How Alex Lieberman Grew Morning Brew to 2.5M Subscribers & Sold for $75M
Morning Brew is a daily newsletter delivering quick and insightful updates about the global business world.
Who is Alex Lieberman?
Alex Lieberman is the co-founder and Executive chairman of Morning Brew, a newsletter that shares informative business news.
Alex, a serial entrepreneur, is a co-founder at Storyarc, a modern executive’s personal media company, and an investor in various startups, including MicroAcquire, Bark Social, and SoleSavy. He holds a Bachelor of Business Administration from the University of Michigan.
What problem does Morning Brew solve?
Business-minded millennials want to stay updated with the latest news surrounding the business world.
Founder-Market Fit
Skills
What skills did Alex Lieberman have that led to their success?
How did Alex come up with the idea for Morning Brew?
Back in 2014, Alex noticed that his college peers lacked knowledge about current business news while he was helping them prepare for interviews. In response, he decided to create a valuable resource for them and launched a daily newsletter called The Market Corner.
Initially, it was in PDF format, but it later evolved into what we now know as Morning Brew.
How did Alex Lieberman build the initial version of Morning Brew?
In in Fall of 2014, Alex initially introduced the Market Corner as a PDF newsletter and sent it to his email list. Austin, a student, reached out to get involved in building the newsletter.
They built the email list to over 70K subscribers and, in May 2017, raised a $750K note from friends and family to fund and grow their business.
A snapshot of Morning Brew landing page from 2017
How did Alex launch Morning Brew and get initial traction?
Word of Mouth Promotion
In the early days, the founders, Austin Rief and Alex Lieberman, leveraged their personal connections and campus environment to spread the word about Morning Brew. They actively promoted their newsletter among peers at the University of Michigan, attending events, classes, and even reaching out to friends and classmates to encourage sign-ups.
Why it worked: This grassroots approach was effective because they were targeting a concentrated group of individuals—college students interested in business. Personal referrals and direct interactions helped build initial trust and credibility for their newsletter.
Referral Program
Shortly after establishing Morning Brew, the founders implemented a referral program that incentivized existing subscribers to spread the word. Subscribers received rewards for referring friends, such as exclusive content and special access to events. This not only encouraged sharing but also created a sense of community among readers.
Why it worked: The referral program tapped into existing subscribers' networks, allowing Morning Brew to expand its audience organically. By providing incentives, it motivated readers to share the newsletter with their friends, leading to a viral growth effect.
Social Media Engagement
The founders actively engaged with users on social media platforms like Twitter and Instagram. They shared witty and engaging content related to business news, often accompanied by memes and humorous takes that resonated with their audience. They also participated in conversations, building a following and encouraging users to subscribe to the newsletter.
Why it worked: This strategy capitalized on the informal, conversational tone that Morning Brew adopted. Their relatable and entertaining content attracted young professionals who appreciated a lighter take on business news, leading to increased subscriptions and higher engagement levels.
In-Person Sign-ups
During college events and career fairs, the founders set up booths to directly sign up interested students. They provided tablets and gathered emails right on the spot, making it easy for attendees to subscribe instantly. This tactic allowed them to leverage the high foot traffic at college events.
Why it worked: This method allowed them to take advantage of the community atmosphere at college events, making it easy for attendees to subscribe without any barriers. The personal touch helped build a strong initial subscriber base, leading to a tight-knit readership that would continue to grow.
What was the growth strategy for Morning Brew and how did they scale?
Referral program Morning Brew runs referral programs, awarding each subscriber for referring a friend. With every successful referral, the subscriber wins a gift hamper. Here is an example tweet announcing the giveaway for each referral:
Word of Mouth Referrals
To expand his subscriber base, he encouraged early subscribers to provide email addresses of potential new subscribers with their consent. His method of inviting subscriptions through word-of-mouth referrals and adding new subscribers by request laid the groundwork for the newsletter's scaling efforts.
I told them, 'If you have friends or colleagues who you think would enjoy our content, and they give you permission, send me their email addresses. I'll take care of adding them to our list personally. — Alex Lieberman (Source)
What's the pricing strategy for Morning Brew?
Morning brew subscription is free. They make money through advertisements, sponsorships, and partnerships.
What were the biggest lessons learned from building Morning Brew?
Alex Lieberman shared insights on using EOS to scale a business successfully, the importance of focusing on one's 'zone of genius' to bring out the best self, strategies to acquire initial users, and dealing with imposter syndrome as an entrepreneur.
What platform/tools does Morning Brew use?
Morning Brew Acquisition: How much did Morning Brew sell for and what was the acquisition price?
Morning Brew was acquired by Business Insider for $75M on October 30, 2020.
Morning Brew co-founders Alex and Austin were excited about “Axel Springer’s history of welcoming entrepreneurs with open arms and empowering them to build their businesses independently."
Here is what Mathias Döpfner, CEO of Axel Springer SE, had to say about the acquisition.
Discover Similar Business Ideas Like Morning Brew
More about Morning Brew:
Who is the owner of Morning Brew?
Alex Lieberman is the founder of Morning Brew.
When did Alex Lieberman start Morning Brew?
2017
What is Alex Lieberman's net worth?
Alex Lieberman's business makes an average of $4.1M/month.
How much money has Alex Lieberman made from Morning Brew?
Alex Lieberman started the business in 2017, and currently makes an average of $49.2M/year.
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