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Subscription E-commerce

Subscription e-commerce refers to a business model in which customers subscribe to receive products or services on a recurring basis, typically at regular intervals, such as monthly, quarterly, or annually, in exchange for a subscription fee or recurring payment. In academia, subscription e-commerce is studied within the fields of business model innovation, customer relationship management (CRM), and subscription economy trends. Researchers investigate subscription e-commerce models, such as replenishment subscriptions, curated boxes, and membership programs, to understand their value propositions, pricing strategies, and customer retention mechanisms for driving recurring revenue and lifetime customer value (CLV). Subscription e-commerce offers several benefits for organizations, such as predictable revenue streams, customer engagement, and brand loyalty by providing convenience, customization, and continuity in product access and consumption, fostering long-term relationships and recurring purchases beyond traditional transactional interactions. By offering subscription options, organizations can unlock new revenue opportunities, cross-selling and upselling potential, and customer insights while addressing evolving consumer preferences and market demands for subscription-based consumption models in various industries and product categories. Academic studies on subscription e-commerce also explore subscription churn management, subscriber acquisition strategies, and subscription box economics, as well as subscription billing systems, pricing psychology, and subscription analytics to support data-driven decision-making and continuous innovation in subscription commerce and membership-based business models.

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