Scaling Online Communities

February 24, 2022
Alessandro Russo

A New Passive Revenue Stream for Communities — Recruitment

Top Pallet partners earn more than six figures per year — without a significant change in their existing workload. If you have an engaged audience, you're sitting on a goldmine.

Online communities, whether that be newsletter writers, discord servers, slack groups, or anything in between, possess a hidden gem that companies spend billions of dollars a year trying to reach: passionate, loyal audiences. Unlike media outlets of old, today's content producers are specialists who draw audiences with very specific interests and skill sets.

In the past, project managers, crypto enthusiasts, and tech literati would have likely settled for the generalized offerings of Forbes or the Wall Street Journal. Perhaps a few knew about niche bloggers. Today they have Lenny Rachitsky, Anthony Pompliano, and Packy McCormick (respectively) providing them with specialized, tailored insights.

If you're at the helm of an online community in this prized position, you likely know this makes you attractive to advertisers, for whom a well-placed spot provides a concentrated boost for their brands. That said, you might not realize that your role also makes you attractive to another powerful group: recruiters.

Recruiting is brutally competitive. Generally accessible job boards make the search a slog for job seekers, and a mess of unqualified candidates for businesses and recruiters alike. By partnering with Pallet to connect businesses with qualified candidates, community leaders can solve this problem in one fell swoop.

Having done the true hard work — cultivating a dedicated audience — partnering with Pallet unlocks a passive revenue stream for online communities. Pallet's recruitment tools regularly earn Pallet partners tens of thousands of dollars a year without any additional content output, or upcharge to their members. To illustrate their full scaling potential, this article details the basic unit economics of Pallet Job Boards and Talent Collectives.

The Path to $150k

A broad spectrum of online communities find success on Pallet.

At one end are those with large audiences (think over 100,000+ members) whose outlets offer a legitimate broad reach. At the other sit communities with more focused, perhaps even vetted audiences (think anywhere from 500 to 5,000). Between those two poles rest a bevy of communities whose audiences constitute a unique hybrid of niche and reach.

Larger audiences are a fit for both tools, the Job Board and Collective alike, from a monetary standpoint. Do note that you may still be interested in Pallet's recruitment tools as a means of providing value to your people, this article, however, will cover the monetary gain we see users have while using our products.

In respects to the job board, large audiences promise a good amount of reach. When a business posts a job, they want to ensure a healthy number of eyeballs and applicants. The job post itself is almost like a top of funnel tool for filling the role. You can't always rely on direct outbound, when making a hire.

On Pallet, the average cost of a "featured" job listing is $400. With some simple math, it's easy to see how quickly that adds up over time: 

-> Twenty companies posting one "featured" job listing yields $8,000 per month, or $96,000 per year.

With just twenty customers in your ecosystem, you can add nearly six figures of revenue to your community. We've seen many communities take Pallet revenue and reinvest it into their offerings.

Now, let's tack on Talent Collectives.

Talent Collectives are application-only groups of professionals community leaders invite directly from their community. Communities usually send a form to their people asking who is open to new conversations, and filter people into their collective through that continuous mechanism. What we've found is that at all times, there is a slice of a community searching for jobs. Simultaneously, community members trust their communities to find them interesting conversations. After all, many communities exist for the direct reason of advancing someone's career.

The unit economics of Talent Collectives are just as attractive, if not more. Businesses will pay an "access" cost for the ability to see everyone in the collective (anonymous members are displayed as anonymous) and request introductions directly. The access cost is a monthly subscription, which usually ranges between $200-1,500 a month dependent on the seniority and volume of talent in the collective. Taking the direct middle, at $850 dollars, here's how it breaks down: 

-> Twenty companies paying for access to your collective yields $17,000 per month, or $204,000 per year.

Again, with just twenty paying customers, you'll be able to tangibly move the revenue needle, and add a steady income stream to your community — all while providing value to the people you cherish the most: members.

The best part? 

You don't have to be discouraged if you don't have existing relationships with businesses. Pallet provides 1:1 support with every partner, and provides custom solutions to fit a partner's needs. Some cases will require Pallet to provide demand generation from businesses, others will simply take the tool and run with it on their own. In either case, we are here to ensure communities goals are met.

Passive Scaling

Community to consumer businesses are inherently hard to scale. Once they reach their peak content volume, or community building activity, they reach an all-too-familiar dilemma: upping the output. Whether that be more content, more events, more benefits to members, constantly upping output reduces quality (and in many cases induces burnout).

Pallet's recruitment tools add an entirely new component to communities' business models. Because of their earnest devotion to communities they are a part of, audiences are a talent asset with living value. Job boards and Talent Collectives allow communities to leverage this asset, while adding additional value.

Developing either a Job Board or Talent Collective takes very little upfront time and effort. You can maintain your current content or community building volume while Pallet connects you with interested businesses. Then, as your audience grows larger and more passionate, your Pallet revenue scales right alongside it.

Low-Cost, High-Margin

Creating community isn't just about entertainment or fun events, it's about giving people resources that will boost their quality of life. By providing specialized access to job postings or a curated selection of businesses to speak to, communities give their people a potentially life-changing resource. There isn't another tool that presents the same level of personalized, privileged access.

Leveraging Pallet's recruitment resources is a low-cost, high-margin option for communities looking to scale their offering. After becoming a partner, Pallet connects you with companies looking to pay a premium to reach niche audiences. That means you get to spend your energy doing what you do best, and Pallet does all the rest.

Pallet can build you a Job Board or Talent Collective in minutes. If you're looking for a low-touch tool to create revenue, apply here.