Level Up Your Income: How to Start a Membership Business

Author 
Chipo   0

Updated on January 28, 2025

What if your monthly revenue was as predictable as your monthly bills? If I had to pinpoint the most common theme among successful entrepreneurs, it's moving away from one-off sales toward subscription models.

Let's be real: there are plenty of posts out there about building membership sites. But most skip over the actual work that goes into making them successful.

In this post, I'm breaking down the exact steps you need to take to build a membership site that lasts. No fluff, no unrealistic promises — just practical steps you can start implementing today.

By the time you finish reading, you'll know:

  • What type of membership could work for your business
  • The essential building blocks you need in place
  • How to structure your offering for long-term success
  • Common pitfalls to avoid

Let's get started.

Why Membership Sites Are Money-Making Machines

Want to know what the most profitable online businesses have in common? They've figured out how to make money while they sleep —and membership sites are the perfect example of this.

Think about traditional business models for a second. You create something, sell it once, and start over. Or you trade your hours for dollars, constantly looking for the next client or project. It's exhausting, and there's always a ceiling on your growth.

Membership sites flip this model on its head. Let me show you why they work so well:

  • Monthly Cash Flow You Can Count On: Think about switching from unpredictable rain showers to having a steady stream of water. That's what membership income can feel like. Instead of constantly chasing new customers for one-time sales, you've got predictable income showing up every month.
  • Build a Real Community Around Your Stuff: This isn't just about selling access to content - it's about creating a space where people connect over shared interests or goals. When members start helping each other, sharing wins, and building relationships, they stick around for the long haul. I've watched countless communities grow where members become friends and even business partners. That kind of organic community growth is pure gold.
  • Sell Once, Earn Over and Over: Here's what's beautiful about the membership model: you create something once, but you get paid for it repeatedly. That training course you made six months ago? New members are still getting value from it today - and you're still getting paid for it. It's working smarter, not harder.
  • Your Members Help Create Content: This is one of the lesser-known perks: active members often become content creators themselves. Through questions, discussions, and sharing their experiences, they generate valuable content that benefits everyone. Think about it - member success stories, case studies, and group discussions all become part of your membership's value, and you didn't have to create it from scratch.
  • You're Building an Asset You Can Sell Later: Unlike service-based businesses that depend entirely on you, a membership site can run without your constant presence. You're building systems, content libraries, and communities that have real value. Down the road, if you decide to sell, you've got something tangible to offer - recurring revenue, proven systems, and an engaged community.

And you don't need to be a tech wizard or have a massive following to start. What matters is having valuable knowledge or resources that people want ongoing access to. Start small, focus on delivering real value, and grow from there.

Let's Build Your Online Membership Business

The steps to building a membership site might seem overwhelming at first. But when you break it down into bite-sized pieces, it's surprisingly manageable. Here's your step-by-step guide to getting started.

Step 1: Find Your Sweet Spot

Before you dive into the technical setup or start creating content, you need to nail down your focus. I've seen too many membership sites fail because they rushed past this foundational step. Here's what you need to figure out:

  • What You're Good At: Make a list of your skills, experience, and knowledge. What do people already come to you for help with? What problems do you solve better than most? Sometimes it's the skills we take for granted that others find most valuable.
  • What People Will Pay For Monthly: Having expertise is great, but it needs to solve an ongoing problem or fulfill a continuous need. Think about it - people pay Netflix monthly because they want ongoing entertainment. Your membership needs to provide that same kind of recurring value. Look for problems that don't have a "one and done" solution.
  • Who Your Ideal Members Are: Get specific here. Instead of "small business owners," think "female coffee shop owners who want to scale beyond their first location." The more clearly you can picture your ideal member, the easier it becomes to create content they'll love and market to them effectively.

  Pro tip  

The sweet spot often lies at the intersection of these three elements. When you find it, your membership almost markets itself because you're offering exactly what a specific group of people needs, month after month.

Step 2: Plan Your Content

After helping many clients structure their memberships, I've learned that content planning can make or break your success. Let's break down the key pieces you need to figure out before you launch.

First up is deciding on your membership levels. Keep it simple at first - maybe start with just one or two tiers. A basic tier might include core content and community access, while a premium tier could add monthly coaching calls. I've seen too many people get stuck trying to create complex multi-tier systems. Trust me, you can always add more options later.

An example of membership tiers and how they differ

Pro tip

Membership tiers are often the most challenging part of setting up your platform and it's mainly because people don't know how to organize them correctly. If you need more guidance on getting this part right, check out this detailed guide.

Next, map out what you'll actually give members each month. Think about a mix of content types that serve different learning styles. One main training video, two live Q&A sessions, and monthly templates or worksheets might be plenty. The key here? Consistency beats quantity. It's better to deliver three solid pieces of content reliably than promise ten and struggle to deliver.

Your content calendar needs to stretch at least three months ahead. This runway helps you stay ahead of deadlines and create content that builds on itself logically. Plus, it lets you spot any gaps in your content early. You can show potential members exactly what they'll get in their first few months - this clarity helps them make the decision to join.

Step 3: Set Up Your Membership Platform

Let's talk tech setup - but don't worry, this doesn't have to be complicated. I've helped set up dozens of membership sites, and while there are many options out there, a few stand out from the pack.

For most people starting out, I recommend looking at Thrive Apprentice, MemberPress, or WishList Member. Each has its strengths: Thrive Apprentice works great for course-based memberships, MemberPress offers solid all-around features, and WishList Member is perfect if you want something straightforward and reliable.

