Substack vs Patreon: Difference and Comparison

We are in the world of Content Monetization, where different platforms like Substack and Patreon help consumers consume the content on their platforms. Writers who write content on these platforms can either get paid themselves, or the apps which are showcasing their content will market and pay you.

There are certain ways through which you can monetize your content, like selling your content directly to the users or selling it to the audience with the help of 3rd party apps. Once you have done that, you will have a fan base.

Key Takeaways

  1. Substack is a newsletter platform that allows writers to create and distribute newsletters. At the same time, Patreon is a membership platform that allows creators to monetize their content and receive ongoing support from their fans.
  2. Substack is more focused on written content, while Patreon is more flexible and allows creators to offer a wider variety of content, including audio and video.
  3. While both platforms offer creators a way to monetize their content and build a loyal following, the choice between them ultimately depends on the type of content the creator produces and their specific needs.

Substack vs Patreon

The difference between Substack and Patreon is that Substack is a platform that helps to publish an independent newsletter for their creators/writers. Patreon is a platform which provides business tools for content creators, and they run with the help of subscriptions. The pricing structure of Substack and Patreon is different. For instance, Substack charges a flat 10% on the revenue earned. At the same time, Patreon has a tiered structure. It charges differently according to different plans.

Substack vs Patreon

Substack was started in the year 2017 for writers and creators. It was basically meant for writers.

It focuses on publishing and writing the content. It started with a goal to cater to small audiences, but soon it attracted big companies like CNN, Vox etc.

It charges 10% of the revenue earned by the creators besides processing fees. Although charges are high, it has many features like its interface is very simple, user-friendly, etc.

Patreon was started in the year 2013 by Jack Conte. Within starting of few months, it managed to take investments from Venture Capitalists and Angel Investors.

It is meant for content creators like Youtube, painters, musicians etc. It is a membership platform which means you have to go through the process of registration.

Also provides Hosted Created pages, ad-free content etc. It allows creators to fix an amount for their work of art, and in turn, the company provides them with perks and rewards.

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Comparison Table

Parameters of ComparisonSubstackPatreon
Pricing StructureIt has 10% pricing.It varies from 5-12%.
Active UsersIt has 1-2lakh users.It has 3 million users(monthly).
Hosted Creator PageIt has a very basic design and a simple setting.It has a page where users and fans get benefits.
FeatureIt focuses on discussions with subscribers.It focuses on the comments section.
TypeIt is a subscription platform.It is a membership platform.

What is Substack?

Substack was launched in 2017 to publish the content of the creators/writers independently. It also gives an option to start a paid subscription.

Substack is a subscription platform that is exclusively meant for writers or content writers. It provides many features to its users, like managing mailing lists, creating blog posts, starting discussion threads, receiving payments etc.

All the Substack offerings offered are meant predominantly for newsletter publishers wishing to publish their content for free or paid subscriptions. It gives both writers as well as users to choose between free and paid newsletters.

It was co-founded by Chris Best, Hamish McKenzie, and Jairaj Sethi. Substack Platform was meant for enthusiastic writers who cater to small audiences.

Besides that, it has attracted famous media houses and journalists and has also become a house for corporate newsletters by big companies like CNN, Vox and BuzzFeed.

Recently substack has opened a podcast facility for audio content creators. Its main target is still to focus on people who publish and write newsletters.

It has a very simple basic design that focuses on writing quality content. Editors have different tools to create a good and logical post, and they can also attach images, links, videos and other features.

It has a very straightforward agenda that either newsletter can be published on the web or sent them to users email and publish it.

What is Patreon?

Patreon is a membership platform that is an American company that provides a platform to content creators. It runs a subscription service.

To enter the platform, you have to be registered on Patreon. Patreon is meant for artists, writers and creators.

It also helps them to earn income on a monthly basis by giving perks and rewards. It also charges 5 to 12% fees besides the nominal fees.

It is used by YouTube videographers, musicians, webcomic artists, writers, podcasters, adult content creators etc.

The company was started in the year 2013 by Jack Conte and Sam Yam. Followers of Patreon are known as patrons.

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This platform was made as a motive to allow ‘patrons; to set a fixed amount for their art which is created by the artists. When it was started, it raised $2.1 million from angel investors and venture capitalists.

In the first 1 and a half years, they signed almost more than 125,000 patrons. In 2015, it acquired Subbable, a similar subscription service created by the Green brothers.

Till the year 2017, Patreon had 50,000 creators and 1 million patrons, and it also included a suite of tools like a CRM system, a service that could set up Livestream and a mobile app known as Lens. In 2018, it acquired a company known as Memberful, a membership service company.

Patreon users are grouped according to the content type, such as video/films, podcasts, comics, games, comedy, and education. Creators are provided with membership benefits like seeing how much revenue is generated, setting a maximum limit, and patrons can cancel their payment at any time.

Main Differences Between Substack and Patreon

  1. Substack has 10% flat pricing rates. Patreon varies from 5-12%. And has a tiered structure like Lite, Pro and Premium.
  2. Substack has 1-2 active lakh users and was started in 2017. Patreon has 3 million active users (monthly) and started in 2013.
  3. Substack has a very basic design and a simple setting. Patreon has a page where users and fans get benefits like early access to new work, ad-free content, exclusive uploads and the ability to give suggestions.
  4. Substack focuses on discussions with subscribers, and there is engagement between publishers and readers. Patreon focuses on the comments section after each post is put up.
  5. Substack is a subscription platform and is very user-friendly. Patreon is a membership platform and has a feed, but it is not so user-friendly.
References
  1. https://minuteearth.fione.info/l4GnsY6KgaqjlYo/the-great-acceleration.html
  2. https://heinonline.org/hol-cgi-bin/get_pdf.cgi?handle=hein.journals/onulr46&section=10

Last Updated : 13 February, 2024

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25 thoughts on “Substack vs Patreon: Difference and Comparison”

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