content material preferences, demographics and even contact data — are additionally being gathered immediately from customers. In that context, the function of zero-party knowledge is broader than it could seem. Whether or not it’s via quizzes, publication sign-ups, choice facilities or gated content material, user-submitted knowledge gives a transparent path to personalization that’s each clear and privacy-compliant. Recognizing and activating one of these user-submitted knowledge is vital to delivering the type of customized, privacy-conscious experiences right now’s audiences anticipate.
“You can all the time ask individuals another query once they’ve already engaged with one thing — stuffed out a type, responded to a ballot — after which you possibly can reward them in that second with a customized onward journey or an invite to an occasion they may discover fascinating,” stated Philippa Regulation, head of group at The Telegraph.
Calling again to the highest channels for partaking subscribers — electronic mail newsletters, cell apps and social media — all three echo the forms of knowledge and ways which were only for subscriber engagement, highlighting that publishers have been pretty aligned in approaches to subscriber engagement.
“Because of the direct and targeted nature of publication opt-ins at many media corporations, sometimes tied to a selected model or matter, it feels much less important to run onboarding questionnaires in comparison with different industries that want to know their shoppers rapidly to personalize experiences,” Watson stated. “I’m not notably shocked that media corporations aren’t utilizing onboarding surveys extensively. That stated, it’s nonetheless a helpful follow for them to leverage. Offering a survey through the onboarding expertise takes benefit of subscribers when they’re most actively engaged.
“All the time-on choice knowledge assortment via newsletters may very well be a robust different,” Watson continued. “Common prompts that collect pursuits or suggestions will help publishers study extra about their viewers over time and information readers towards different related content material or subscriptions. Providing a price trade, like reductions or prize attracts, can enhance participation.”
Utilizing self-reported knowledge successfully builds belief with and delivers worth to subscribers. When mixed with noticed conduct, it creates a clear motive to introduce readers to new areas of curiosity past the content material they sometimes devour. This helps break readers out of their content material echo chambers and encourages broader engagement. It’s additionally price noting that this richer viewers dataset has enormous potential in supporting higher concentrating on for advertisers, increased worth advertiser packages or increased CPMs for publishers, and, subsequently, gives much more motive to achieve a deeper viewers profile.
Relating to the e-mail ways publishers select for subscriber engagement, the survey outcomes present respondents are investing in automation, not iteration. Lifecycle emails are the highest performer, however the low use of A/B testing suggests many groups could also be leaving optimization on the desk.
03
Measurement and income
When reviewing publishers’ subscriber objectives, it’s not shocking that the survey revealed income, retention and conversions to be prime of thoughts.
Publishers’ most vital purpose associated to subscriptions, by a major margin, is diversifying income past promoting (72%), adopted by rising subscriber retention and lowering churn (58%) and driving conversions from free readers (50%) to spherical out the highest three.
As publishers search for more practical methods to extend retention, nurturing subscribers and audiences as a group is commonly a missed alternative.
“It’s primarily a retention play and holding onto that development when you’ve acquired it,” stated Regulation. “Our group options encourage deeper engagement with The Telegraph and stronger relationships between subscribers and journalists. Lots of our subscribers worth being surrounded by and validated by like-minded individuals, and having that validation offers them an actual sense of belonging and loyalty.”
But, Regulation famous, most publishers cease in need of constructing true group. “Publishers who allow readers to speak to journalists and one another don’t are inclined to go additional than opening their remark part,” she stated. “There’s little or no that I see on the market which will get individuals into organized teams for mutual help.”
This lack of structured group makes it more durable to construct the type of emotional connection that results in long-term loyalty. Publishers that wish to scale back churn ought to contemplate how even light-weight group options — like polls or Q&As — can foster deeper emotional ties, particularly once they give subscribers a voice and a way of belonging.
Survey respondents stated they use varied metrics to measure the effectiveness of their efforts to develop and have interaction their subscriber base. Most have seen development in income, retention and acquisition as essentially the most telling markers of success. The least-used metric is time spent or content material consumed, cited by simply 31% of respondents.
