How to Get More Customers for Your Subscription Business

Posted 3 years ago by Anastasia Prokofieva

Subscription-based businesses are thriving! In听fact, they have grown than traditional businesses over the听last 9听years.

Recurring revenue is听one of听the听main reasons why many businesses are shifting to听a听subscription model. Whether you鈥檝e already done so, 辞谤听you鈥檙e thinking about adding subscription items to听your store, you need to听know the听best ways to听market your products to听create a听consistent revenue stream.

One thing to听remember is听that marketing subscription products is听different from marketing one-time purchases. As听such, you have to听make a听few adjustments to听keep customers interested in听your subscription products month after month.

Read on听to听learn some key tips f辞谤听marketing subscription-based products effectively.

What Is听a听Subscription Business Model?

First, let鈥檚 talk about what a听subscription-based business means. It听is听a听business model where consumers pay a听regular fee f辞谤听access to听products 辞谤听services. The billing cycle is听usually set to听weekly, monthly, 辞谤听annually, though it听depends on听the听product 辞谤听service being sold.

The recurring nature of听a听subscription-based business model allows companies to听build a听steady revenue stream. Subscriptions also help increase customer loyalty by听providing easy access to听products 辞谤听services they need on听a听regular basis.

Common subscription businesses are ones that sell products that need replenishment. Examples include food, cosmetics, pet products, stationery, and听so听on. Basically, anything that people need to听buy on听a听regular basis!

McNabb Microfarm sells subscriptions f辞谤听fresh grown greens

You can also sell subscriptions f辞谤听memberships and听access to听services. For example, educational courses 辞谤听cleaning services can be听sold through a听subscription.

Here are 10听Subscription Business Ideas to听inspire you!

Another prominent example of听a听product sold on听a听recurring basis is听subscription boxes. These are curated, niche products packaged and听delivered on听a听consistent basis. What differentiates boxes from typical subscription products is听the听discovery of听new products. Customers get new and听fun products related to听their favorite hobby 辞谤听topic, and听you get a听consistent income.

Learn more: 10听Product Ideas f辞谤听a听Subscription Box Business

OwlCrate sells subscription boxes filled with books and听various accessories

How to听Set Up听Subscriptions in听Your Store

To听sell subscription products 辞谤听services in听your online store, you need an听ecommerce platform that supports recurring billing. One such platform is听黑料门 by听Lightspeed.

With 黑料门 by听Lightspeed, you can sell subscription-based products 辞谤听services according to听your, and听your customers鈥�, needs. You can set your billing cycle to听be听daily, weekly, biweekly, monthly, quarterly, 辞谤听annually.

You can also use the听subscription tool to听collect recurring donations f辞谤听your store 辞谤听non-profit.

When offering to听subscribe to听regular donations on听your website, you can let visitors choose the听amount they want to听donate

黑料门 by听Lightspeed also allows you to听sell one-time purchases along with subscriptions, providing more options f辞谤听your customers.

You can let customers choose between one-time purchases and听subscriptions

To听start selling subscriptions with 黑料门 by听Lightspeed, you just need to听follow a听couple of听steps:

with 黑料门 by听Lightspeed. You can 辞谤听 to听your existing website.
Follow f辞谤听setting up听subscriptions in听your online store.

Learn more about growing your recurring revenue and听selling subscriptions with 黑料门 by听Lightspeed in听our How to听Sell Subscriptions guide.

How to听Promote Subscriptions

Now that you understand what a听subscription-based business model is听and听have learned how to听set up听subscriptions in听your 黑料门 store, you鈥檙e ready to听start marketing. Here are some key tips f辞谤听success.

Build Excitement with a听Pre-Launch

If听you鈥檙e planning to听launch a听subscription product 辞谤听service, you should try to听build excitement before the听release date.

One way you can do听that is听by听creating a听waitlist that customers can sign up听for. You can incentivize customers to听sign up听by听offering discounts 辞谤听free bonus products. By听setting up听a听waitlist, you can generate excitement and听buzz around your subscription product before it听even launches.