My go-to? Thrive Apprentice.

Thrive Apprentice

It's easy to use, even easier to set up your products and sell, and you can create as many membership tiers as you need. It's especially perfect for course creators who want a space to sell their courses and foster a community. Check it out:



Before you jump into platform setup, make sure your website is ready to handle a membership area. This means having a solid hosting provider (looking for recommendations? Check out this guide) and making sure your site loads quickly (which you can easily do with this tutorial). Your members will access your content regularly, so a slow website will frustrate them quickly.

For payments, you'll want to set up both one-time and recurring payment options. Most membership platforms integrate with popular payment processors like Stripe and PayPal. Pick at least two payment methods - this gives your members options and provides backup if one system has issues.

Easily set up a Stripe payment process in Thrive Apprentice


Pro tip

Want a detailed walkthrough of the technical setup? I've got you covered. Check out this complete guide on How to Build a Membership Website where we walk through each step with screenshots and specific instructions.

Step 4: How to Price Your Memberships

Pricing trips up a lot of membership site owners. After watching hundreds of launches, I can tell you that getting your pricing right isn't about copying what everyone else charges - it's about finding the sweet spot for your specific audience and offerings.

Let's talk monthly vs annual options. Always offer both. Monthly subscriptions make it easier for people to say yes initially, but annual plans (with a discount) improve your cash flow and reduce admin work. I typically see businesses offer a 15-20% discount for annual payments, which works well to encourage longer commitments.

When it comes to actual pricing, look at the value you're delivering, not just your time creating content. A $47/month membership that helps people save $200 monthly on their business expenses is a no-brainer. A $197/month membership that helps real estate agents close one extra deal per month is actually underpriced.

Member perks don't have to be complicated. Some of the most effective ones I've seen include:

  • Early access to new content
  • Monthly group coaching calls
  • Member-only discounts on other products
  • Private community access
  • Quarterly planning sessions

Want to avoid common pricing pitfalls? Check out my article on Pricing Mistakes to Avoid, where I break down the pricing traps I see people fall into - and how to sidestep them completely.

  Pro tip  

Don't start too low thinking you'll raise prices later. It's much harder to increase prices for existing members than to start at a sustainable price point.

Step 5: Launch Prep

You're almost ready to open the doors, but first let's get your launch materials in order.

Your sales page needs to speak directly to your ideal members' problems and show them exactly how your membership solves these issues. The most effective sales page strategy includes real examples, clear deliverables, and specific outcomes. Skip the hype and focus on what members actually get - like "Weekly coaching calls every Tuesday at 2pm EST" instead of vague promises.

Copyblogger, for example, has a really effective sales page for their academy. It's to the point, uses a good balance of design elements to grab attention, and lets you in on what to expect when joining their crew.

For email sequences, plan three key parts:

  1. Pre-launch emails that warm up your audience
  2. Launch week emails that drive signups
  3. Welcome emails for new members

Most people obsess over launch emails but neglect their welcome sequence. Big mistake. Your first month's content needs to be ready and waiting. When someone joins, they should immediately get access to something valuable - a quick win that proves they made the right choice.

Have all this prepped before you start promoting. There's nothing worse than scrambling to create content while trying to manage a launch at the same time - I've seen it happen too many times.

Pro Tips: Running a Successful Membership

After watching hundreds of memberships grow (and some struggle), I've noticed patterns in what works. Here's what the most successful membership owners do differently:

  • Keep Showing Up: Your members joined because they believe in what you're offering - now you need to keep delivering. This doesn't mean working yourself to death. It means having a clear schedule and sticking to it. If you promise weekly trainings, show up weekly. Simple as that.
  • Listen to Your Members: Your members will tell you exactly what they want - if you listen. Pay attention to questions in your community, comments during live calls, and feedback in surveys.
  • Add Personal Touches: Personal touches make a big difference. Send birthday messages. Celebrate member wins. Jump into community discussions. These small actions take minutes but build lasting loyalty.
  • Run Special Events: Create excitement and fresh energy with challenges, guest experts, or virtual meetups. These moments give members stories to share and reasons to stick around. They also break up the regular routine and spark new connections.
  • Reward Loyal Members: Long-term members are gold - treat them that way. Give them extra perks, ask their opinions on new features, or invite them to beta test new programs. They're not just loyal customers; they're advocates for your membership.
  • Handle Cancellations Gracefully: When someone leaves (and some will), handle it professionally. Ask for feedback, thank them for their time, and leave the door open. I've seen members return months later because they appreciated how smooth the cancellation process was.
  • Keep Improving Your Content: Your content should evolve with your community. What worked last year might need updating. What members needed when they started might be different from what they need now. Keep refining, updating, and improving based on what you learn.

Remember: Running a membership is a marathon, not a sprint. Focus on steady improvements rather than dramatic changes, and you'll build something that lasts.

Are You Ready to Kickstart Your Membership Business?

So, as you can see, setting up your membership business does require some work but with the right guidance, you'll be up and running in no time!

Start with the basics: figure out your sweet spot, plan your first month of content, and choose your platform. Don't get caught up trying to make everything perfect. Launch with what you have, learn from your first members, and improve as you go.

And if you're looking for the right platform to set up your business, then give Thrive Apprentice a try. 

Don't put this idea off for another year. Start building your business today!

by Chipo  January 28, 2025

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