Almost 70% of respondents stated they’ve seen increased retention amongst present subscribers from their viewers engagement efforts. Half have seen enhanced promoting or sponsorship worth, and 35% have skilled development in paid subscriptions. Solely 5% stated they haven’t but seen any clear advantages.
Engagement metrics are solely as helpful because the outcomes they drive. Publishers who join engagement to income, retention and acquisition, moderately than counting on remoted indicators like time spent, will construct extra sustainable subscriber methods. This aligns with a lifecycle method that prioritizes long-term worth over short-term interplay.
An ongoing problem for publishers is driving income whereas lowering subscriber churn and enhancing engagement. Right now’s groups, nevertheless, additionally want to include new monetization strategies and determine easy methods to promote manufacturers and merchandise with out shedding the integrity of their model.
Whereas many income streams have been explored, Watson really useful that publishers keep as related as potential to the group’s core proposition. For purchasers, model advocates or content material shoppers, what drives loyalty is identical: authenticity, relevance, high quality and worth. When manufacturers create engagement and loyalty packages, it’s crucial to determine an emotional connection throughout all the buyer expertise. That is how media organizations ought to assume, extending that mindset to how they not solely purchase, but in addition retain their viewers.
“There’s a wonderful steadiness to strike between asking for cash to entry content material versus providing free editorial supported by advertisers, companions or associates,” Watson stated. “Whatever the method, being related, supporting content material discovery via personalization and conserving the consumer expertise front-and-center will all help income development. There’s a symbiotic relationship at play right here — the identical methods that scale back churn and enhance engagement additionally assist monetize the viewers. Because the survey discovered, extra engaged readers result in extra advert {dollars} and extra subscribers. That income, in flip, fuels higher content material and experiences.”
There’s a transparent prime 4 so far as the strategies respondents use to show subscriber engagement into income: rising advert income by enhancing engagement (70%), driving affiliate income via engaged content material (65%), providing unique content material for subscribers (52%) and bundling subscriptions with different providers or associate merchandise (41%).
Whereas half of the respondents stated they’ve the purpose of changing free readers, solely one-quarter stated they’re upselling these free customers to paid subscriptions, leaving a big chunk of free readers unaccounted for.
Watson agreed it was uncommon to see such a low proportion of publishers upselling free customers, particularly with income and conversions being such massive issues. Nonetheless, the caveat is that many organizations will not be distinguishing between paid and free subscription fashions.
“Plenty of media corporations solely require a sign-up to entry content material with out charging a price,” stated Watson. “So, the infrastructure to transform free customers into paying subscribers might not exist in any respect. Whether or not that modifications will depend upon the continued decline of advertiser income. If advert {dollars} proceed shrinking, many publishers should take a more in-depth have a look at paid fashions. We’ll seemingly see extra dynamic testing and experimentation throughout the board, and outcomes will range relying on the kind of writer, the content material they produce and the worth their audiences place on it.”
As publishers concentrate on enhancing engagement to extend income, some might look to additional construct out their group capabilities. Whereas many information suppliers use feedback beneath articles to deliver individuals collectively for a shared goal and communicate immediately with one another, which is important to group success, there’s potential for rather more.
“Though most readers like studying the feedback, the bulk don’t wish to truly publish something, and it’s all the time essentially the most engaged ones or essentially the most offended ones who wish to publish one thing,” stated Regulation at The Telegraph. “Having some different, light-touch means of collaborating to really feel such as you’re a part of one thing can also be actually vital for us. The massive one is polls — casting a vote, seeing how others have voted — as a result of we regularly discover that the outcomes of polls are at odds with what the commenters say.”
04
Challenges and ache factors
With the popular avenues publishers are taking to show engagement into income, some could also be inadvertently contributing to the challenges of subscriber development and retention. Specifically, efforts to create unique content material and enhance engagement, and finally enhance advert income, can rapidly turn out to be expensive, relying on the methods publishers select, whereas making ROI troublesome.
Almost three-quarters of survey respondents stated excessive acquisition prices make rising or retaining their subscribers troublesome. Round 50% wrestle with proving ROI, competing enterprise priorities and restricted inside assets — whether or not these are workers, technological or time-related.
