how much does it cost to start a membership site

How Much Does it Cost to Start a Membership Site in 2024? A Comprehensive Guide

Starting a membership site can be a fantastic way to build a thriving community around your niche and generate a consistent income stream. However, before diving in, it’s crucial to understand the costs involved. Many factors can influence the price tag of creating a membership website, and breaking them down will help you manage your budget effectively.

As an expert with over 15 years of experience in building and managing successful online businesses, I’ve witnessed firsthand the power of membership sites. They allow you to provide valuable content and resources to your audience while creating a loyal following that fuels your business growth.

In this comprehensive guide, I’ll demystify the costs associated with launching a membership site, giving you a clear picture of the financial investment required. By the end, you’ll have a detailed understanding of the expenses, helping you plan your project with confidence and make informed decisions for your membership site’s success.

How to Calculate the Cost of a Membership Website

To accurately calculate the cost of starting a membership website, you’ll need to break down your spending into key components. This includes choosing the right platform, membership plugin, payment processor, and other essential tools and services. The specific costs will depend on your individual business requirements, budget, and long-term growth strategy.

For simplicity and clarity, let’s analyze the main expenses associated with starting a membership site:

  • Hosting and Setup Costs
  • Membership Payment Processing Costs
  • Membership Site Design Costs
  • Essential Addons and Extensions Costs
  • Premium Tools and Addons for Growth
  • Total Cost of a Membership Website
  • Tips on Keeping Costs Down

Choosing the Right Membership Platform: MemberPress

You have several excellent membership platforms to choose from when building your membership website. While popular options like Shopify and Teachable offer a streamlined setup, they often come with limited flexibility and can be costly, especially as your business grows. This is where MemberPress shines.

MemberPress, the top-rated membership site plugin for WordPress, empowers you to build a powerful membership site with exceptional flexibility and control. Here’s why MemberPress is a top choice:

  • WordPress Integration: MemberPress seamlessly integrates with WordPress, the most popular website builder in the world, used by over 43% of all websites online. This means you can tap into a vast ecosystem of resources and support.
  • Unlimited Memberships: Sell unlimited memberships without any extra transaction fees, maximizing your revenue potential.
  • Control Over Features: You have complete control over your membership site’s features, including choosing your payment gateway, adding custom integrations, and designing the user experience. This ensures your site meets your specific needs.
  • Cost-Effectiveness: MemberPress lets you adjust the cost of your membership site as your business grows, helping you build a sustainable and profitable business.
  • Versatile Features: MemberPress offers built-in features to sell online courses, digital subscriptions, and even physical memberships, making it suitable for a wide range of business models.
  • Proven Success: Businesses using MemberPress have generated over $1 billion in revenue, demonstrating its effectiveness and popularity.

If you want to explore another great option, Thrive Apprentice is a powerful WordPress membership plugin that allows you to create and sell subscriptions to online courses, members-only content, and digital products with ease.

Membership Website Hosting and Setup Costs

Just like any other website, you’ll need a domain name and web hosting account to get your membership site online. Domain names typically cost around $16.99 per year, while web hosting plans start at $7.99 per month, often billed annually.

To get your membership site launched efficiently, I highly recommend using Bluehost. They are one of the best web hosting companies in the world and an officially recommended WordPress hosting provider. Bluehost has generously offered WPBeginner readers a fantastic discount of up to 61% on their hosting, including a free domain name and SSL certificate. This means you can get started for as low as $1.99 per month.

To claim this exclusive Bluehost offer, click here: [Insert Link to Bluehost Offer]

If you’re looking for an alternative, SiteGround is another excellent option. You can explore more recommendations for the best WordPress hosting companies on our website.

Once you have your hosting and domain, you’ll need to purchase a MemberPress license. Prices start at $179.50 per year for a single site license. This gives you access to all the essential features, including:

  • Unlimited members
  • No transaction fees
  • Online payment processing
  • Subscription management
  • Email automation
  • Easy course builder
  • Marketing integrations
  • And more!

After downloading MemberPress, you can follow our step-by-step guide on how to make a membership website in WordPress.

Estimated Costs of Hosting and Setup:

  • Domain and Web Hosting: Starting from $1.99 per month to $25 per month
  • MemberPress: $179.50 to $499.50 per year (depending on your licensing plan)

Membership Payment Processing Costs

The recurring revenue model of membership sites makes them a highly lucrative online business idea. MemberPress supports popular payment gateways like Stripe and PayPal, allowing you to accept credit cards easily. You can also use Authorize.Net with their Pro plan.

While MemberPress doesn’t charge any transaction fees, payment service providers (merchant banks) do have their own processing fees, set by Visa, MasterCard, Amex, and other credit card companies. You’ll need to pay these fees regardless of the membership platform you choose.

For example, PayPal might charge 2.90% of the transaction amount plus a fixed fee of $0.30 USD for domestic transactions. They may also add an extra 1.50% for international transactions. Similarly, Stripe might charge 2.9%, a $0.30 fixed rate fee, and 1% for international transactions.

