Updated August 18, 2020
Who is this for?
Read this if you are going to add a subscription offering for your product where there will be delivery at regular intervals. This play will coach you on how to save the maximum amount of money.
Some ecommerce businesses choose to sell their products through a subscription model, where a customer signs up to receive an order on a regular basis.
Subscriptions are great for Lifetime Value (LTV) creation and profitability, which is why more companies have looked into the idea. The secret is out that recurring revenue models are the fastest route to profitability.
The idea works better with some types of products more than others. Products that are more one-and-done, like appliances or electronics or high-priced items, aren’t a good fit. Other product types like consumables, replenishables, or regularly used items work very well. This is why ecommerce h
as exploded with vitamin, hygiene, food, and clothing businesses, among others, featuring a subscription model.
How subscription orders are managed is similar to single purchase orders for the most part, however, there are a few unique differences with fulfillment and delivery worth considering that can influence efficiency, cost, and customer experience.
This playbook will walk you through those considerations.