“The easiest way to cut back acquisition prices is to enhance preliminary conversion and retention, each of which enhance buyer lifetime worth,” stated Watson. “When these metrics enhance, ROI turns into simpler to show and the relative value of acquisition decreases. From a retention standpoint, not solely does that scale back the variety of new subscribers it’s good to herald to offset churn, however it additionally gives a extra full image of your viewers. That richer dataset will help you discover comparable audiences extra successfully and decrease acquisition prices over time.”
Proving ROI is commonly a troublesome job, particularly for extra editorially-focused efforts typically tied to subscriptions.
“It’s all the time a problem to point out return on funding for an editorial-focused group,” stated Regulation. “We all know that engagement is a wonderful predictor of subscriber retention, and we depend issues like speaking, commenting and voting in polls and attending occasions as engagement, however displaying trigger and impact is far more durable, so in the event you’re not very particular about metrics, it may simply be a round argument.
“Additionally, if we have now actually good group moderation, we’re probably going to save lots of some huge cash on dealing with complaints and authorized points, so it may very well be an enormous return on funding,” she continued. “Nonetheless, it’s primarily a defense-driven method and people financial savings are onerous to quantify; we are able to’t measure the price of damages that by no means occur. There’s actual worth in what we do, even when it’s not all the time captured in our day by day metrics. We observe the variety of feedback posted, however that’s a blunt measure — quantity fluctuates relying on the information cycle. What’s extra useful is taking a look at influence via particular initiatives — like internet hosting reside Q&As between topic consultants and readers — the place we are able to see elevated dwell time and return visits. These are the moments the place we all know it makes a distinction.”
Based on the survey, the highest three obstacles groups face when measuring subscriber engagement — practically tied at greater than 50% — are lack of unified knowledge throughout platforms, restricted entry to first-party knowledge and funds constraints, carefully adopted by insufficient or outdated analytics instruments at 49%. Solely 3% of survey respondents stated they aren’t actively measuring engagement.
The most important obstacles to measuring subscriber engagement are structural: 55% of survey respondents cited each an absence of unified knowledge throughout platforms and restricted entry to first-party knowledge. These challenges make it harder to trace engagement persistently and attribute worth throughout channels.
Curiously, those self same points didn’t rank as extremely when publishers have been requested about what’s blocking subscriber development and retention. That disconnect may recommend that some groups nonetheless view measurement and development methods as separate efforts, moderately than two sides of the identical problem.
“It’s not particularly shocking, since these points are carefully associated,” stated Watson. “The frustration round excessive acquisition prices and proving ROI typically stems immediately from an absence of unified knowledge and restricted entry to first-party knowledge. With out robust, accessible and actionable first-party knowledge, it turns into a lot more durable to seek out and convert new audiences via ‘lookalike’ concentrating on or different acquisition ways. And with out unified knowledge throughout platforms, it’s troublesome to measure and report on the effectiveness of acquisition or monetization efforts. That’s why high-quality, related knowledge must be a prime precedence for media manufacturers.”
To beat these obstacles, publishers first have to combine their knowledge throughout platforms, groups and processes. It will not be possible to modify to a brand new platform totally, so it’s greatest to take the time to evaluate what knowledge the workforce already has — what’s helpful and accessible — and the way they will make higher use of it.
“It’s additionally essential to align departments round shared KPIs and objectives,” Watson stated. “That cross-functional collaboration helps streamline workflows and makes measurement extra actionable as organizations concentrate on whole income success. From a tactical perspective, establish the place your most significant knowledge lives — perhaps it’s in your advertising and marketing automation platform or your content material consumption analytics — and start consolidating insights there. Concentrate on macro-level tendencies to information new concepts, checks and learnings.”
Publishers face quite a few obstacles on the subject of monetizing their subscribers, the survey discovered, with solely 20 proportion factors between the most- and least-selected choices: electronic mail fatigue/low engagement (55%) versus insufficient attribution or monitoring (35%).
These may be troublesome to beat, particularly as shoppers are overwhelmed by communications asking them to pay when a lot content material is, and traditionally has been, free. Nonetheless, for this reason it’s essential to concentrate on buying the best subscribers and prioritizing the customers who’re almost definitely to interact and convert for the long run.
