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Best Ways on How to Grow a Subscription Box Business

Posted on October 15, 2020 by The Times USA News

The subscription box industry is substantially growing over the past couple of years. In fact, an impressive 15% of all online shoppers in the United States are subscribed to a subscription box or product.

This means that a subscription box business has significant potential. However, you are not the first person that noticed this business opportunity.

Nowadays, there are many subscription boxes to choose from, and since the competition is fierce, sometimes it is hard to swim to the surface and start selling.

In today’s article, we will go through some of the ways you can grow your subscription box business.

1. Don’t Forget About Upsell

Upsell is a genius strategy commonly used by most eCommerce stores. The upsell strategy lets you maximize the value of each customer. That way, you will increase your profits without attracting new customers.

Things like limited-edition products or exclusive deals are the perfect way to accumulate additional revenue.

Each year the cost for most of the subscription boxes is increasing. The best way to counter this is by maximizing the average customer lifetime value and bigger ROI in the long run.

2. Tackle Abandoned Carts

Suppose you are in the online business for quite some time, then you probably know that the best way to grow your business is to use an extremely targeted audience. However, sometimes it is hard to find the right people even with many metrics set up in the ad settings.

That’s why abandoned carts are like striking gold. People that already put a subscription box in their cart but abandoned the process for unknown reasons are already interested in your product.

This means that you don’t need to spend thousands of dollars to attract people interested in your products.

Your job is to remind them about their unfinished purchase.

A recent study shows that people need to see an ad from 6-9 times before they are ready to proceed with their purchase decision.

3. Meet Customer Expectation at Checkout

Most of the abandoned purchases are right when the checkout page comes in, and there is a good reason for that. To reduce the number of abandoned carts, you have to meet customer expectations at checkout.

In other words, tactics like free plus shipping where you offer the product for nothing then add extremely high shipping costs don’t work. Using secret tactics to attract users to the checkout page might increase sales, but it is not efficient in the long run.

4. Outsource Fulfilment

If you are starting a subscription box business, you have to be extra careful about it and maximize efficiency. For instance, the first thing you should do is outsource fulfillment. 

This will sort out many problems like:

  • Make managing easier
  • Fewer costs
  • Less upfront capital

Finding a reliable partner that will help you efficiently distribute orders is a big part of your business, so make sure you are doing it right.

5. Offer Additional Value

Most subscription box business owners are only concerned that the market will become more saturated without paying attention to their products.

You have to understand that people can find and buy most of your products on Amazon.

So, to succeed in the subscription box business, you have to offer customers a unique and superior customer experience that they cannot get anywhere else.

Adding additional value to your subscription box doesn’t necessarily mean that you should include more products. For example, if you have an idea for pet care packages, check out the best monthly dog & cat subscription boxes in FiveBoxes and see what is already available in the market. 

You can elevate the customer experience by offering limited-offers and something unique that they cannot find anywhere else. Think out of the box: literally!

Final Words

Even though the subscription business is booming, there are many things to go through before you start making money. 

Just make sure that you have a unique and high-quality box that offers additional value before starting your marketing. You can also check out some subscription box ideas to get a better understanding of the market.

By applying these methods, you’ll increase brand awareness and make more profits.

 

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