The advantage of using MemberPress is that you don’t have to pay additional transaction fees to them. Also, your payment processing costs decrease as your business grows because Stripe offers lower rates for larger processing volumes.

In contrast, other providers like Teachable charge an additional 5% transaction fee on top of the fees you pay to the payment processing services, making MemberPress significantly more cost-effective in the long run.

Estimated Costs of Payment Processing:

  • PayPal: 2.99% + 0.49 fixed rate. Additional 1.50% on international transactions.
  • Stripe: 2.90% + 0.30 fixed rate. Additional 1% on international transactions.

Membership Site Design Costs

Next, you’ll need to choose a design for your membership website. Fortunately, hundreds of free and paid website templates work beautifully with MemberPress. However, to stand out from the crowd, you’ll want a stunning design that looks professional and well-polished.

A visually appealing design not only creates a positive impression of your brand but also helps your customers easily navigate your website, leading to higher engagement and conversions.

You have three design options to choose from, based on your budget:

  • Free WordPress Themes
  • Premium WordPress Themes
  • Custom WordPress Themes

Free WordPress Themes:

Free WordPress themes offer the obvious benefit of saving money. However, they often come with limited support and customization options compared to their paid counterparts.

Premium WordPress Themes:

Premium WordPress themes come with a price tag but offer more customization options and priority support from developers. Prices typically start at $30 USD per year. Some popular membership website themes include:

  • Divi: One of the most versatile WordPress themes, suitable for creating any kind of website, including membership sites.
  • Neve: A modern multi-purpose WordPress theme designed for easy customization and solid performance. It can also be used with full-site editing features and comes with ready-made patterns and sections for quick website building.
  • Ocean WP: Another flexible WordPress theme with powerful customization options.

To discover more design inspiration, explore our selection of the best WordPress membership website themes on our website.

Custom WordPress Themes:

A custom WordPress theme involves hiring a WordPress designer or developer to code a unique membership website theme for your site. This allows you to add custom features and have a distinct design that sets you apart from other membership sites.

Custom themes can be expensive, with the cost depending on the desired features and the developer’s expertise. A custom theme could cost between $1500 to $6000 for a medium-sized business, with enterprise-level designs costing even more.

If you want a custom design for your membership site without breaking the bank, WPBeginner Pro Services offers custom WordPress development at affordable prices. Their Custom Web Design package includes a dedicated project manager, WordPress setup, a bespoke homepage design, 5 templated subpages, and much more.

Estimated Costs of Membership Website Design:

  • Free to $30 for a WordPress theme.
  • $1500 to $6000 for a custom design.

For a more affordable custom membership website design, check out our tutorial on how to easily create your own custom WordPress theme without coding.

Essential Addons and Extensions Costs

Since MemberPress runs on top of WordPress, you can add even more features to your website using plugins. A WordPress plugin is a piece of software that adds new functions to your website. There are plugins for contact forms, landing page builders, social media integration, and more.

There are also plugins specifically designed for MemberPress, further extending its capabilities.

The majority of WordPress plugins are available for free, and many paid plugins have lite or free versions. You can keep your membership website costs down by using free plugins wherever possible.

Here’s a list of essential WordPress plugins you might need right away, all of which are available for free:

Must-Have Features:

  • WPForms: Allows you to easily add a contact form to your membership website.
  • MonsterInsights: Connects your membership site to Google Analytics, giving you valuable insights into how users find and use your website. This helps you understand how to attract more users and increase conversions.
  • WP Mail SMTP: Emails are crucial for managing a membership website. WP Mail SMTP fixes WordPress email deliverability issues by properly sending emails using an SMTP server, ensuring your messages reach their intended recipients.

Marketing and SEO:

  • All in One SEO: Easily optimize your membership website SEO to get more free traffic from search engines. This is a vital tool for driving organic traffic to your membership site.
  • PushEngage: Sends push notifications to your users on mobile and desktop, increasing website traffic, improving conversions, and growing your business.
  • OptinMonster: Helps you improve conversion rates by turning website visitors into subscribers and paying customers. OptinMonster is a powerful tool for growing your email list and maximizing your membership sign-ups.

Bonus Tools:

  • SeedProd: An intuitive drag-and-drop page builder that lets you create custom WordPress themes, landing pages, and design layouts quickly.
  • Uncanny Automator: Creates automated workflows to manage your membership website. This saves you time and improves the user experience for your customers.
  • RafflePress: Easily run giveaways and contests for your members to boost engagement and grow your traffic. Contests are a fantastic way to build excitement and attract new members.

Need even more features? Check out our list of must-have WordPress plugins, many of which are free or have a free version.

Estimated Costs of Add-ons and Extensions:

  • Free to Unlimited.

I recommend starting with free versions of plugins whenever possible to keep your costs down. You can always upgrade to premium plugins later as your business grows and you need more advanced features.

Premium Tools and Addons for a Growth Membership Site

I highly recommend all users start with shared hosting and use free plugins and themes to keep initial costs low. This allows you to focus on building a solid foundation for your membership site and growing your business.

