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What is Subscription Marketing?

Tips for business suscriptions

What is Subscription Marketing?

A trend that has gained strength lately is subscription marketing, although it is a model that is not new, it already existed before through newspapers and magazines, only now the channel is different, it is digital.

We know that it works by means of a fixed charge during determined periods, the most common one is monthly to access a certain product or service, but it goes much further because it seeks the loyalty of the consumer, that is to say, to establish loyalty and commitment for a long time.

Just take a look at popular services such as Netflix or Amazon, music and video services such as Spotify and YoutubeRed, which according to their rate give certain extra benefits. But

What makes them a good model for using subscription?

The subscription allows you to sell several things at the same time. The convenience, due to the time many people want to make their activities more agile and this system gives a greater margin to be able to distribute the product or service in periods.

Of course the most important goal is customer loyalty because it will determine how long you will be willing to purchase the product or service.

However, four very important factors must be taken into account:

  1. The market niche. It is always essential to know in which market you are going to participate and the competition in it.
  2. Wear and tear. The determined time in which the client needs to acquire a new product.
  3. Shipping costs. In case that it is a product that is sold, to have a policy of prices for shipments, tariffs according to prices and sizes of the products.
  4. Discounts. Know when to reduce prices and even offer them for reasons of loyalty, etc.

In other words, it is the interest generated around an activity, trends and variants in relation to the use given to the hiring of a subscription and what can be done from it.

That is why it is a proposal that according to the bases and fundamentals of marketing can help boost the growth of a business.

 

Beauty-industry

Jose Limardo

Jose Limardo

Written by

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