Saturday, July 25, 2020

Subscription Box Marketing


Subscription box subscriptions deliver your product or service direct to your B2C customer. When customers signs up, they periodically receive a delivery of your goods and or services that are based on a theme, resolve a specific problem and so on. They provide great potential for data-mining / customer relationship management, continual revenue streams, customer loyalty, avoiding new customer acquisition costs and personalization / product de-commoditization.  There are 3 types of subscription box.

Retail subscription boxes. Your customer pre-selects catalog items which you deliver at their preferred intervals. NB. This type of subscription offers the opportunity to easily exceed expectations if you can ocasionally include something completely unexpected. You can combine your primary data (ie details given to you from customers like age, psychographics and so on) with your secondary transactional data (like transaction history regarding order values, returns and other good and bad behaviors). Analyzing these data will help you to finetune your target market profiling.

Mixed subscription boxes. Your customer pre-selects a few pre-selected items that will be included along with other surprise extras. This provides you with considerable flexibility with creativity. However, this requires response to data analysis. Example: Outside of the pre-selected items, a cosmetics company may include makeup application brushes, mirrors, makeup tutorial videos (as an add-on service) and so on.

Mystery aka Black subscription boxes. Your customers have not pre-selected any items. Rather they receive an assortment of products related to a theme.

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