The Biggest Lie About Paywalling on Substack

Look out for this trap if you're just starting a newsletter on Substack.

Image created by author using Midjourney

I used to believe a lie.

A big, juicy, seemingly logical lie that I now realize was holding me back.

It goes like this:

“If you put up a paywall, you won’t get readers and subscribers.”

Maybe you’ve heard it too. Maybe you’ve even said it. It sounds convincing, right? Keep everything free, get more readers, build goodwill, and — if the stars align — some of them will eventually pay.

Except that’s not how it works. At all.

Here’s the truth that changed everything for me:

You don’t grow free subscribers through your posts.
You grow them through Notes, recommendations, and engagement on the platform.

Your posts? They’re for converting those free subscribers into paying ones.

Let’s break this down…

The Free Growth vs. Paid Conversion Problem

Most writers assume that the way to grow a free audience is through writing great posts.

But here’s what actually happens when you write great free posts without a paywall:

1. People read them. (Great!)

2. They enjoy them. (Even better!)

3. And then they leave. (Wait… what?)

If there’s no clear incentive for them to subscribe, most won’t. They’ll just consume and move on because you’ve trained them that everything is always free.

On the other hand, writers who put up a paywall — strategically — see something interesting happen. They continue to grow their free audience because that audience is coming from somewhere else.

That somewhere else?

• Substack Notes — The X-like feed where new people discover you daily.

• Recommendations — Other writers referring their subscribers to your work.

• Engagement — Commenting, interacting, and being active in the ecosystem.

These are the levers that bring in new free subscribers.

Your posts aren’t the top of your funnel. Your engagement is. Your posts are the place where the conversion happens.

What Actually Drives Paid Subscriptions on Substack

Think of your Substack like a well-run restaurant.

• The Notes and recommendations are your advertising and word-of-mouth.

• The free newsletter posts are your menu and amuse bouche.

• The paywalled content is the full-course meal.

If all you do is put free food on the counter and hope people will pay next time, you’ll go broke. Instead, you attract them with the menu, but the real experience (and value) is behind the paywall.

My system for paywalling:

Leave the WHAT and the WHY for free and paywall the HOW.

Here’s what actually gets people to pay:

1. Curiosity — If a post is partially behind a paywall, readers want to know what they’re missing.

2. Exclusivity — People love access. Knowing they’re getting content others don’t is a psychological trigger.

3. Transformation — If they already enjoy your free content, they assume the paid version will be even more valuable.

The goal is to make subscribing a no-brainer for the right people. And that only happens when they feel like they’re missing out by not being in.

The Mindset Shift That Changes Everything

What finally clicked for me was this:

Instead of thinking “How can I get more free subscribers?”
I started asking “How can I attract the right free subscribers?”

I’ve build a system to attract the right subscribers.

The people who actually want to hear from me. The ones who are ready to invest in my work.

That shift changed everything.

Once I realized my posts weren’t supposed to attract free subscribers — and that paywalling wouldn’t stop me from growing — I started focusing on engagement first, then conversion.

And suddenly, my numbers made sense.

This is how I developed my growth challenges:

• Notes Challenge for growing the right free subscribers

• Writing Challenge for converting them to paid

The Bottom Line

If you’ve been holding back from putting up a paywall because you’re afraid it will stunt your growth, take a step back.

Your growth doesn’t come from posting endlessly for free.
It comes from showing up, engaging, and being recommended.

Your posts? They’re the closer. The ones that tip the right people over the edge into paying.

So if you’re serious about making your Substack sustainable, stop fearing the paywall. Use it strategically.

You might be surprised by what happens next.

So tell me: have you enabled your paywall already?

Let’s talk!

Recommend Unplugged by Yana G.Y.!

Your one-stop shop to grow your Substack in 2025: get access to all the proven strategies, tactics, tools, and challenges.

👉 And if you haven’t already, join the Unplugged community and Kickstart your Substack growth: