Have you ever thought that buying anything in your regular life worth it or not ?
As per financial magnates and stripe 30% – 50% of the revenue has improved due to recurring nature of subscriptions.
We have reached from various websites and made it crisp in order for you to grasp it in simple terms.
Are they right for you ?
Indeed the below quote has the answer of your question.
You get what is what you give.
– Jennifer Lopez
Pros and Cons of having a subscription model that you need know.
Pros
- Enhanced customer loyalty: This in one hand gives you revenue and on the other hand it gives you gains an authenticity that you are genuine to them and in return you get the loyal customers.
- Steady revenue: This model majorly focuses on the customer to purchase your service again.
- Flexibility: This type of subscription-based plans can be more flexible than one-off purchases, allowing business to grow even in wider aspects.
Cons
- Managing multiple subscriptions: At a certain point the customer might feel overwhelmed with multiple subscriptions which he is opted to.
- High churn rates: The customer will feel that the no of subscriptions he has purchased a lot harder to manage and which could increase this rate.(High churn rate mean the possibility that the customer leaves the business or subscription)
It’s essential to make sure that the service which is reaching your customer is ideal and that also should be ensured that the authenticity between you and and the customer.
As said that we would like to know your knowledge about this topic and share your thoughts in the comments.