“Double down on retention and loyalty,” stated Watson. “A loyal viewers will not be solely extra more likely to pay, but in addition offers a richer knowledge set to gas higher concentrating on, personalization and monetization methods. Personalization must be on the middle of this. Use AI-driven suggestions based mostly on content material consumption, curated solutions based mostly on previous conduct and self-reported preferences to floor essentially the most related experiences, particularly throughout a number of manufacturers or verticals. This improves content material worth and opens the door to affiliate gives, sponsorships and associate campaigns that really feel aligned, not intrusive.”
The survey additionally discovered that two challenges emerged on the prime on the subject of publishers activating or utilizing subscriber knowledge: siloed knowledge throughout groups or techniques and knowledge high quality or hygiene points (68% and 65%, respectively).
Siloed or an absence of unified knowledge is an general problem for publishers. Whether or not that’s compounded by budgetary constraints, outdated instruments or knowledge high quality points, publishers typically lack the help they should correctly measure their efforts and see what’s working and what isn’t.
“Customers nonetheless haven’t totally embraced paying for digital content material the way in which they as soon as did for print,” Watson stated. “If you couple that with a a lot bigger portfolio of choices for a way and the place advertisers can spend their {dollars}, that has eroded the worth of the media house publishers have to supply. Then add to that the sheer quantity of media corporations accessible now versus the way it was prior to now, and you’ve got an ideal storm of income shrinking for the manufacturing of the identical, or arguably extra, content material than ever earlier than.”
Watson famous that on this more and more advanced atmosphere, publishers who take a test-and-learn method specializing in buyer lifetime worth, discover new monetization fashions, and align their tech and groups might be higher positioned to adapt and develop sustainably.
05
Partnerships and instruments
Given the highest challenges writer respondents face — siloed knowledge and knowledge high quality points — it could be price investigating whether or not the platforms getting used are serving them effectively or if extra schooling is required.
Most survey respondents (79%) stated they use subscription administration platforms to help their subscriber development and engagement efforts.
Most publishers are investing in instruments that help direct viewers engagement throughout the subscriber lifecycle. Subscription administration platforms paved the way, adopted by electronic mail service suppliers, analytics instruments and advertising and marketing automation software program. In distinction, fewer are utilizing paywall distributors, CDPs or DMPs — instruments which are both extra specialised or geared towards paid media and third-party knowledge.
“DMPs are primarily targeted on paid media activation, which isn’t sometimes a key driver of subscriptions,” stated Watson. “CDPs can definitely add worth by supporting a unified buyer view and identification decision, however they’re not all the time important for driving subscriber development. To interact and convert subscribers, publishers are inclined to rely extra on instruments like subscription platforms, electronic mail service suppliers and advertising and marketing automation software program, which ties all the pieces collectively.”
The overwhelming majority of survey respondents (88%) stated they’re considerably or very happy with their general engagement technique. Solely 6% stated they’re considerably or very dissatisfied.
These survey outcomes point out that almost all publishers don’t really feel just like the challenges they encounter are associated to their engagement methods — a sentiment echoed by Watson.
“Many imagine their challenges aren’t on account of poor engagement methods,” Watson stated. “Over the previous few years, groups have labored onerous to enhance viewers engagement, and people efforts are making an influence. Sadly, it’s nonetheless not sufficient to utterly offset broader challenges, like churn or declining advert income. However with continued funding in new monetization fashions, smarter subscription renewal methods and more practical promoting experiences utilizing richer subscriber knowledge, publishers can construct on their engagement beneficial properties to drive stronger general outcomes.”
For The Telegraph, discovering the best steadiness with engagement methods has been key.
“Once we’re engaged on extra delicate tales, there may be issues about how the general public interacts within the feedback part, so we often flip off the feedback part and solicit tales, experiences or questions via a extra non-public channel,” Regulation stated. “We use Marigold Develop to get reader enter privately. So, we’ll elicit responses via a type on our web site and assessment them, after which we are able to export them to a spreadsheet, so it’s simple to get the information out. It expires after a sure period of time, so we’re not hanging onto the information longer than we want it. Then, we use that data privately to create content material, with out displaying all of that interplay earlier than it’s revealed.”
