Building Email Newsletters to Sell Sponsorships with Justin Moore

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Have you ever wondered how you can leverage brand deals and sponsorships, even in the realm of newsletters? Igor dives into the world of these agreements, offering insight into compensation models that go beyond the traditional approaches you might associate with influencers. Discover how hybrid compensation models, along with flat-fee structures, can be more valuable for creators and content producers. Tune in and learn the secrets to navigating the evolving landscape of content creation and digital marketing.

Guest: Justin Moore, known as the “Creator Wizard,” is a sponsorship coach and co-founder of the Creator Wizard school and community. Over the course of eight years as a full-time creator alongside his wife April, Justin has earned over $4 million through more than 500 brand deals and ran a successful influencer marketing agency that generated an additional $3 million for other creators. His mission is to enable one million paid brand partnerships for creators by 2030, a testament to his dedication to fostering success in the creator community. Justin Moore stands as a visionary and mentor in the world of content creation.

[00:00] In this episode, Igor is joined by Justin Moore to explore the concept of brand deals and sponsorships, focusing on how creators and influencers can work with brands and the various compensation models involved.

[01:50] Exploring the Basics of Brand Deals and Sponsorships:

  • The term “brand deal” might not immediately connect with newsletters, it’s more commonly associated with YouTubers or Instagram influencers. However, for our discussion, we’ll use these terms interchangeably.

  • In essence, a brand compensates you to promote them on your platform, be it a newsletter or any other medium. The key insight here is that you possess a valuable audience that trusts your recommendations. A brand deal or sponsorship leverages this influence. There are also alternative forms of sponsorship that don’t necessarily involve you promoting the brand directly, and we’ll delve into those as well.

[05:00] Diving into Different Compensation Structures:

  • There are three primary compensation models most creators and influencers consider. First is the affiliate model, which pays based on performance, typically requiring an action like a trial sign-up or purchase for compensation.

  • Then there’s the hybrid compensation model, where you might receive a base retainer and an additional incentive, like a commission.

  • Finally, the flat compensation model doesn’t hinge on performance; the brand provides a fixed payment for you to promote them.

  • It’s crucial to recognize that creating content for these deals can be quite labor-intensive, especially for YouTubers or other content creators. Therefore, if you’re solely compensated through an affiliate scheme, it might not adequately reflect the effort needed to produce the content.

  • I often advocate for hybrid or flat-fee approaches, especially if you have a substantial audience. You should be compensated not only for the results but also for the work involved in content creation.

[05:39] Recognizing the Value of Repurposed Content:

  • Moreover, it’s not just about the sales you generate. Brands might see value in repurposing your content on their website, social channels, or paid ads, which adds another layer of worth to your contribution.

  • As a creator or influencer with a following, you should also consider charging for the privilege of using your name and likeness. In essence, there are various compensation structures to explore, but these are the main ones. This is one of the reasons I’ve remained passionate about the internet and digital marketing.

[06:41] The Online Business World:

  • In the online business world, you can create multiple income streams simultaneously. For example, consider the three compensation models we were just discussing – they can all be happening at the same time, or even combined.

  • That’s the beauty of conducting business online; you can build various revenue streams while working on a single project, and I genuinely love it.

[07:52] Working with Your Spouse as a Business Partner:

  • In the early days, we struggled to understand our strengths and roles, especially when I quit my job. We had to figure out how to make the partnership work efficiently.
  • Over time, we found our strengths. She excels in creative aspects, while I focus on the business side, which she dislikes. Despite the challenges, we discovered that the advantages far outweigh the drawbacks. 

[15:13] COVID’s Disruptive Effect:

  • When COVID hit, everything came crashing down. It was a combination of various factors. In fact, I’ve dedicated an entire YouTube video to explain why the agency failed. I had to let go of my employees and found myself in a whopping $100,000 debt. 
  • I built custom software tools to stay competitive, inspired by the success of influencer agencies that secured venture capital funding. They had sophisticated custom dashboards for creator searches and AI-powered features.

