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[DTC POD Ep. 87] – Everything you need to know about eCommerce subscription models (and how to run the best one)

Podcast | Ramon Berrios | March 23rd 2021

  1. “The most common subscription model for eCommerce is a replenishment model. People receive new orders, every X months.” @jadesai94 #DTCPOD
  2. “If you’re able to move more customers to a subscription model, you start to operate more like a software business with recurring revenue.” @jadesai94 #DTCPOD
  3. “Creating recurring revenue through subscriptions can help you forecast sales much better. Especially if you’re retaining those subscriptions.” @jadesai94 #DTCPOD
  4. “When you get customers to subscribe, you should focus on turning them into superfans.” @jadesai94 #DTCPOD
  5. “Subscription models are often the fastest way to increase lifetime value for a customer.” @jadesai94 #DTCPOD

We Speak About:

  • [00:55] Different types of eCommerce subscription models
  • [02:30] The perfect business model for subscription
  • [03:15] High margins and subscription models
  • [03:45] Some benefits of an eCommerce subscription model
  • [04:55] Incentives for getting customers to subscribe
  • [06:25] Ideas for turning subscribers into raving fans
  • [08:15] Using subscription customers to optimize ad spend
  • [08:55] Tools for running your subscription business

eCommerce subscription is your friend for increasing lifetime value

We’ve all seen DTC and eCommerce brands ask to subscribe and save. But how do you run a subscription model that actually gets customers to subscribe?

The first thing you’re going to need to successfully run a subscription model is a great business and great brand.

Getting customers to subscribe is incredibly valuable to your business. When customers subscribe you don’t need to spend money reacquiring them and your lifetime value increases.

To get more customers to subscribe, you are going to have to make an unbeatable offer. A good offer makes customers feel special and feel rewarded for subscribing.

Stay tuned as we discuss what makes up the perfect business for subscription, some incentive ideas for your brand, and how to use subscribers to optimize ad spend.

If you’d like to learn more about Trend and our influencer marketing platform for influencers and brands visit trend.io. You can also follow us for tips on growing your following and running successful campaigns on Instagram and LinkedIn.

Mentioned Links:

Types of eCommerce subscription models: https://www.coredna.com/blogs/ecommerce-subscription-services

DTC POD with Italic on access subscription model: https://trend.io/blog/founder-stories-jeremy-cai-italic

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