What is Substack & How Does It Work? A Beginner’s Guide

You’ve probably heard of Substack.

Most people know it as a newsletter platform… a simple way to send posts straight to your readers’ inboxes. And that’s true, but it’s only part of the story.

Substack has evolved into something bigger:

• A blogging platform where your posts automatically live online
• A social platform where readers discover writers (and writers discover each other)
• A monetization platform where you can offer paid subscriptions and get paid directly by your audience
• And yes, a newsletter platform where you can build and email your audience

That mix is why Substack has exploded in popularity. Instead of juggling a blog, an email tool, and a social account, you get one place to publish, share, grow your audience, and even turn your writing into income.

In this beginner’s guide, I’ll walk you through what Substack is, how it works, and the three main ways you can start using it (whether you’re launching your first newsletter, testing blog ideas, or exploring its growing social features).

And we'll start by answering the obvious question…

What is Substack?

The Substack platform lets you publish your writing, build an audience, and reach readers directly, all from one place.

Think of it as a cross between an email newsletter service, a blogging platform, and a lightweight social network. You can send posts straight to your subscribers’ inboxes, publish them to a clean, distraction-free blog, and connect with other writers and readers through built-in community features.

Substack was founded in 2017 by Christ Best, Jairaj Sethi, and Hamish McKenzie, who had a simple goal: make it easy for anyone to start a successful newsletter.

Back then, the founders thought writers should spend more time writing and less time fiddling with tech. (Radical, I know.)

Fast forward to today and millions of people use Substack to:

• Share personal essays, articles, and updates
• Build author platforms and grow book audiences
• Publish serialized fiction or ongoing stories
• Launch niche blogs and communities
• Become podcasters (without needing a different platform)
• Monetize their work with paid subscriptions

And unlike traditional blogging or email tools, Substack handles the messy parts for you:

• It hosts your content
• Manages your subscriber list
• Sends your posts to inboxes
• Gives you a simple, modern editor to write in

For authors, bloggers, and creators of all kinds, becoming a Substack writer is one of the fastest ways to start publishing and stay connected with your audience, without needing to juggle several tools, apps, or plugins.

How Does Substack Work?

Substack keeps things simple: you write, you publish, and your audience gets your work in their inbox and on the web (or inside the Substack app), all from the same platform.

Here’s how it works when you’re just starting out:

1. Create your free Substack account

Go to substack.com and sign up. And yes, it’s 100% free to use.

2. Set up your publication

Once you’re in, Substack walks you through naming your publication, adding a short description, and uploading a profile picture or header image if you have one.

Think of this as your “homepage” on Substack. It’s where people can read your posts, subscribe, and learn what you’re about.

3. Decide: free, paid subscription model, or both

Substack lets you choose whether your newsletter is free for all users to read, fully paid, or a mix of both:

• Free: All of your posts are available to anyone who subscribes, at no cost
• Paid Subscription: Readers pay a monthly or yearly fee to access your content
• Hybrid: Some content is free, while premium content is for paying subscribers only

Most writers start free, experiment for a while, and decide on a model later.

But, there's no single “right” choice. Do what makes sense for you and your situation.

4. Write your first post

Substack’s editor is clean and distraction-free. You get basic formatting (headings, images, links, quotes) without the clutter.

Draft your first Substack post, hit Preview to make sure it looks right and, when you’re happy, click Publish.

Substack gives you the option to email the post to your subscribers in addition to publishing it to your Substack website, or you can choose to skip the email and only publish it to your site

5. Customize (optional)

Want to go further? Substack offers extra settings if you want them:

• For a one-time $50 fee, add a custom domain for your Substack publication so your newsletter lives at yourname.com instead of yourname.substack.com
• Enable recommendations so other Substack writers can recommend your publication and you can recommend theirs. This is one of the biggest ways new readers find you. (Personally, I get roughly 35% of my new subscribers through recommendations.)
• Enable the subscriber referral program to reward your existing readers for helping you grow. You set up the rewards, and Substack tracks referrals automatically. (This is found under Settings → Growth in your Substack dashboard.)
• Explore Substack Notes, its Twitter-like feed for sharing quick thoughts and connecting with new readers (we’ll cover Notes strategy later)
• Try Substack Chat, a built-in group chat feature where you can host real-time discussions with your subscribers, build community, and deepen reader engagement

None of this is required on day one, but it’s there when you’re ready.