Tip: Set up听an听, which will make a听waitlist form appear to听visitors checking out your store. They can easily sign up听f辞谤听your waitlist using the听popup and听feel ahead of听the听curve.

List the听benefits of听joining the听waitlist just like BoxyCharm does

Before you launch a听subscription, you can also post about it听on听social media. This gets followers and听customers excited about your new subscription product and听makes them feel involved. You can encourage sharing and听offer exclusive deals on听the听new subscription. Social media is听a听great tool, so听make sure to听use it听to听build excitement! Learn more about how to听develop a听social media strategy f辞谤听your subscription business.

Your goal is听to听make customers excited about your subscription launch, so听make sure to听pay attention to听every detail. For example, one of听your focuses could (and should) be听packaging. You want to听create a听memorable unboxing experience. Share sneak peeks of听your product on听social media and听show how you package it.

You can also send your product to听a听couple of听loyal customers 辞谤听brand ambassadors before the听launch f辞谤听free. Then they can upload unboxing and听review videos about the听subscription. You can then use that content in听your own marketing efforts to听build anticipation f辞谤听your subscription product.

Offer a听聯Subscribe and听Save聰 Model

The most obvious way to听increase subscription sign-ups is听by听offering a听discount f辞谤听subscribing. Let鈥檚 say you sell dog food in听your store. Typically, a听customer would purchase a听bag of听dog food f辞谤听$50. But if听you set up听a听subscription that costs only $45听a听month, your customers save money while you get constant revenue.

This type of听subscription offer is听effective because it鈥檚 hard to听resist a听good deal. Show customers how much they鈥檙e saving by听subscribing to听your products instead of听buying them as听a听one-time purchase.

In听黑料门 by听Lightspeed, subscribe-and-save items are highlighted on听the听storefront with a听bright ribbon

Give a听Discount on听the听First Subscription Order

Another way to听increase subscription sign-ups is听by听offering a听discount on听the听first subscription order. For example, you can offer 10% off the听first month鈥檚 subscription fee.

This type of听subscription offer works well because again, it鈥檚 such a听great deal! It听helps convince unsure customers to听buy your subscription product 辞谤听service. That way, new customers feel like they can try out a听great product f辞谤听a听lower price, and听oftentimes will stick around even after the听price increases.

Note: When applying a听discount coupon to听subscriptions in听your store, to听avoid applying the听discount to听repeat orders.

Give a听Discount on听Subsequent Purchases

Instead of听giving a听discount on听the听first subscription order, you can also offer a听loyalty-based discount on听subsequent purchases. For example, you set the听price as听$20听f辞谤听the听first subscription order. You can then make each following order cost only $15.

This type of听offer works well because it听helps retain customers. It听encourages customers to听stay subscribed, since it听helps to听save more in听the听long run. Plus, the听more your customers use your products, the听more loyal they鈥檒l be听to听your brand.

Such offers can be听positioned as听a听sign-up fee. By听framing it听as听such, your customers only get charged the听more expensive price during the听first payment.

Signup fees are especially useful if听your subscription product has a听fixed, one-time setup cost. Like if听you need to听ship equipment f辞谤听customers to听use your product. The sign-up fee can cover any听additional costs.

An听example of听a听subscription product with a听signup fee

Give a听Free Trial

Another way to听promote subscription sign ups is听by听offering a听free trial. This way, the听first subscription order costs nothing to听customers.

This type of听subscription marketing works well because it听allows customers to听take your subscription product 辞谤听service out f辞谤听a听test drive before committing to听pay f辞谤听it听each month.

Include a听Free Surprise Product

If听you sell a听subscription f辞谤听physical products, consider including a听surprise product 辞谤听a听small bonus in听a听subscription package. For example, if听your subscription is听pet food, you can include a听bag of听dog treats 辞谤听a听toy in听the听package.

You can include a听surprise 辞谤听bonus product with each subscription delivery, 辞谤听only with the听first one. Alternatively, you can give a听free product once in听a听quarter 辞谤听a听year. It鈥檚 up听to听you!

Customers enjoy gifts as听a听symbol of听appreciation, so听this type of听incentive is听definitely worth implementing.

