{"id":2808,"date":"2022-06-24T10:23:59","date_gmt":"2022-06-24T10:23:59","guid":{"rendered":"https:\/\/www.subbly.co\/blog\/?p=2808"},"modified":"2023-07-11T14:36:13","modified_gmt":"2023-07-11T14:36:13","slug":"adding-a-subscription-service-to-your-business-model-when-and-how","status":"publish","type":"post","link":"https:\/\/www.subbly.co\/blog\/adding-a-subscription-service-to-your-business-model-when-and-how\/","title":{"rendered":"Adding a subscription service to your business model: when and how?"},"content":{"rendered":"\r\n

Let\u2019s set the scene.<\/h2>\r\n\r\n\r\n\r\n

Historically, the evolution for most businesses has been like this:\u00a0<\/p>\r\n

    \r\n
  1. \r\n

    Start a physical store.<\/p>\r\n<\/li>\r\n

  2. \r\n

    Build a website.\u00a0<\/p>\r\n<\/li>\r\n

  3. \r\n

    Set up an online shop selling one-time products.\u00a0<\/p>\r\n<\/li>\r\n

  4. \r\n

    Run those businesses for a long time.\u00a0<\/p>\r\n<\/li>\r\n

  5. \r\n

    Add social media, focus on growth, and get more sophisticated.<\/p>\r\n<\/li>\r\n

  6. \r\n

    Bolt on a subscription service.<\/p>\r\n<\/li>\r\n<\/ol>\r\n

    More frequently, businesses start at the second or third step, and this is in part thanks to how easy it is to set up a website or an online shop (from scratch or with a subscription website template<\/a>) compared to how expensive and limiting it is to start a physical store. In fact, some modern and forward looking companies have started to change this order entirely.\u00a0<\/p>\r\n

    Take major shoe brand Allbirds for example, who started out as an online shop, opened their first physical store<\/u><\/a> years later in 2017, and have since expanded to 33 locations in 2021<\/u><\/a> while hinting at \u201chundreds of potential locations in the future\u201d. And this story is not unique. Brands like Warby Parker, Rent the Runway, Bonobos, and UnTUCKit have done the same.\u00a0<\/p>\r\n

    So, for transactional retailers, it\u2019s e-commerce first and then everything else. The historical sequence of starting a business is only now being brought into question as the subscription-first model grows in popularity.<\/p>\r\n

    For many businesses, subscription revenue is their most profitable and predictable, plus it increases the value of their business. So why is subscription the last stage in this sequence, and not the leading strategy? Why is the idea of starting your own subscription business so alien to entrepreneurs?<\/p>\r\n\r\n\r\n","protected":false},"excerpt":{"rendered":"

    Let\u2019s set the scene. Historically, the evolution for most businesses has been like this:\u00a0 Start a physical store. Build a website.\u00a0 Set up an online shop selling one-time products.\u00a0 Run those businesses for a long time.\u00a0 Add social media, focus on growth, and get more sophisticated. Bolt on a subscription service. More frequently, businesses start […]<\/p>\n","protected":false},"author":20,"featured_media":2809,"comment_status":"open","ping_status":"open","sticky":false,"template":"","format":"standard","meta":{"_acf_changed":false,"inline_featured_image":false,"footnotes":""},"categories":[571],"tags":[583,579],"article_type":[567],"class_list":["post-2808","post","type-post","status-publish","format-standard","has-post-thumbnail","hentry","category-operations","tag-integrated-business-model","tag-operational-focus","article_type-article"],"acf":[],"yoast_head":"\nAdding a subscription service to your business model: when and how? - Subbly<\/title>\n<meta name=\"description\" content=\"When is the right time to add a subscription service to your business? 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