How to Use Substack (3 Ways)

One of the biggest reasons Substack has exploded in popularity is its flexibility. It isn’t just an email tool. It isn’t just a blog. And it isn’t just a social platform.

It can be all three, depending on how you want to use it.

Here are the three main ways beginners (and plenty of pros) use Substack:

1. As a Newsletter / Email Platform

This is what Substack was originally built for… sending posts straight to your readers’ inboxes.

You write an update, hit publish, and Substack emails it to every subscriber on your list. It lacks the automation features that email platforms like MailerLite have, but there’s no fussing with HTML templates, confusing automations, or third-party integrations.

Some things to know:

• Emails + blog posts: If you choose this, anything you send gets published to your Substack site and delivered by email at the same time. Alternatively (as I mentioned earlier), you can choose to skip the email and only publish the post to your site.
• Free or paid subscribers: You can choose whether posts go to everyone or only to paying supporters.
• Simple analytics: This lets you see open rates, paid subscriber growth, and conversions at a glance.

2. As a Blog

Every Substack newsletter automatically doubles as a blog, but it works a little differently than traditional blogging platforms like WordPress.

Here’s what makes it interesting:

• Automatic email integration: Everything you publish lives on your site and (if you so choose) lands in your subscribers’ inboxes. There's no plugins to install, no duplicating work or doing things twice.
• Built-in discoverability: With a typical blog, you need people to find your content in search engines like Google. That can be tough, especially if you're site is new. Substack gives your great content the ability to be discovered by Google, yes, but it's also its own network. Readers can stumble onto your work through recommendations, search, and Substack’s built-in discovery tools. So even if Google never sends a single reader your way, your work can still be seen.
• Minimal setup required: With Substack, there are no themes, no plugins, no hours spent tweaking your site before you ever write a word. You can start publishing in minutes.

3. As a Social Media Alternative (or Complement)

With the launch of Notes in 2023, Substack it’s become its own kind of social media platform, without the algorithm headaches.

Substack Notes are short, Twitter-like posts you can use to:

• Share quick thoughts or updates
• Highlight snippets from your writing
• Reply to other writers and readers
• Get discovered by people outside your existing audience

Unlike traditional social platforms, Notes live inside an ecosystem where everyone’s already interested in reading and writing. That means discovery feels more natural and less like shouting into the void.

And if you’re not ready to ditch social media entirely, you can use Notes to complement your existing content strategy, pointing people from X/Twitter, Facebook, LinkedIn, etc. back to your Substack.

How to Make Money on Substack

One of Substack’s biggest draws is that it lets independent writers earn directly from their audience… without ads, sponsorships, or middlemen.

You write, readers sign up for a paid subscription, and Substack handles the rest.

Things are constantly evolving, of course, but as of this writing there are three main ways to monetize:

1. Paid Subscriptions

This is Substack’s core revenue model. You can make certain posts free and keep others behind a paywall, giving people reason to upgrade and become a paid subscriber.

• Set your own price. Most writers charge somewhere between $5 – $10/month or $50 – $100/year.
• Choose a free-only, paid-only, or hybrid model (where some is free content and other posts are subscriber-only).
• Substack handles all the billing, payment processing, and renewals automatically.

2. Founding Member Tiers

Substack lets you offer “founding member” plans at higher price points for your biggest supporters.

Founding members often get perks like:

• Exclusive content
• Bonus Q&A sessions
• Early access to drafts or behind-the-scenes updates

It’s optional, but a great way to give loyal readers more ways to support you financially.

3. Writer-to-Reader Direct Payments

Unlike platforms that monetize you indirectly (through ads or algorithms), Substack’s model is reader-first:

• Substack takes 10% of paid subscription revenue.
• You keep the rest.
• There are no fees unless you’re earning.

This structure makes it easier to build predictable, recurring income without chasing views or virality.

If you make $1,000 in a month, you know Substack will take $100 of it. If you make a $1, you know it'll take a dime.

