Marketing expert John Warrillow packs his advice on how to win subscription business with up-to-date examples of high-tech companies and other start-ups that are winning “automatic customers.” You may find yourself going back and forth between his text and the Internet to check out the fascinating new world of subscriptions for groceries, pet tracking and investment management, among others. He also cites performance measures and mathematical formulas that might have you reaching for your smartphone’s calculator. getAbstract recommends Warrillow’s experience-based counsel to entrepreneurs and investors seeking new paths to success.
Leading corporations bind their customers to them as members or subscribers. Consider Amazon Prime, Apple’s One to One and Microsoft’s Office 365. You, too, can transform your business to create automatic customers. They can benefit your company in eight ways:
- Recurring subscriber revenue boosts your firm’s worth.
- Subscriptions increase the “lifetime value” of each customer.
- You can plan more easily with predictable demand.
- Subscribers let you gather consumer information for free.
- You need never worry about payments or collections; subscribers automatically pay by credit card on a specified date each month.
- Offering a product or service with convenience and reliability fuels client loyalty.
- Subscriptions enable sustained and frequent customer interaction, so you can sell more.
- Subscribers help you build a “recession-proof” business.
According to Mike McDerment, CEO of FreshBooks.com, the subscription business is the “best damn business model in the world.” Subscriptions work, no matter the...
John Warrillow, author of Built to Sell: Creating a Business That Can Thrive Without You, founded ValueBuilderSystem.com.