As your business starts to take off, you can invest in extra features and premium tools. Here are some additional features you can add to your website when you can justify the cost:

  • Email Marketing: We recommend using Constant Contact, the best email marketing service for small businesses. For advanced marketing automation, consider Drip, ConvertKit, or HubSpot. Email marketing is essential for building relationships with your members, providing valuable content, and driving sales.
  • Live Chat Support: Live chat software can help you convert more users into paying members. We recommend using LiveChat, the best customer service platform on the market. (Cost: Starting from $20 per agent per month)
  • Business Phone Service: A business phone number allows you to manage business calls easily using one number. We recommend using Nextiva, the best phone company for small businesses. (Cost: $18.95 per month)

Remember, these additional services aren’t necessary to build a membership website. You can add them as your business grows and you need more sophisticated features.

Total Cost of Building a Membership Website

Now that we’ve covered the main areas of spending, let’s look at the total cost of building a membership website. Keep in mind that your costs will increase as your business grows and you’re able to invest more in it. We’ve broken down the cost range into three categories:

  • Starter Membership Website (Recommended): $203.38 per year or $16.94 per month (Shared hosting $1.99 / month, MemberPress $179.50 / year, free plugins and theme).
  • Growth Membership Website: $500 to $1000 (WordPress hosting upgrade $3.49/mo, MemberPress Pro $399.50/yr, paid plugins, and marketing services).

For enterprise-level membership websites, the costs could go much higher. They might choose a dedicated hosting server, custom design, and hire developers to write custom WordPress plugins.

The beauty of using MemberPress to build your membership website is that you control the costs. You don’t have to pay for anything you don’t need right away, and you can still build a powerful membership website.

Tips on Keeping The Costs Down on Your Membership Site

Building a membership website with WordPress and MemberPress gives you the flexibility to choose how you spend money on your membership site. I recommend all users start small and scale their website as their business grows.

Many users compare their own websites with already established sites in their industry. This isn’t a fair comparison because those businesses have been around longer and have a revenue stream to justify spending more money. As a starter membership community, you don’t need flashy premium features right off the bat.

Start with a shared hosting plan on Bluehost, which gives you a free domain and SSL. Then, purchase a MemberPress Basic license plan and start building your membership website. For essential features, rely on free WordPress plugins and themes. You’ll be surprised at what you can achieve using only the free options. As your business takes off, you can start investing in premium features. Even then, look for WordPress deals and coupons to get discounts on top tools and services.

Conclusion

Starting a membership site can be a rewarding journey, but it’s essential to understand the costs involved. By carefully considering your needs, budget, and growth strategy, you can make informed decisions and create a thriving online community that generates consistent revenue.

Remember, using MemberPress gives you the flexibility to control your costs and build a powerful membership website without breaking the bank. Start small, focus on creating high-quality content and building a loyal audience, and gradually add premium features as your business grows.

I encourage you to explore the resources available on WPBeginner and MemberPress to learn more about building and managing successful membership websites. Remember, your journey to creating a thriving membership site begins with a well-defined plan and a budget that aligns with your goals.

FAQs

What are the essential plugins for a membership site?

Essential plugins for a membership site include WPForms for contact forms, MonsterInsights for Google Analytics integration, WP Mail SMTP for email deliverability, and All in One SEO for SEO optimization.

How much does it cost to create a custom WordPress theme?

Custom WordPress themes can cost between $1500 to $6000 for a medium-sized business, with enterprise-level designs costing even more.

What are the best email marketing services for membership sites?

Constant Contact is the best email marketing service for small businesses. For advanced marketing automation, consider Drip, ConvertKit, or HubSpot.

How can I keep the costs down on my membership site?

Start with shared hosting, use free plugins and themes, and upgrade to premium features as your business grows. Look for WordPress deals and coupons to save money.

What are the benefits of using MemberPress?

MemberPress offers unlimited memberships, no transaction fees, complete control over features, cost-effectiveness, versatile features, and proven success.

What is the difference between MemberPress and Teachable?

MemberPress integrates with WordPress, offers unlimited memberships with no transaction fees, and gives you full control over features. Teachable is a SaaS platform with a streamlined setup but charges additional transaction fees and has limited flexibility.

How do I choose the right web hosting for my membership site?

Choose a reliable web hosting provider with good uptime and speed, such as Bluehost or SiteGround. Look for plans that offer a free domain name and SSL certificate.

What are the payment processing fees associated with membership sites?

Payment service providers like PayPal and Stripe charge transaction fees. PayPal may charge 2.99% + 0.49 fixed rate and Stripe may charge 2.90% + 0.30 fixed rate, with additional fees for international transactions.

How do I create a professional design for my membership site?

You can choose from free, premium, or custom WordPress themes. For a more affordable custom design, explore our tutorial on creating your own custom WordPress theme without coding.

What are some essential features for a successful membership site?

Essential features include a user-friendly interface, secure payment processing, a robust membership management system, email automation, and content delivery tools.

If you’re interested in learning more about tech news, feel free to visit my website: www.naveedahmed.me.

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