Other Monetization Options

While paid subscriptions are the primary model, you can also:

• Offer free newsletters while promoting your own products, courses, or books inside your emails
• Use Substack as a content hub while monetizing elsewhere (e.g. linking to Gumroad or Patreon from inside your Substack posts)
• Bundle newsletters together if you run multiple publications (Example: Free Newsletter A helps support Newsletter B, which only paid subscribers can read)

Substack’s tools are flexible enough to support beginners who want to experiment and seasoned writers who treat their publication as a full business, so it can meet you wherever you are (both now and in the future).

How to Grow on Substack

Getting started on Substack is the easy part. Growing an audience is where most beginners get stuck.

The good news is Substack bakes growth tools right into the platform. Here are a few of the biggest levers you can pull:

1. Use Notes Strategically

Substack’s Notes feature might look a bit like X/Twitter, but the culture is different. If you show up using it only to promote yourself, readers and writers will tune you out fast.

It's best to think of Notes less like a marketing channel and more like a conversation with friends. Here are a few ways to use it effectively:

• Be helpful, not salesy: Share insights, ideas, or opinions that give readers value on their own. Show your expertise, but let your content do the selling naturally instead of constantly pitching your newsletter.
• Restack your own posts, but with context: You can “restack” (think: X/Twitter's “retweet”) a compelling line or paragraph from one of your Substack posts and add new thoughts above it. It’s a subtle way to draw attention to your writing without spamming links or sounding pushy.
• Amplify other writers with restacks: Notes make it easy to restack something written by someone else. It’s a quick way to build goodwill, spotlight Substack creators you admire, and introduce your audience to new voices.
• Engage thoughtfully: Browse the Notes feed and reply to other writers’ posts where you can add something meaningful. Showing up consistently in conversations (especially around your niche) will help you build visibility faster than broadcasting into the cold, cruel void.
• Share quick, in-between ideas: Use Notes for content creation that doesn’t need a full newsletter (a sharp insight, a behind-the-scenes thought, a snippet from something you’re working on, etc). These small pieces make you discoverable without overwhelming readers’ inboxes.

In short…

When you treat Notes like a community instead of a billboard, growth tends to follow naturally.

2. Build Relationships Through Referrals

Referrals are about rewarding your existing subscribers for helping you grow.

You set up a referral program with perks (like free months of a paid newsletter, exclusive content, etc) and Substack tracks it automatically.

Here are a few tips for making referrals work:

• Pick rewards that matter: Choose incentives your readers will actually care about.
• Make it easy: Substack generates referral links for subscribers automatically (you just need to promote the program occasionally).
• Start small: You don’t need a full rewards ladder right away. Even one simple perk can get readers sharing.

Referrals turn your best readers into ambassadors, so once you've accumulated some true fans, be sure to set them up.

3. Use Recommendations to Get Discovered

Recommendations are completely different from referrals.

Instead of rewarding your existing readers, they connect you to new readers by plugging you into Substack’s broader network.

Here's a quick breakdown of the differences:

	Referrals 🏆	Recommendations 🔍
What it is	A subscriber-driven growth tool (your readers get rewards for referring friends).	A network-driven discovery tool (other writers’ audiences are shown your publication).
How it works	You set up a referral program with perks. Subscribers share your newsletter with friends to earn rewards.	When someone subscribes to a newsletter similar to yours, Substack automatically suggests your publication.
Who drives growth	Your existing readers	Substack’s ecosystem + other writers
Effort required	Medium. You’ll need to choose rewards and promote your referral program occasionally.	Low. Once enabled, it runs passively in the background, putting you in front of potential subscribers.
Best for	Turning loyal subscribers into ambassadors who actively grow your list.	Getting discovered by new readers who’ve never heard of you.

When someone subscribes to a newsletter similar to yours, Substack can automatically suggest your publication on the thank-you page or follow-up email. This can be a huge source of organic growth.

Here's how to make the most of recommendations:

• Recommend others first: The best way to earn recommendations is to give them genuinely (and without expecting anything in return).
• Be clear about your focus: Substack uses signals like your newsletter name, tagline, About page, and tags to match you with relevant readers.
• Publish consistently: Active newsletters get surfaced more often. (As someone who will forget his Substack for days at a time, I can attest to this.)
• Optimize your Substack profile and About page: Make it clear why someone should subscribe to you. Be clear, not clever.

