I’m speaking with Shopify store owners on a daily basis struggling to gain momentum with product subscriptions.
They’ve run the subscription playbook.
- Added Recharge or Bold to their store
- Offered 10% discount on product subscriptions
- Clicked ‘go’
… and that’s great news. The ease with which you can launch subscriptions. It’s hugely cost-effective (we’re talking a ‘start for free’ and a tiny rev share fraction to Recharge?). It’s a no-brainer if you’re selling products customers replenish at regular intervals. It’s so damn simple.
… and that’s the struggle. Because it’s so easy to get started selling subscriptions you’re leading with discount as the route to driving subscriber growth. And, then you see churn. Folks buy and cancel. Others buy with the best intentions, but then quickly find the cupboards overflowing and then they cancel.
Discounted or not, people do not spend for spending’s sake.
Mandi Moshay – Head of Retention at @bobbiebabyco summarised this point far better than I can:
If you offer subscription but don’t give your customers a heads up about upcoming orders so they can change, delay, or skip, you shouldn’t be mystified by churn rates or general subscription aversion.— Mandi Moshay (@MandiMoshay) May 13, 2022
Why aren’t you gaining traction selling product subscriptions through your Shopify store?
So, we have to address why subscriptions may not be working. And, for the most part that comes down to four things;
- You’ve sold the idea of subscriptions 100% on price
- Lack of data informing frequency of purchase on a product by product basis
- Lack of customer research from those that are already buying on a regular basis
- You don’t understand the fundamentals of offering subscribers management of their orders
Put simply, a lack of defined subscription growth strategy
And you have access to tools specifically built to help you analyse subscription sales and grow customer lifetime value – backed by data and customer insights;
- Peel Analytics – a complete suite of subscription-based insights
- Retention Engine – learning why people cancel and helping build reactivations
- Blueprint – giving subscribers greater control and management of your subscriptions
Tools which allow you to better prepare your subscription offering before the churn sets in.
I talk about this in more depth on other articles and through my Growth Lessons email series.
What if through your store you’re seeing a strong product per basket checkout? Great for AOV – but how do you cater for customers that aren’t just interested in subscribing to one product?
What about customers that want to subscribe to more than one product?
Another key issue DTC and retail brands face gaining traction with subscriptions is the customer’s desire for more than one product.
It’s a good problem to have. People love your products.
Multiple-product subscriptions are notoriously rigid using traditional Shopify subscription platforms. Which doesn’t make for the perfect customer experience when you’re offering products such as food or drink deliveries. Now you can drive both your AOV and customer lifetime value offering a build-a-box solution to your customers using Skio.
Why offer your customers build-a-box subscriptions?
Unless you have highly customisable product bundling on your store, when you’re offering a wide range of replenishable products, your customer is left with little choice other than setting up subscriptions on a product-by-product basis. Which is fine when your products have differing consumption timeframes ( sunscreen and shampoo products as an example) or they’re unsure of whether they need delivery every 2, 4 or 8 weeks if they’re new to your products.
What about the scenario where customers have unique product requirements, to purchase product variants on subscription, but in a single basket and single delivery time? Consider your weekly food delivery, monthly ground coffee beans for the office or daily use beauty products. There are a range of needs that don’t meet the set ‘single product + single delivery’ subscription purchase.
What the short video below to learn more about how Skio allow you to provide your customers with a complete build-a-box product subscription delivery service:
Native Shopify checkout subscriptions now available through Skio. Give your customers complete control of their subscription deliveries inc delivery management, build a box subscriptions and SMS subscription management. Learn more about the benefits Skio delivers as you ready your brand for a serious focus on subscriptions.