How to grow 26% faster and 14% more profitable than your competitors
From professional services to retail – subscription services are booming.
McKinsey’s research: 15 per cent of online shoppers have one or more subscriptions to receive products on a recurring basis. Buyers want a great end-to-end experience and automated purchasing that gives them tangible benefits, such as lower costs or increased personalization.
What is a subscription business model?
- It’s a recurring revenue model – customers pay a weekly, monthly, or yearly fee in exchange for your products or services.
- Customers can renew their subscription after a certain period of time.
Brands offering subscriptions grew 26% faster and were 14% more profitable than those that didn’t.
Now you can Influence and Sell more without any advertising spend – your first subscribers are likely to be some of your current and former customers.
The keys to success include
- careful segmentation of buyers – know precisely what they want,
- targeted offer,
- engage more with subscribers to reduce churn,
The advantages include having a growing
- and engaged community of buyers who love their subscription,
- more reviews,
- more word of mouth,
- more content,
- more social proof, etc.
The advantages of business subscriptions:
Predictable revenue. predictable monthly cash flow.
New data set of high LTV customers. with a lot of high-quality data on subscriber behaviour providing insights on how to roll out further segmented offers.
Customer convenience. If you have a small-time legal issue – knowing you are covered by your monthly subscription – makes sense.
Community building. Your subscribers are generally also your most engaged segments. As a brand, facilitating a community for others to connect is the best social proof for any new customers.
What types of businesses suit subscription businesses?
- Funeral businesses – prepaid funerals – are possibly the earliest version of subscription businesses.
- Consumable products,
- Professional services,
- Products within routine maintenance,
- Recruitment,
- Telemedicine
- Media,
- Advertising,
Every business could be a subscription business.
Consider a range of add-ons for subscription businesses:
- Loyalty programs. reduce churn by developing a compelling reason to continue.
- Exclusive subscriber-only benefits,
- Special events,
- Link with adjacent businesses to cross-sell, professional services subscriptions a legal practice could cross-promote an accounting practice,
Now the most valuable asset in the world today is attention.
The FASTEST growing businesses have one thing in common they get more attention on multiple social media platforms – every day.
- They get more attention first
- Next More engagement
- Influence and Sell More.
ACCELERATE DELIVERS MORE – 100x more organic ATTENTION + ENGAGEMENT – FASTER to Influence and Sell more within 100 days on average.
Without
- paid advertising,
- lots of content generation,
- and without doing a lot of outreach #socialselling,
Get our quick-video case study of how we delivered 500x more attention in under 120 days – with real people.
ACCELERATE – provides a monthly subscription social media publishing + strategy service.
If you have read this far, thank you for your attention.
It means a lot. I hope this helped you even a little bit in better making sense of this topic. If so, please, share it with a friend who might also benefit from it.
Thanks for reading,
David
