Subscription Box Marketing – The Best Way to Boost Your Brand
Subscription Boxes are a boon to us all! Being the lazy entitled generation that we are, we always take things for granted. Well here is another one for the list. The first subscription box that I got on to was the Dollar Shave Club. With an affordable package, I had all my shaving needs taken care for the long run. No more grudging steps to the nearest supermart. Dollar Beard Club has gone far and beyond that just being another online razor supplier. Through their affordable subscription plans, they have created a market where successful men thrive.
Another good example is Ipsy for the glamorous women that power walks across us in busy streets. Yeah, nowadays there are subscription boxes even some that tend to your canine buddies needs – BarkBox anyone? So this model is quite a successful marketing strategy. It works because it keeps customers inside your revenue pool and you have committed not to just a single sale but a service for a period of time. There is a very high percentage of your customer returning back to your service. Through friendly customer service and high-quality products, you can easily make your customer stay with you for a lifetime.
Subscription Box Service Facts and Statistics
- Over the last five years, the subscription service market has grown by over 100% per year.
- E-commerce subscribers can be of all ages, but most are between 25 and 44 years old.
- Of those who receive subscription boxes, most have an income of between $50,000 (£39,200) to $100,000 (£78,400)
- Overall, 15% of online shoppers have signed up for a subscription service over the last year.
- Women account for a higher percentage (60%) of online subscriptions, but men are more likely to have multiple subscriptions. It is thought that this may have something to do with men wanting to save time on store trips more than women.
- 55% of subscription boxes on the market are curated. This shows consumers’ desire for personalized experiences.
How to Make the best of this
Have a clear idea and plan for the long term. You can offer different size packages that appeal to all kinds of audience. This means that your customers are going to choose the service that best suits their budget. You can collect this information about your audience and understand more about the kind of people who are appealed to your brand.
Packaging is going to be a huge priority. Make sure that you have got the best hands on designing your box. You can go for a totally minimalist style or something wonky. Whatever you choose, make sure that your high-quality select products fit perfectly and please don’t make it like a Lays Chip packet – 80% air and 20% stuff that matters. Just don’t!
Choose your pricing. Make sure that the price of your box remains competitive, while also giving you a profit margin that will make your business sustainable. There are a variety of calculators online to help you determine the right cost for your box. Remember to also include things like the cost of advertising your subscription service and shipping costs.