The business of subscription services has been booming! Subscription services are becoming an increasingly popular way to purchase products online. Approximately 54% of online shoppers have signed up for subscription service on a recurring basis. Through research, most people have two subscriptions, and 35% of people have three or more subscription services. It’s also known that most individuals have some type of online streaming subscription, such as Netflix, Hulu, or Disney Plus.
Even though these services are becoming more and more popular, people fail to realize that these types of services started way back in 2004. “The Sampler was the first of its kind. This service offered samples from “indie crafters, record labels, and zines/a> and mailed these products to subscribers homes.
Today, there are three types of subscription services.
1. Replenishment: allows consumers to automate the purchase of items such as razors, or diapers.
2. Curation: surprises or provides highly customizable items for customers in areas such as beauty, food, and apparel.
– Many influencers have established a large following creating videos and blogs “unboxingtheir items! These unboxings area great way to market the subscription services as well. Companies such as Fab Fit Fun, will actually hire these influencers and send them free boxes, just to engage with their following.
3. Access: subscribers will pay a monthly fee to obtain lower prices or receive members only perks.
When it comes to who is subscribing to what services here are some of the findings;
– Men have been found to subscribe to Harry’s, and Blue Apron more than any other service.
– Women sign up for Ispy and Birch Box more than any other service.
– Both females and males sign up for Amazon Subscribe and Save and Dollar Shave Club just as often!
Subscription services are successful because they surprise us! These boxes appeal to basic human psychology, that includes our desire for convenience and novelty. Customers are becoming more and more comfortable with purchasing items online. Subscription services are attractive to members’ who desire convenient, quick, and personalized shopping. The industry of subscription services has grown in popularity due to e-commerce, social media, and consumer comfort. What new services are you going to subscribe to?