The Koerner Office - Business Ideas and Deep Dives with Chris Koerner - 057: Running a $1.2k/Month Newsletter While Working Full-Time

Episode Date: October 31, 2023

Today, get ready to be inspired as we uncover the secrets behind a remarkable entrepreneurial journey. We're diving into the story of Mike Benitez, a retired military veteran who transformed his passion for military technology into a thriving business.In this episode, we'll be exploring the core principles that fueled Mike's success. From identifying a niche and catering to it, to maintaining consistent engagement and feedback loops, and finally, diversifying revenue streams while staying adaptable - these principles are the building blocks of a flourishing business.IntroductionWarm welcome to listenersBrief overview of the episode's focus on Mike Benitez's entrepreneurial journeyPreface: The Entrepreneurial Journey of Mike BenitezIntroduction to Mike Benitez, a retired military veteran turned successful entrepreneurTeaser of the key principles that led to Mike's successPrinciple 1: Identifying a Niche and Catering to ItDiscuss the importance of niche identification in businessHighlight Mike's success in identifying the military tech enthusiast nicheOffer practical tips for business owners to identify and cater to specific nichesPrinciple 2: Consistent Engagement and Feedback LoopEmphasize the significance of consistent communication with the audienceExplore Mike's feedback-driven approach and its impact on his businessProvide actionable advice on maintaining open feedback loops with customersPrinciple 3: Diversifying Revenue Streams and Staying AdaptableDiscuss the benefits of diversifying income sources in businessDetail Mike's revenue diversification strategies, including Patreon, sponsorships, and advertisementsOffer insights on staying adaptable in the ever-changing business landscapeConclusionRecap the three key principles: niche identification, consistent engagement, and revenue diversificationEncourage listeners to apply these principles in their own entrepreneurial journeysExpress gratitude for tuning in and invite feedback and questions from the audienceClosingThank listeners for their time and attentionPromote upcoming episodes and encourage subscribership and social media engagementSign off with the show's tagline and music fade-out

Welcome to Startup Gems, where we find undiscovered startup growth hacks, stories, and case studies from every random nook and cranny of the internet. Whether you're a seasoned entrepreneur, an aspiring startup expert, or simply someone seeking inspiration, startup gems is your source for the stories that ignite the flames of innovation. I'm your host, Chris Kerner, and today, get ready to be inspired as we uncover the secrets behind a remarkable entrepreneurial journey. We're diving into the story of Mike Benitez, a military veteran who transformed his passion for military technology into a thriving business.

In this episode, we'll be exploring the core principles that fueled Mike's success. From identifying a niche and catering to it to maintaining consistent engagement and feedback loops and finally diversifying revenue streams while staying adaptable, these principles are the building blocks of a flourishing business. Meet Mike, a 44-year-old former U.S. military personnel now working in the national security tech sector. In his spare time, he runs a military tech newsletter and podcast called The Merge. While the podcast is relatively new, it's already making waves ranking on the Apple podcast charts. So how did Mike dive into this venture? Well, his journey began in early 2020 during a brief stint in Silicon Valley,

where he developed an interest in venture capital and the business side of the tech sector. fueled by his extensive experience in military technology, he embarked on a mission to create a newsletter that would keep enthusiasts informed about tech trends in the military sector. When COVID hit, Mike seized the opportunity to learn about newsletter creation, drawing inspiration from successful formats like the Morning Brew and the Hustle. He meticulously curated content and sent out his newsletter on Sundays, later expanding to Tuesdays due to popular demand. But how did Mike attract his initial subscription?

His first newsletter was sent to around 200 people, a core group he built by leveraging private Facebook groups comprising active-duty military members. Mike promoted his newsletter for about six weeks before the first issue, ensuring a strong starting point and core audience for feedback. Over the past two and a half years, his subscriber base has grown to over 16,000 with impressive open rates of 60% or more. Now let's talk about how Mike sustains his business. He employs a hybrid model using Patreon and sponsorships.

His Patreon operates on a pay-what-you-w want basis, keeping him less reliant on expensive ad deals. Additionally, he started incorporating ads a few months ago, bringing in revenue that averages around two grand monthly. Despite his thriving newsletter, Mike doesn't stop there. He also hosts a podcast, treating it as an extension of his brand and a top-of-funnel expander, rather than a significant revenue stream. His newsletter generates approximately $1,200 in monthly recurring revenue, and while there are expenses, including one-time investments in new computer equipment and podcast gear, the normalized monthly expenses are around $200. But how does he manage all of this as a solo founder while working a full-time job? Mike dedicates his nights and weekends, investing around eight hours a week into running the merge. Despite the workload, he meticulously plans his schedule, ensuring he never misses a weekend.

email. He relies on Mailer Light, appreciating its all-in-one solution that simplifies his workload. Looking ahead, Mike hopes that by the end of 2023, his venture will not only cover expenses, but also account for the value of his time. Mike recommends exploring Facebook newsletter groups and emphasizes the importance of finding solid product market fit early on. Mike keeps a feedback button in every email, underscoring the significance of customer input in refining his offerings. And there you have it, listeners, the inspiring story of Mike Benitez, a dedicated entrepreneur juggling military tech, newsletters, podcasts, and a full-time job. Now that we've heard the journey of Mike Benitez, let's dig deeper and extract three

fundamental principles that powered his success. Let's dive in. Principle one, identify a niche and cater to it. One of the key reasons behind Mike's success was his ability to identify a specific niche, military technology enthusiasts. By recognizing this untapped market, Mike was able to tailor his content precisely to their needs and interests. Business owners take note.

Identify a niche audience within your industry, conduct surveys, engage with potential customers on social media, and truly understand their pain points. Then craft your products or services to cater directly to those needs. By doing so, you'll create a loyal customer base that feels seen and valued. Principle two, consistent

engagement and feedback loop. Mike's commitment to consistent engagement with his audience and maintaining an open feedback loop played a vital role in his success story. He actively sought feedback from his subscribers, even going so far as to include a feedback button in every email. Business owners, make communication a priority. Engage with your customers through social media, email newsletters, or feedback forms on your website. Actively listen to their suggestions and concerns. This feedback loop not only helps you refine your offerings, but also fosters a sense of community and trust among your customer base. Principle three, diversify revenue streams and stay adaptable. Mike wisely diversified his revenue streams, incorporating Patreon, sponsorships,

and advertisements, ensuring financial stability for his venture. He also remained adaptable, incorporating new strategies like podcasting as a product extension. Business owners don't rely solely on one income source. Explore various revenue streams, such as subscription models, affiliate marketing, or partnerships, stay informed about industry trends and be willing to adapt your business model accordingly. Embracing change and being open to innovative ideas can lead to long-term sustainability and growth. And there you have it, listeners. The three principles that propelled Mike Benitez's business to success. Identify your niche, engage consistently, gather feedback, diversify your revenue streams, and stay adaptable.

Apply these principles diligently, and who knows, your success story might just be the next one we feature here on startup gems. Thank you for being part of today's adventure through the world of startups and innovation. Did this episode ignite any fresh perspectives or ideas? Share your reflections and favorite takeaways in a review wherever you're listening now. Remember to stay curious, continue to forge your own path, and subscribe and follow Startup Gems to be the first to access stories that will fan the flames of your entrepreneurial passion.