Owning stuff no longer holds the same appeal for today’s consumers. Instead, many are turning to subscriptions – and for good reason. Why buy something at full cost and have to deal with maintenance and depreciation, when you can achieve the same outcome without the hassle?
Unsurprisingly, many companies are now looking to capitalize on subscription commerce – a market that we estimate to be worth over $240 billion globally by 2022. Check out our infographic below to discover the top subscription growth statistics, trends you’ll need to embrace, as well as our top recommendations for success.
Best practices for boosting your subscription conversion
If you’re already offering a subscription service, or about to launch one, how do you stay competitive? Here are our top recommendations:
Deliver a personalized experience to improve value
If your subscription business offers big-ticket items or services, then your customers are expecting a premium, personalized experience. You can achieve this by giving your customers room to customize their subscription.
For instance, if you’re a luxury automaker providing a private lease plan, you could let your subscribers choose the preferred color or material of their seats.
For consumable goods providers, you can also offer your customers a degree of customization by collecting their preferences and then curating the subscription to their personal tastes.
Acquire more customers through positive reviews
Recommendations go a long way towards making your subscription service stand out from your competitors’. Try to get positive reviews of your service published online and encourage word-of-mouth promotion among your existing customers. For instance, you could discount one month’s subscription fee for every successful referral.
Make it easy to pause the service or alter the volume of goods received
If your customer’s going on vacation, they might not need or want to receive their items for that period. Or maybe their partner’s going on vacation, and they’ll need fewer items than they usually receive.
Let them pause their subscription without hassle or change the size of their subscription when they need to, so they don’t feel locked into paying for a service that doesn’t meet their needs.
Set up recurring billing to reduce churn
A crucial step in getting your subscription service off the ground is in being able to automatically bill your customers every interval, without requiring them to go through the hassle of manual payment.
A payments platform like Payvision can help you set up recurring payments so you can eliminate checkout friction, count on repeat business, and get paid on time.