New to subscriptions?
You came to the right place.
Turn your one-time transactions into long-term customer relationships. Implementing subscriptions gives you predictable revenue, reduced churn, and higher average order values.
The subscription market is predicted to grow to nearly $500 billion by 2025. It’s time to capture your slice of the pie.
Increase customer lifetime value (LTV)
- Repeat customers are 50% more likely to make another purchase than new customers, and they spend 33% more on average
- Subscriptions allow you to foster ongoing relationships with your customers that keep them coming back—in fact, the majority of consumers (60%) have had the same subscription for over a year
- Maximize the time you have with your customers and give them a seamless experience to do business with you
- Avoid passive churn by allowing for flexible checkout options like one-time purchases, skipping a shipment, or swapping products
Types of subscriptions
Curation is the most popular subscription model (55% of merchants choose this subscription type). Here, merchants curate a box of one or more products, which are packaged together and shipped at a regular cadence.
The second-most popular subscription model (32% of merchants choose this subscription type), replenishment offers the same product on a consistent basis. It’s also referred to as “subscribe-and-save” and works best for products that are consumables (ones that most people use daily).
The third and fastest-growing subscription model (13% of merchants choose this subscription type), access is most commonly used to offer a membership or gate availability. This model is growing quickly because of the wide variety of benefits merchants can offer their subscribers.
Increase LTV with subscriptions
Subscriptions + One time purchases
Subscriptions + OTP
For this exercise, we analyzed our book of business of 15k merchants. We calculate LTV using the following formula:
Subscriptions only, multiply by 1.7
Subscriptions + One time purchases, multiply by 2.3
Getting started guide
1. Determine your subscription business plan
What offerings do you plan to allow for your recurring subscriptions?
2. Sign up for Recharge for free
Try out Recharge for free to walk through setting up subscriptions for your store.
3. Set up your products for subscriptions
Using the onboarding flow in Recharge, set up your checkout flow to allow for subscription selections.
4. Ensure your logistics and shipping are in order for recurring fulfillment
Ensure that you are able to support regular purchases of products on a recurring basis.
5. Turn on subscriptions
Try out a test order, then go live!
6. Let your customers know!
Get in front of your most loyal customers and share the great news that they can subscribe to your amazing products.
7. Gather customer feedback often
Check in on your analytics with a select number of your customers to ensure their subscriptions are working well for them. Test new suggestions to continue to enhance the customer experience.
8. Optimize your subscriptions with key integrations
Leverage the hundreds of integrations with Recharge to create a tech stack that meets the needs of your customers at every phase of their journey.