SubCom East Conference – How To Win in the Subscription Biz

Yesterday I went to day one of Subcom 2018 East Commerce in Manhattan.

Optimizing the Customer Lifecycle to Maximize Revenue in Your Subscription Commerce Business
I was invited to review this two day event.  I teach about Starting Subscription box Companies, but the conference expanded the definition to include Subscription box models like Kitnipbox and my own to TV subscription streaming video services like LIFETIME MOVIE CLUB to SAAS programs like McAfee antivirus software.  There were a variety or speakers from different companies as well as a few sponsors for the event in the lobby.
Subscription models work, because of the built-in consistent, recurring revenue stream from monthly subscribers.  It is more cost-efficient to retain current customers than to acquire new ones.
20 Years of Matching Chief Product Officer,Sushil Sharma spoke about how a  6 month subscription to their dating site that automatically renews provides a solid financial base for their businesses.  I discovered Match also owns the popular millennial dating app, Tinder which is their second highest revenue stream after  Match also owns OKCupid and Plenty of Fish, two other dating sites. growth

Singles dating on apps and online will more than double

The only KPIs that really matter for Match is couples meeting on their site, getting engaged and marrying.
The only KPS that Really Matter

This couple met on and got married.

Match gets people to sign up by showing the user that others are interested in them by sending emails and teasing with other members they could meet on Match. The only way to actually see and contact the person is by paying and joining Match again.

2 Million Babies are Born from Match Couples

Tinder has 4.3 billion swipes a day.


Recurly is a sponsor of Subcom.    Emma Clark, Sr. Product Manager, Data & Analytics talked about reducing Churn rate.  Recurly recovers potential lost revenue for subscription businesses by automatically re-billing credit cards with failed transactions and  getting updated information when sales fail to process.

Income is lost by not following up on failed transactions

Recurly takes care of Dunning – updating expired credit cards and rebilling lost transactions.


Recurly Saves Subscriptions Money

Recurly’s Subscription Philosophy


Book of the Month Club 90 Years and Going Strong

Did you know Book of the Month club was the first subscription club in 1927?  People like selections being chosen for them and actual real books you can hold in your hand.

The Return of Book of the Month Club

Book of the Month Club, COO, Blake Orlandi

Book of the Month Club was purchased by new owners and redesigned with 5 books to choose from each month.  They choose relatively unknown authors and introduce them to a new audience.

Book of the Month Club Real Customers

Knowing your Ideal Customer is the Key to Subscription success


Do you still read hardcover books?

Chart of Physical Book Readers

Disrupt your Own Business Before somebody Else Does

Subrata Mukherjee is working at Wiley Publishing and he is changing the way the “For Dummies” books educate and answer readers’ questions.  People want an easier way to search for answers.  Chatbots are great options.  A reader could enter a question and the answer would instantly show up.  Diabetes for Dummies might be a good book to start with.

Facebook messenger is now offering a similar solution to companies’ pages.  I went on Nature’s Bounty messenger and asked about one of their vitamins and the answer automatically appeared.  The messenger  was programmed to respond to viewer’s questions..  .  This is an entertaining way to get potential buyers to ask questions and actively participate in learning about a product and a sure win.  Machine learning is a hot, cutting edge technology saving business’s time and bringing value to customers.