Subscription company websites had more than 37 million visitors in the month of April 2017 but we calculate it for today then you will be amazed to see the results as it has grown by over 800%. I know, The next question comes on you mind is what do you mean by subscription businesses and Why are these so popular among the world?
Subscription Business : Definition
It is a company that sends you a package on items that you have picked out usually once a month depends on your subscription plan. Here are the top subscription Sites:
3.DOLLAR SHAVE CLUB
4. HOME CHEF
5. STITCH FIX
6. LOOT CRATE and many more
Why Is This Happening?
The reason is advance technology. yes, you have heard right. As subscription businesses have adapted the mobile more faster as compared to other retailers due to which the growth of subscription industry increases. Lululemon was the last billion dollar fashion brand which was created by the CEO of TechStyle- Adam Goldenberg. At that time, there was no social media and no smart phone. But now, we have better way such as digital medium to promote as opposed to the way it was done in few last years but at the same time, it is the demographics of the customer base which creates the explosion of subscription businesses with the use of technology and yes, it is very attracting. According to the Hitwise, approx. 5.7 million subscription box shoppers are in the US today and they overindex for:
4.Household income exceeding $100 thousand
5.Children ages 3-5 in the household
The most important reason is retail tastes have changed which increases the subscription companies’ growth. In order to make the customer more excited then you have to offer something which is unexpected and subscriptions are an ideal instrument for surprise. If you want to go with demographic reason then it really mean that people are more likely to be subscription customers who fit on those demographics but at that same time it is not necessary they are the only ones who are subscription customers.
To achieve success in subscription industry then one has to understand that it is not just about numbers and data. We have to remember that our customers are humans driven by deep needs and desires. It is very necessary to focus on the psycho graphics of the customer and emotional arc of their experience. As we all know that most powerful customer experiences are less if we find.