Chapter 18 Exercises: Subscription and Membership Models


Exercise 1: The Subscription Value Audit

Objective: Develop a concrete, compelling value proposition for a membership in your niche — one that does not rely on fan guilt.

Instructions:

List every piece of value you could theoretically offer in a membership — be exhaustive. Then categorize each item using the five value drivers from Section 18.2: Exclusivity, Access, Community, Content Depth, Identity.

After categorizing, answer these questions:

  1. Which value driver category has the most items? Is that the right emphasis for your audience?
  2. Pick your top three most compelling items from each of the five categories. If a category has fewer than three items, what could you add?
  3. Using only items from Exclusivity, Access, Community, and Content Depth (deliberately excluding Identity/fan-guilt), write a two-paragraph subscription pitch. Read it out loud. Does it still sound compelling?
  4. Share your pitch with someone who does not follow you. Would they pay for this? What questions do they have?

Deliverable: A written, two-paragraph membership pitch that passes the "no emotional language" test.


Exercise 2: Three-Tier Architecture Design

Objective: Design a complete three-tier membership structure with clearly differentiated value at each level.

Instructions:

Using the content ladder framework from Section 18.4, design a three-tier membership. Complete this table for each tier:

Field Entry Tier Standard Tier Premium Tier
Name
Price/month
Primary value driver
Item 1 included
Item 2 included
Item 3 included
What you do NOT include (saved for next tier)

After completing the table:

  1. Identify which tier you expect to be most popular. Is it the standard tier? If not, consider whether your standard tier's value proposition is strong enough.
  2. Test the "upward pull" — does each tier make the one above it feel worth the additional cost? If not, what needs to change?
  3. Check for over-complication: can you describe each tier's value in a single sentence? If not, simplify.

Deliverable: A completed three-tier table plus a single-sentence description of each tier.


Exercise 3: Launch Sequence Planning

Objective: Build a complete membership launch calendar with specific emails, posts, and actions.

Instructions:

Plan a six-week membership launch. Work backward from your target launch date and fill in the following:

Weeks 5–6 before launch (Pre-launch Seeding): - What question will you ask your audience to gauge interest and gather intelligence? - What poll will you run? What specifically will you ask? - What "signal" content will you create that hints at what is coming without making an explicit ask?

Weeks 3–4 before launch (Waitlist): - Write the exact text for your waitlist announcement (social post + email versions). - What is the incentive for joining the waitlist? - How will you track waitlist signups?

Launch week: - Day 1 (Monday): Write the subject line and first paragraph of your launch email. - Day 3 (Wednesday): What is the specific focus of the second email? What objection does it address? - Day 6 (Saturday): Write the subject line for your "last chance" email.

Post-launch (first 30 days): - What is the first thing a new member receives after joining? - How will you prompt new members to make their first community post? - What is the "quick win" you deliver in the first 48 hours?

Deliverable: A complete six-week launch calendar document.


Exercise 4: Churn Analysis Simulation

Objective: Understand the business math of churn and model what different retention rates mean for revenue over time.

Instructions:

Use the following scenario (or substitute your own numbers):

  • Month 1: 100 members at $15/month = $1,500 MRR (Monthly Recurring Revenue)
  • You add 20 new members per month (constant)
  • Calculate revenue for months 1–12 under three churn scenarios:
Scenario Monthly Churn Rate
A (high churn) 8%
B (average churn) 4%
C (low churn) 2%

For each scenario, calculate: - Members remaining from Month 1 cohort after 12 months - Total members in Month 12 (accounting for new additions minus churn) - Monthly Recurring Revenue in Month 12 - Total revenue over all 12 months

After running the numbers:

  1. What is the difference in Month 12 MRR between Scenario A and Scenario C?
  2. What is the total 12-month revenue difference between A and C?
  3. If reducing churn from 8% to 2% required hiring a community manager at $500/month, would it be worth it? Show your math.

Deliverable: A completed spreadsheet or table showing all calculations, plus a written answer to the three questions.


Exercise 5: Platform Selection Analysis

Objective: Evaluate platform options for a specific membership concept and make a defensible recommendation.

Instructions:

Choose a specific creator persona (can be yourself or a fictional creator you design). Define: - Niche and content type - Estimated audience size and engagement rate - Projected starting subscriber count (first month) - Target price point - Community features needed (yes/no for: live events, discussion forum, direct messaging, course hosting)

Now evaluate four platforms from Section 18.3 against this persona. For each platform, rate (1–5) and explain: - Fee impact at your projected revenue level - Feature fit (does it have what you need?) - Discovery potential (will the platform help you find new subscribers?) - Trust and familiarity (will your audience be comfortable subscribing here?)

Sum the scores and add qualitative notes on any dealbreaker features or advantages. Make a final recommendation with one paragraph explaining your reasoning.

Deliverable: A completed platform comparison matrix and a written recommendation.


Exercise 6: Equity Access Design

Objective: Design an access model that makes your membership available to people who cannot afford full pricing, without undermining your revenue.

Instructions:

Review the equity approaches described in Section 18.7 (income-based pricing, annual plans, scholarships, geographic pricing). For your membership concept:

  1. What percentage of your potential audience do you estimate cannot comfortably afford your standard monthly price?
  2. Design an access program that addresses at least two of the equity approaches. For each: - What is the mechanism? (How does someone access it? Application, honor system, automatic discount, etc.) - What is the cost to you in revenue? - What is the potential benefit to your community? - How do you prevent abuse without creating burdensome gatekeeping?
  3. Write the public-facing description of your access program — the text that would appear on your membership page explaining how people who cannot afford full pricing can still get access.

Deliverable: A two-page access program design document including public-facing copy.


Exercise 7: The Cancel Survey Design

Objective: Build a cancel survey that generates actionable intelligence, not just data.

Instructions:

Most platforms offer a generic cancel survey. Design a better one for your specific membership.

Your survey should have: - No more than four questions (more than four and canceling members skip it entirely) - At least one multiple-choice question with thoughtful options (not just "too expensive / not enough content / other") - At least one open-text question - A final offer (pause vs. cancel) built into the flow

For each question, explain: - What business decision will this answer inform? - How will you act differently based on the most common answer?

Also design the "final offer" moment: when someone clicks "cancel," what do you show them before the cancellation is confirmed? What pause offer do you make? How long can they pause? What do they keep during a pause (founding pricing, community access)?

Deliverable: A complete cancel survey with all questions, options, and the final offer flow written out.


Exercise 8: The Engagement Ladder

Objective: Map the progression from new subscriber to highly engaged member, and identify the interventions that move people up the ladder.

Instructions:

Draw or write out a five-rung "engagement ladder" for your membership:

  • Rung 1: Signed up, has not logged in or engaged since joining
  • Rung 2: Has logged in, consumed some content, but has never posted or participated
  • Rung 3: Has posted once or attended one live session
  • Rung 4: Posts regularly, engages with other members, attends most live events
  • Rung 5: "Super member" — creates content for the community, mentors new members, advocates publicly for the membership

For each rung: 1. What triggers should alert you that someone is stuck there? 2. What specific action (automated message, personal outreach, content recommendation) can move them to the next rung? 3. What is the target timeframe for this transition?

Finally: estimate what percentage of your members you expect at each rung in a mature membership (one year in). Use this to calculate what percentage of your community is doing the heavy lifting of making the community feel alive.

Deliverable: A completed five-rung engagement ladder document with triggers, interventions, and percentage estimates.