  • To differentiate ourselves, I invested a hefty sum, about $50,000, into developing our own custom dashboard. I also hired a seasoned VP of Sales to chase high-ticket clients. In retrospect, it was an expensive mistake, but it felt necessary to keep up with the competition and increase our revenue.
  • We had a solid pipeline of deals lined up, which was supposed to help us clear the debt and pave the way for our success. But then COVID came along.

[17:00] Adaptation and Evolvement in a Changing Landscape:

  • I gained a unique perspective from my years in the business as both a creator and an agency owner. I had the inside scoop on how these partnerships work, having been in the boardrooms with ad agencies and major brands managing massive influencer campaigns.

  • It struck me that many creators lacked professionalism in their dealings with brands. They often failed to grasp the seriousness of these business transactions. And so, I decided to create YouTube videos to educate creators about the mistakes I observed and help them become more professional in their collaborations. 
  • This wasn’t meant to be my next big venture; it was more about scratching a creative itch. But the response was overwhelming. People loved the videos and started reaching out for advice, coaching, and courses. And that’s how Creator Wizard was born.

[20:00] The Importance of Email Lists:

  • Regardless of the traffic sources you use, building a list ensures that you have a reliable way to reach and engage with your audience, even when platforms change their algorithms or rules. You’re spot on—bringing your audience along for the ride and nurturing your list are essential practices that can safeguard your business against uncertainty and help it thrive.
  • Your consistency in promoting your newsletter in your content is something that I’m sure many entrepreneurs can learn from. It’s all about capturing your audience’s attention, providing value, and then guiding them to become part of your email list, which, as you’ve shown, can be a game-changer. And I believe that your meticulous approach to nurturing and engaging your list is setting you up for even more success in the future.
  • Email marketing might not be the shiniest tool in the digital marketing arsenal, but it’s certainly one of the most reliable. The core principles of list building and engagement remain powerful strategies for any business or content creator.

[33:20] Monetization Strategies:

  • Monetizing through our own products wasn’t on our radar initially. We didn’t think about coaching, courses, or digital products.

  • Our primary monetization methods were indirect, mainly relying on AdSense and sponsorships. Many creators avoid sales conversations with their audience, and this is a common challenge.

[35:00] Audience-Centric Approach:

  • Creators with large social followings often don’t realize the potential of directly offering products or services to their audience. They mainly focus on sponsorships and indirectly monetizing.

  • It’s essential to understand your audience deeply to identify other brands or offerings that may serve them better.

[37:30] Selling and Building Relationships:

  • Many creators believe that selling and building relationships are mutually exclusive. They often hesitate to pitch products to their audience because they’re concerned about pushing something unwanted.

  • Sometimes, creators struggle with selling when they lack confidence in their product or themselves. It’s crucial to believe in what you’re selling and your ability to provide value.

[39:00] The Concept of Selling:

  • Everything is conditioning. Your responses, choices, and words condition your outlook and behavior. Conditioning plays a crucial role in our lives, starting from childhood.

  • Conditioning can affect how we approach opportunities, risks, and life in general. You can either choose to follow the patterns of previous generations or break away from them.

  • The choices you make today shape your destiny tomorrow.

  • Conditioning can profoundly impact your beliefs and behaviors. Recognizing this can lead to more intentional choices.

  • Conditioning shapes how we respond to opportunities, challenges, and relationships. Your choices play a significant role in your future.

[45:00] Connect with Justin Moore:

  • You can find more information and join my newsletter at creatorwizard.com/join. I share videos, articles, and sponsorship opportunities that are sent directly to your inbox.
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WHO IS
IGOR KHEIFETS

Igor Kheifets is an amazon best-selling author of the List Building Lifestyle: Confessions of an Email Millionaire.

He’s also the host of List Building Lifestyle, the podcast for anyone who wants to make more money and have more freedom by leveraging the power of an email list

He’s widely referred to as the go-to authority on building large responsive email lists in record time.

Igor’s passionate about showing people how to live the List Building Lifestyle.