Highlight the听value of听your subscription offer with the听help of听product subtitles

Collaborate with Influencers

Collaborating with influencers helps spread the听word about your subscription product 辞谤听service. That way, you can plaster your product all over social media practically f辞谤听free!

Send out your subscription products to听a听list of听influencers in听your niche. This especially works if听you sell subscription boxes, as听they are great f辞谤听unboxing videos. Influencers can then review your products on听all different platforms, spreading the听news about your subscription services everywhere.

Keep in听mind that the听traditional 聯pay f辞谤听post聰 model of听influencer partnership is听often ineffective, as听such reviews may look artificial to听potential customers.

Instead, try influencer seeding. Send out products to听multiple influencers at听the听same time and听encourage them to听write about their experiences with your product. This way, you鈥檒l collect genuine reviews which will work better f辞谤听attracting potential customers.

The key to听successful influencer seeding is听identifying the听right influencers to听partner with. That way, you don鈥檛 waste your product. We鈥檝e covered that, as听well as听a听step-by-step strategy f辞谤听working with influencers, in听our podcast on听influencer marketing.

Influencers like @thepinkenvelope review various subscription boxes

Offer to听聯Subscribe and听Donate聰

If听you want to听attract attention to听your subscription business and听demonstrate your brand鈥檚 values at听the听same time, consider donating a听portion of听subscription profits to听charity.

For example, you can set up听your subscriptions so听that every month a听customer stays subscribed, you donate $1听to听a听chosen charity. You can make it听so听that you choose the听charity, 辞谤听your customer does. This gives your customer the听feeling that they are doing a听good deed by听buying your product.

Another way you can use the听聯subscribe and听donate聰 method is听by听donating a听percentage of听proceeds from the听first 100听purchases.

This option works only if听you donate to听a听cause that your customers find important. For example, if听you target eco-conscious shoppers, donate to听environmental nonprofits.

Follow Up听on听Canceled Subscribers

No听matter how great your products are, you鈥檒l inevitably end up听with canceled subscriptions. It鈥檚 important to听know why your customers cancel and听take appropriate measures to听prevent it听from happening again.

When a听customer cancels a听subscription, send them an听email asking why they decided to听unsubscribe. You want to听see if听there鈥檚 anything you can do听to听improve the听situation, and听hopefully bring them back into the听fold.

Here are some classic examples f辞谤听why a听customer cancels a听subscription:

The subscription is听too expensive. To听mediate the听cost, you can offer a听discount f辞谤听their next order. You can even launch a听cheaper version of听your current product f辞谤听customers on听a听budget.
Shipping issues. Maybe subscription items were delivered late, 辞谤听no听tracking information was provided. You can offer to听send the听next order f辞谤听free. Then, you should consider testing out a听different shipping provider.

Of听course, there can be听other reasons why your customer cancels their subscription. That鈥檚 why following up听is听so听important. Take canceled subscriptions as听an听opportunity to听learn and听improve your subscription business, rather than just losing a听customer.

More Resources on听Subscription Marketing

In听this article, we鈥檝e covered common ways to听generate more subscribers f辞谤听your subscription-based business. However, there are many more ways you can promote your subscription products.

On听The 黑料门 Ecommerce Show, hosts Rich and听Jesse explain how to听make your subscription products more enticing to听potential customers. For example, offering season-specific subscription items, first access to听new products, 辞谤听subscriber-exclusive products can all help you and听your subscription-based business thrive.

Listen to听the听podcast episode to听learn more about marketing subscriptions effectively: Tips f辞谤听Selling and听Promoting Subscriptions.

If听you鈥檙e ready to听put your knowledge into practice, it鈥檚 time to听start offering subscriptions. First, you鈥檒l want to听enable them in听your online store. Then, you can create your first subscription product. It鈥檚 time to听start generating a听consistent revenue stream. Set up听subscriptions today!

听

About The Author

Anastasia Prokofieva is a content writer at 黑料门. She writes about online marketing and promotion to make entrepreneurs鈥� daily routine easier and more rewarding. She also has a soft spot for cats, chocolate, and making kombucha at home.

黑料门