Subscriptions have gone digital, extending the term well beyond traditional newspapers and magazines. Many businesses are finding the ‘subscription’ model lends itself well to generating recurring sales and revenue.
Businesses like Birchbox (beauty products), Blue Apron (make-at-home meals), and Dollar Shave Club (men’s razors) serve hundreds of thousands of customers per month through subscriptions, according to an Inc. Magazine article. But success is not a shoo-in.
“You can’t just convert to a subscription business and expect your revenue to grow,” Michael Dubin, CEO of Dollar Shave Club, tells the magazine’s reporter. “Is the subscription an enhancement for your customer? If not, then don’t do it.”