Value for money and convenience of delivery are the top two factors which would encourage consumers globally to use online subscription services. Given these perceptions, brands online should leverage these cues in order to encourage usage of such services. A focus on providing better value than what may be available in-store as well a recurring, convenient, delivery of key products will be essential.
Nevertheless, brands must also tap into desire to experiment – the third most popular driver. Offering consumers a platform which focuses on experimenting with unique, new to market, or differentiated products which are exclusive to the service could help meet this need while also tapping into value for money and convenience perceptions.
Success in this space has been seen particularly within beauty, with companies such as Birchbox and Glossybox providing a selected number of unique beauty products tailored to their users preferences every month.
Opportunity exists for brands with large portfolios to do the same, allowing customers to sample products from across the brand and engage with them directly. Similarly, utilizing this method across categories also holds significant opportunity. One such example is BarkBox in North America which has taken the concept and applied it to the dog care space with a unique box of treats and toys delivered every month.
With online playing a more prominent role in consumer shopping journeys, subscription boxes offer a tool to leverage the online retail space and increase engagement in a fun and unique way, particularly for brands seeking to reach their consumers directly rather than solely through third party retailers.