Quick Summary
Imagine never running out of coffee, skincare, or even pet supplies. Isn’t that wonderful?
In today’s hustle and bustle, most customers are busier than ever. Trying to balance work, family, and personal commitments leaves little time for daily routines, such as shopping or simply keeping up with favorite products. Here is how subscription-based eCommerce services will fit in. These items will be delivered to customers’ doorsteps regularly via a subscription model, so customers never have to reorder.
While enterprises prefer custom eCommerce development services to build a subscription-based business, subscription eCommerce platforms can still be a good starting point for SMEs. If you also want to implement subscription plans in your eCommerce store, this blog is for you. Here, we will look at the basics of eCommerce subscriptions, types of subscription services, the best eCommerce platforms for subscriptions, and features to consider when choosing one for your online store.
eCommerce subscription-based models are business strategies that shift from one-time purchases to recurring revenue streams. Under such a model, customers receive products or services on a continuous basis by paying a recurring fee, typically monthly or annually. This approach offers convenience for consumers and predictable income for businesses.
At its core, subscription eCommerce focuses on customer retention rather than continuous customer acquisition. The subscription model creates a long-term cycle between brand and consumer, establishing loyalty by consistently delivering value. This model can apply to various product categories, from physical goods to digital services.
Fundamentally, this will help companies extract highly valuable insights into customer preferences that can be used to personalize customer experiences or for targeted marketing.
A fine example of subscription eCommerce is a gourmet coffee subscription service. Consumers choose the type of beans, grind, and delivery frequency. This model guarantees monthly delivery of the tastiest, freshest, expertly roasted coffees to the doorsteps of coffee lovers.
The three primary subscription business models include: Replenishment, Curation, and Access.
Consumers are changing the way they shop, and an eCommerce business needs to adapt its eCommerce experience, keeping it engaging.
Convenience is key to delivering great customer experiences, and a subscription model ensures maximum convenience for your customers. Increasingly, more businesses are joining the trend of subscription services. The global subscription eCommerce market is forecasted to reach as high as $904.2 billion by 2026.
When researching subscription eCommerce businesses, you will discover various business models around the globe. However, we will discuss three popular models used by most online stores.
Replenishment subscriptions automatically ship essential products to clients at regular intervals. Therefore, this model would work best for consumer goods that customers frequently use and consistently need to replace. Through replenishment subscriptions, a business can ensure that customers never run out of their favorite products while fostering brand loyalty.
Basically, these subscriptions include everyday needs like:
The key benefit for consumers is convenience – they won’t have to remember or make trips to the store for these items anymore. For businesses, the model will deliver predictable revenue and valuable insights into customer usage patterns.
Curation subscription services offer customers a personally curated selection of goods, often centered on a specific theme or category. Usually, these subscriptions hold an element of surprise, whereby the customer is not entirely sure what they will receive with each shipment. It’s the surprise element and the trust the subscriber places in the curator’s ability to source products aligned with the subscriber’s tastes.
Common categories for curation subscriptions include:
Curation subscription models leverage data and algorithms to increase the value of personalization over time and thereby drive customer satisfaction and retention rates. They offer the added advantage of providing brands with opportunities to expose customers to new products and expand their market reach.
Access subscriptions provide customers with exclusive benefits, content, or services in exchange for a recurring fee. This model is widely used in the digital world and can also be applied to physical goods and services. Access subscriptions can create a sense of membership or belonging in the users, which nurtures brand loyalty and a feeling of involvement.
Common kinds of access subscriptions include:
Access subscriptions can be an effective way for businesses to monetize digital content or add value to their present product offerings. In any case, they provide opportunities to sell more or upsell to engaged subscribers.
Some of the most popular options are Shopify, Subbly, Magento, BigCommerce, and WooCommerce. So, let’s explore them in detail:
Shopify is among the most popular eCommerce platforms, offering services including subscription management, online storefronts, shipping support, POS systems, payment processing, and 24/7 customer support.
Features for subscription management:
These features are accessible through app integration or by using Shopify Subscription APIs to create custom solutions. To build an efficient subscription solution with Shopify Subscription APIs, you can hire dedicated Shopify experts from BrainSpate.
Pricing:
Shopify’s pricing starts at $39 per month for a basic plan. This plan includes essential business support features like payment processing and an online storefront, making it an excellent option for business owners looking to manage subscriptions efficiently.
Adobe Commerce is one of the leading open-source eCommerce platforms, known for its robust features and support for online businesses.
Features for subscription management:
To run a subscription-based business on Adobe Commerce, you’ll need a third-party subscription management extension. Setting up an online store on Adobe Commerce requires more technical expertise than on other platforms. If you aren’t good at coding, you can also hire Magento developers.
