The incredible ascent of Milk Road, a cryptocurrency newsletter, is an inspiring tale of two entrepreneurs who leveraged their strengths and an existing model to create a huge impact within a niche industry. In less than a year, Milk Road amassed a quarter of a million subscribers and was sold to a leading media company. This article will delve into how Milk Road achieved such remarkable success in a short period.
The Genesis of Milk Road
In 2022, Shaan Puri and Ben Levy, two serial entrepreneurs with a track record of launching successful ventures, decided to plunge into the world of cryptocurrency. They decided to use their expertise in copywriting and knowledge of cryptocurrency to create a daily newsletter that would explain complex crypto concepts in plain English. The idea was to make cryptocurrency information accessible and interesting to the tech-focused audience.
Using an Existing Model
Instead of developing a new model, Puri and Levy took inspiration from The Hustle, a successful tech news platform created by Sam Parr (who was also Puri's business partner with the My First Million podcast). They utilised the same framework but applied it to cryptocurrency news. The idea was to deliver daily news in a fun, engaging manner. This approach proved to be effective, as Milk Road managed to gain over 150,000 subscribers even during a massive market downturn.
Leveraging Their Unfair Advantage
Puri and Levy recognised the value of using their unfair advantage – a unique asset that competitors can't easily replicate. For them, it was Shaan's pre-existing audience from his top-ranking business podcast, My First Million. Over the years, Shaan had built a strong following of more than 100,000 Twitter followers and a weekly newsletter with 30,000 subscribers. They leveraged this audience to kickstart Milk Road.
Rapid Growth and Innovative Strategies
Milk Road's growth was phenomenal. Within three weeks of launch, they had over 16,000 subscribers. They used a blend of organic and paid strategies to fuel this growth. One of their unique strategies was to publicly invest $1,000,000 in a crypto wallet and report on the progress in real-time. Even when the value of the investment plummeted by 70%, Milk Road saw its signups multiply, demonstrating the power of transparency and authenticity.
Using Social Media for Growth
Paid social media advertising played a pivotal role in Milk Road's growth. They ran ads on platforms like Facebook and TikTok, which drove a large number of subscribers. They also used an accessible referral program to incentivise existing subscribers to refer others. This strategy, combined with daily audience polls, helped them capture real-time insights and tailor content to readers' interests.
Monetisation and Sale
When Milk Road had an audience large enough, they began monetising by selling advertising space in their newsletter. Despite the impressive growth, Puri and Levy were open to selling the platform. When they met the co-founders of Bitfo, Kendall Saville and Mike Wittmeyer, they knew they had found the right buyers. Bitfo, a media company that operates several cryptocurrency websites, was looking to expand their portfolio. They identified Milk Road as a well-established brand with a large, engaged audience.
The Acquisition Process
The negotiation process was not without its challenges. At one point, it seemed like the deal would fall through. However, both parties were committed, and in December 2022, Milk Road was sold to Bitfo. The terms of the deal were not disclosed, but it included shares in Bitfo. While the financial aspect was important, Puri and Levy were more excited about the opportunity to learn from Saville and Wittmeyer and watch them grow the brand.
Here's Shaan's video from his podcast "My First Million" where he talks to the new owners Kendall Saville and Mike Wittmeyer.
The Outcome and Future Plans
After the sale, Levy continued to work on the Milk Road newsletter, while Puri joined the board of Bitfo. They also launched a new website for Milk Road, expanding their offering to include resource guides alongside daily crypto news.
Conclusion
The success story of Milk Road serves as a powerful example of how entrepreneurs can leverage existing models, their unique advantages, and innovative strategies to create a successful venture. It also demonstrates the potential of niche markets like cryptocurrency. With the right approach, it's possible to create a platform that provides value to the audience and attracts a large following.
Key Takeaways
- Use an existing model and apply it to your niche
- Leverage your unfair advantage
- Be transparent and authentic
- Use a blend of organic and paid strategies for growth
- Be open to selling when the right opportunity comes along
The journey of Milk Road, from its inception to its sale, is a testament to the power of innovative thinking, strategic planning, and perseverance. It's a tale that offers valuable lessons for entrepreneurs and aspirants in the realm of digital newsletters and beyond.