Three words we all want to hear: Predictable recurring revenue.
That’s one of the beauties of having a subscription business.
Lots of e-commerce stores recently hopped on the subscription trend. With good reason, too.
Why you should have a subscription program?
Here are three reasons why your store consider having a subscription program:
Increased retention
Who doesn’t want to see their brand’s lifetime value (LTV) increase? Afterall, brands pay top dollar to acquire customers nowadays, so you want them to come back.
More touchpoints with your customers
Nothing gets attention like a new package in the mail. It’ll beat an email every time. Use this opportunity to cross-sell another product, or to let them know about your new drops!
Easier forecasting
One of the most impactful parts of a subscription program is that you’ll already know how many sales you’re going to make for next month. And you can plan appropriately. No more wasted inventory!
Not to mention, you basically cancel out your own customer acquisition costs by having them purchase from your store on a recurring basis.
The best part?
Once you establish your product’s value and convenience, your customers start expecting their favourite shampoo bottle to arrive at their door once every two months.
And they tell their friends about it.
The takeaway?
As long as your product is needed on a consistent basis, you should consider having a subscription program.
Think you’ll start one? Let us know how it goes!
