subscription commerce

The use of a recurring, usually monthly, payment business model so consumers and businesses can access products and services on a regular basis. The most popular subscription commerce businesses are streaming services (e.g. Spotify, Netflix), digital media (e.g. Wall Street Journal, Bloomberg), “box of the month” categories (e.g. StitchFix, Barkbox, FabFitFun). Businesses use the subscription commerce model to make access to valuable products more affordable by eliminating the need to make a one-time purchase, e.g. Salesforce, Microsoft Office, fraud and security software).
Online Retailer Coupang Reports 10% Growth in Active Customers
Online Retailer Coupang Reports 10% Growth in Active Customers
August 09, 2023  |  Earnings

Coupang Inc., the South Korean online retailer known for its early and one-day delivery, posted its fourth consecutive quarterly profit, driven by efficiencies in logistics and...

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Cost Isn’t the Real Reason Consumers Bail on Retail Subscriptions
Cost Isn’t the Real Reason Consumers Bail on Retail Subscriptions
August 03, 2023  |  Subscription Commerce

Loyal subscribers are worth their weight in gold to retail subscription merchants. A subgroup of loyal customers we called “loyalists” yield higher lifetime value (LTV)...

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Subscription Merchants See Failed Payments Spike Churn Rates
Subscription Merchants See Failed Payments Spike Churn Rates
August 02, 2023  |  Subscriptions

When the subscription industry’s customers experience failed payments, it can directly lead to churn, PYMNTS research reveals, prompting merchants to lose out on hundreds of...

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Snap’s Global Expansion Shows Promise, but Revenue Tells Different Story
Snap’s Global Expansion Shows Promise, but Revenue Tells Different Story
July 26, 2023  |  Social Commerce

Quarter after quarter, retailers have been singing the same old song, citing macroeconomic challenges as the hook. While the hook remains the same, there’s a...

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Netflix Adds New Tool for Navigating Content
Netflix Adds New Tool for Navigating Content
July 24, 2023  |  Streaming

Netflix has added a new tool for navigating content. The new My Netflix tool has a dedicated tab that includes shortcuts to content the user has...

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Netflix Continues to Cut Offerings, Grows by 6 Million Subscribers 
Netflix Continues to Cut Offerings, Grows by 6 Million Subscribers 
July 20, 2023  |  Subscription Commerce

While subscriptions-based services feel the need to overcompensate to get a subscriber, Netflix is doing the opposite. In fact, it continues to give less and...

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Study: 70% of Subscription Firms Don’t Measure Customer Retention Rates
Study: 70% of Subscription Firms Don’t Measure Customer Retention Rates
July 12, 2023  |  Subscriptions

“How’m I doing?” The old New York City Mayor Ed Koch line brings to mind subscription companies — perhaps an odd parallel to draw. But...

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UK Businesses Say New Subscription Rules Too Rigorous
UK Businesses Say New Subscription Rules Too Rigorous
July 09, 2023  |  Subscriptions

British businesses are protesting new regulations to make it easier for customers to cancel subscriptions. As the Financial Times (FT) reported Friday (July 7), the broadcaster...

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Report: Outcome-Based Pricing Gains Ground in Tech Market
Report: Outcome-Based Pricing Gains Ground in Tech Market
July 05, 2023  |  Subscription Commerce

A small but growing number of tech companies are reportedly offering pricing based on outcomes rather than usage. With these outcome-based or value-based pricing models,...

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