There are many excellent examples of good subscription businesses trading on the market. Some of these are notable because of the uniqueness of their products or because of their financial performance. By learning about successful businesses, you can determine trends and apply those aspects within your own subscription business’ strategy.
Here are five of the most noteworthy examples of subscription businesses and what you can implement from their strategy to make your business a success.
Healthy eating is one of the growing trends when it comes to the consumer market. It has long been established as a way to improve productivity and lower stress. One of the worst areas for bad eating habits has often been found to be at the office desk or other workplace.
Therefore, there are a number of businesses out there that are offering healthy eating options to consumers to replace fast food lunches and quick snack options. One of these is the Toronto based company, Food4Thought. Unlike with other food delivery companies, this supplier concentrates on the business market, offering offices a fresh delivery of healthy snacks. This ensures that they have large value orders that can better absorb the costs.
Low cost subscription options while providing high quality niche products is the strategy for this subscription based business. The service is for all sorts of responsibly developed products to be delivered regularly for $10 per month. The products being shipped differ from month to month and this creates a strong sense of mystery and a high appeal to customers.
This strategy has helped the brand to stand out from the crowd and offer it distinction within a highly competitive market, allowing it to grow quickly. There have been other businesses that have followed its example, although with some minor changes.
This popular social media management tool has a strong subscription model. The basic package is free, like with many social media networks that offer premium packages. On this free level, there is limited data analysis and few profiles that can be attached to the profile. This can make the tool rather limiting for those who want to control everything from one screen.
On the other hand, their premium packages (named pro) are highly adaptive and contain significantly more features and data analysis. Also, because the technology is already in place and there are no physical goods – the paid membership offers a lot of potential profit to the organisation.
Hoseanna was able to satisfy a customer through a novel approach when it created its stocking subscription service. The organisation, which provides women’s leg wear on a regular basis, was founded on the realisation that stockings and tights tend to have a fairly limited shelf life.
Their marketing is aimed at professional women, allowing them to never be without a high quality pair of tights when going to the office. The growth of the business was fuelled by the low economical committal required by consumers and the inexpensive product on offer.
5. Box of OMG
What is unique for this box? It is free for consumers. The revenue for this company is collected from marketing the unique products that are placed within each box and sent out. The box is marketed to adults as ways to entertain their children after school and during school holidays. Each box contains a variety of items including: books, magazines, toys and sweets.
The idea is that those who receive the box (each quarter there is a lottery to receive a box) will post reviews for the items inside or spread word about them through their social groups and create anticipation and attention for the brands.
There are many different businesses offering products and services through the subscription model. Not all of them charge the receiver any money and some have unique approaches to deliver or a highly defined market. Using these five unique and high performing businesses as examples, you can discover methods to create and promote your subscription business.