Recommendations are one of Substack’s most powerful growth engines. And, unlike referrals, they work passively once you’re plugged into the network.

4. Cross-Promote Outside Substack

Substack’s ecosystem is strong, but you don’t have to stay inside it.

Share your newsletter on social media, link to it from your external blog (if you have one), and invite your existing audience to subscribe.

The combination of Substack’s built-in tools plus your external platforms is where growth can really compound.

5. Consistency and Clarity

I alluded to this earlier, but…

The biggest “growth hack” isn’t a hack at all: you need to show up consistently and be clear about who your newsletter is for. Whether you're doing a new post once a week, daily Notes, a monthly podcast video, whatever… be consistent with it.

When readers know exactly what to expect (and when to expect it), they’re far more likely to subscribe and stick around.

What Are Some Substack Alternatives?

Substack is a great option for many writers, but it isn’t the only publishing and newsletter tool out there. Depending on your goals, budget, and technical comfort level, another platform might be a better fit.

Here's a side-by-side comparison of the three biggest alternatives, Medium, Beehiiv, and Ghost:

Platform	Ease of Use	Community / Discovery	Monetization	Customization	Best For
Substack	★★★★★ (very beginner-friendly)	Built-in discovery, Notes, referrals	Free forever; optional paid subscriptions (Substack takes a commission)	Limited (but simple)	Beginners who want an all-in-one platform without tech headaches
Medium	★★★★☆ (simple editor)	Large built-in audience via algorithm	Medium Partner Program	Very limited	Writers who want exposure to a big audience without list-building
Beehiiv	★★★☆☆ (more advanced)	Smaller community than Substack	Paid subscriptions, referral tools	Moderate	Growth-focused creators who want advanced newsletter features
Ghost	★★☆☆☆ (requires setup)	Little built-in discovery	Subscriptions, memberships	High (open-source flexibility)	Writers who want control, ownership, and custom design

Now let's look at each in a bit more detail:

Substack vs. Medium

Medium is an online platform with a built-in audience where each blog post (or “story”) you write can be recommended to readers through Medium’s algorithm.

Pros of Medium

• Large built-in readership (millions of active users)
• Potential for viral distribution through Medium’s recommendation engine
• Simple editor, similar to Substack’s
• Great for discoverability if you don’t have an audience yet

Cons of Medium

• Medium controls distribution (ie, you don’t own your audience)
• Readers follow Medium, not necessarily you
• Limited customization
• Monetization depends on Medium’s Partner Program, not direct reader support

Substack vs. Beehiiv

Beehiiv is a newer newsletter platform built specifically for growth-focused creators.

Pros of Beehiiv

• Strong analytics and growth tools
• Advanced features like audience segmentation and A/B testing
• Built-in referral program, similar to Substack’s
• Good for scaling once you have momentum

Cons of Beehiiv

• Fewer community features (no Notes)
• Smaller built-in network compared to Substack
• Pricing can get expensive as your list grows (unlike Substack, which stays free unless you offer paid subscriptions)
• Less beginner-friendly interface than Substack

Substack vs. Ghost

Ghost is an open-source publishing platform that lets you run newsletters and blogs on your own server or through Ghost(Pro)’s hosting.

Pros of Ghost

• Full ownership and control (you host it or pay Ghost to host)
• Excellent for both blogs and newsletters
• Flexible design and customization options
• Strong monetization tools (subscriptions, memberships)

Cons of Ghost

• More technical setup than Substack
• Hosting costs money (Ghost(Pro) isn’t free), while Substack handles hosting at no cost
• Smaller built-in discovery features compared to Substack

Final Word on Substack (For Now)

Substack has grown so quickly for a reason: it gives writers, authors, and creators a simple way to publish, share, and build your target audience, without the tech headaches that usually come with starting something online.

It can be your newsletter platform.

It can be your blog.

Heck, it can even be your social space.

Or, if you’d like, it can be all three.

And the best part?

You don’t have to have it all figured out on day one because it's flexible enough to grow with you.

So, give it a try. And when you do, be sure to say hi.