General, survey respondents stated they plan to make use of a number of methods over the following 12 months to develop their subscriber base, with new subscription or membership fashions on the prime (79%), carefully adopted by personalization based mostly on consumer conduct (69%).
Regardless of development being a spotlight, lower than 40% of publishers stated they plan to spend money on lifecycle advertising and marketing and retention campaigns.
“There’s enormous worth in creating communications with customized content material generated from engagement and interplay knowledge,” stated Watson. “Triggering customized, related and well timed communication helps help a extra engaged subscriber base, which, in flip, helps higher monetization alternatives, whether or not that’s via further subscriptions or advertiser-led alternatives. The mixing of personalization with editorial curation may even help the invention of recent related content material in different sectors or manufacturers that the subscriber won’t have beforehand explored, supporting development in curiosity and income.”
Personalization stays a prime focus, with 85% of respondents indicating that AI-driven personalization instruments would assist enhance subscriber engagement and monetization. Three-quarters of survey respondents stated they wish to see real-time consumer knowledge and segmentation instruments, which can assist with personalization efforts.
AI-driven personalization and real-time knowledge segmentation prime the record of improvements publishers stated would assist them enhance engagement and monetization. This factors to a transparent urge for food for extra superior and built-in instruments. Whereas a few of these capabilities might exist inside present advertising and marketing automation platforms, they’re typically underused or restricted by knowledge silos, integration points or useful resource constraints.
“The secret’s not simply having the instruments, however with the ability to activate them totally,” stated Watson. “That features testing methods, integrating supporting platforms like CDPs or knowledge seize instruments, and constructing a transparent knowledge technique targeted on long-term worth, not simply acquisition.”
When evaluating instruments or distributors, publishers ought to prioritize ease of integration, cross-channel journey orchestration and personalization capabilities powered by machine studying. Equally vital are entry to help, efficient onboarding and long-term strategic alignment.
“They need to ask: How simply can this combine with our present stack?” Watson stated. “How a lot of the personalization is really automated versus manually configured? Can we take a look at and iterate simply? What sort of buyer help and onboarding do you present? How does this software assist us measure success throughout all the subscriber lifecycle — not simply acquisition, however engagement, retention and monetization? An ideal vendor must be invested in your long-term success and have a transparent plan for a way their platform helps you get there.”
Whereas most publishers are seeing momentum from their engagement efforts, the trail to sustainable subscriber development continues to be stuffed with obstacles. Almost 90% of respondents stated they elevated their engagement budgets prior to now 12 months, but many nonetheless wrestle with knowledge silos, excessive acquisition prices and fragmented measurement frameworks that block full-funnel success.
Regardless of the widespread use of electronic mail newsletters, cell apps and social media, 68% of publishers stated siloed knowledge limits their potential to activate and monetize audiences. And whereas automated lifecycle emails are seen as the best tactic, three out of 4 publishers stated they nonetheless face challenges proving ROI.
However the route is evident: The way forward for subscriber development is dependent upon a unified technique that connects knowledge, groups, instruments and messaging to ship customized, revenue-generating experiences throughout each channel. With 85% of publishers having predicted that AI-driven personalization might be important, and 79% exploring new subscription or membership fashions, the chance is right here for the taking.
As subscription fashions evolve and income pressures rise, one factor is for certain: Publishers can’t afford to deal with subscriber engagement as a sequence of siloed ways. It have to be a cross-functional engine constructed on belief, pushed by perception and designed for retention.
About Marigold
Marigold is a number one cross-channel advertising and marketing platform, with options for electronic mail, SMS, loyalty and personalization, serving to manufacturers rework their relationships with prospects.
Because the trusted associate behind the world’s most acknowledged manufacturers, together with The Atlantic, Food52, Refinery29, SmartBrief, Information UK and extra — Marigold delivers related model experiences that reduce via the noise and drive actual influence.
Marigold was born via a merger of industry-leading advertising and marketing platforms Cheetah Digital, Sailthru, Selligent, Liveclicker, Emma and Marketing campaign Monitor, and powers billions of buyer interactions yearly.
Be taught extra at meetmarigold.com.