Pricing:
While Adobe Commerce is open-source and free to use, additional costs can arise from web development, hosting, and necessary extensions. These expenses are essential to consider when planning to set up your eCommerce store using Adobe Commerce.
Subbly is a leading “subscription-first” eCommerce platform designed to simplify recurring billing. Unlike general storefronts, Subbly provides a native, all-in-one environment that handles everything from website building and hosting to specialized subscription logistics without requiring external plugins.
Features for subscription management:
These features are natively integrated, enabling business owners to launch a professional subscription store without writing code. To fully leverage Subbly’s advanced automation and custom styling, you can hire dedicated eCommerce developers from BrainSpate to optimize your checkout experience.
Pricing:
Subbly’s pricing starts at $19 per month for the Checkout-only plan, while the full website builder plan starts at $39 per month. With no hidden transaction fees on higher tiers, it is an exceptionally cost-effective choice for businesses focused exclusively on the subscription model.
BigCommerce is a comprehensive eCommerce platform offering a range of tools for online businesses. It includes online storefronts, point-of-sale (POS) systems, payment processing, and a mobile app for seamless management.
Features for subscription management:
To utilize subscription management, users need to integrate specific applications from the BigCommerce app store.
Pricing:
The basic plan for BigCommerce costs $29.95 per month. The app store offers 13 options for recurring billing and subscription management software, priced from free to a one-time fee of $500, plus a monthly fee of $99. Many of these apps also offer custom pricing that combines monthly and transaction fees, ensuring flexibility for businesses of all sizes.
WooCommerce is a widely used eCommerce platform built on WordPress, ideal for businesses looking to start selling online quickly. It offers a user-friendly interface and can be set up in minutes, making it ideal for quick, easy online store launches.
Features for subscription management:
These features streamline subscription box management and help businesses efficiently track all payments. As WooCommerce is open source, you will need to manage the development yourself, or you can even hire professional WooCommerce developers.
Pricing:
While WooCommerce itself is free, it requires a WordPress website. Additional costs include hosting, extension fees, and development expenses. Despite these costs, WooCommerce remains a cost-effective solution for businesses looking to manage subscriptions seamlessly.
To ensure the best customer experience in your eCommerce store, you need some powerful features. Apart from the standard features offered by every eCommerce platform, you should consider some exclusive features for your subscription business.
Here are the key features you should look for in your platform:
As subscription-based eCommerce businesses are trending, there are numerous tools available to manage subscription strategies.
If you are looking for an eCommerce platform or want to develop a completely custom solution, our eCommerce website development firm is here to help you. With us, you will surely find a solution that fits your needs.
Choosing the right eCommerce platform for subscriptions can significantly impact your business’s success. Each platform offers unique features tailored to different needs, from customizable subscription models to robust analytics and seamless integrations with other business tools. Whether you’re just starting or looking to scale, understanding your specific requirements is important. Keep billing flexibility, customer management, and inventory tracking in check while choosing the platform.
The best eCommerce platform for subscriptions depends on your business goals, budget, and technical expertise. By evaluating these factors against each platform’s strengths, you can make an informed decision that supports your growth and enhances customer satisfaction.
If you want to develop a custom online store for subscriptions or upgrade the functionalities of the existing store, you can trust BrainSpate. We are the leaders in the eCommerce development space. Reach out to us and see the difference we can make for your digital business!
Personalizing subscriptions involves using customer data to tailor offerings. Implement preference surveys, analyze purchase history, and track engagement to create customized product selections. Offer flexible delivery schedules and personalized communications. Use AI-driven recommendations to suggest relevant add-ons. Allow customers to easily modify their subscriptions, choosing product variations or adjusting quantities. Remember to respect privacy and provide clear opt-out options for data collection and personalized marketing.
Managing cancellations and returns for subscriptions can be streamlined with the right systems in place. Implement user-friendly self-service portals where customers can easily pause, modify, or cancel subscriptions. Automate refund processes for eligible returns. Use clear communication to set expectations about cancellation policies and return windows. Track reasons for cancellations to identify areas for improvement. Consider offering win-back incentives for canceled subscriptions. With proper planning, these processes can be efficient for both customers and businesses.
To upsell or cross-sell to subscribers, focus on enhancing their experience. Analyze customer data to identify complementary products or premium upgrades that align with their preferences. Use targeted email campaigns to showcase relevant offerings. Implement a loyalty program with exclusive benefits for higher-tier subscriptions. Offer limited-time add-ons or special editions to create urgency. Use in-app notifications or product inserts to suggest related items. Always ensure additional offerings provide genuine value to maintain customer trust and satisfaction.