Here’s a look at 4 key drivers of a successful subscription business!
The foundational blueprint for running a subscription based business is based on 4 key factors: Pricing, Acquisition, Payment method and Scaling. This introductory analysis gives an outline of these concepts.
The biggest driver of this key component that drives subscription model is the fact that “one price doesn’t fit all”. The first step towards successful launching and running of this new business model is setting up the correct price value based on the target audience. The packages should be strategically discounted in order to drive bulk purchases and should be continuously focused on rewarding loyal customers.
The biggest challenge based by B2C companies is the need for a seamless user experience while the customers sign up for the subscription package. It comes as no surprise that leveraging the best of online media can be the best way to make this possible. The signing-up process should be hassle free – fast, simple and automated. The process should be compatible across different channels.
One law that governs all kinds of purchase is that the payment method should be simple. Especially for recurrent payment automation that works in case of subscription models. This type of payment needs to be strategically planned in order to make the process easier and dependable for the customers.
Who doesn’t want to grow big? While various businesses start with a simple recurring model for pricing, it is important to build a scalable and mission-critical infrastructure that offers assured continuity for the business even when consumer habits and the markets evolve. Companies need to integrate payment gateways and newer technologies that guarantee scalable business model.
The best model to look for the implementation of these key factors is the Be U Salons, an asset-light tech enabled salon chain. It has successfully launched its subscription model recently. Here’s a look at how this company is leveraging this new business model: https://www.storycrux.com/salon-subscription-offers-will-change-life/
This introductory offer is slowly transforming the way salon industry functions!