Netflix, a gym membership, Spotify, or Audible — odds are you have at least one of these charges hitting your credit card each month. While subscription services might not be the best thing for your personal budget, they can transform your business revenue. Adding subscriptions to your store is simple if you use the best WooCommerce subscription plugin.
Subscriptions aren’t limited to streaming services. From repeat dog food orders to monthly surprise product boxes, ecommerce businesses of all sizes are tapping into the subscription craze.
In this post, we’ll examine why a subscription model is an excellent option for scaling your business and why we recommend WooCommerce Subscriptions as our pick for the best WooCommerce subscription plugin.
Advantages of the Subscription Model
Subscriptions are popular with ecommerce businesses because they offer distinct advantages over one-off sales.
Some reasons we included subscriptions in our list of top ecommerce trends to watch are subscription models provide:
- Recurring revenue
- Improved customer retention and lower acquisition costs
- Better marketing and customer service strategies
The most appealing feature of a subscription model is that it offers recurring revenue. Ecommerce businesses face a lot of uncertainty. Subscription revenue provides some stability to revenue projections. Yes, customers can cancel a subscription. But the reality is that as long as you’re offering great products and services, most people won’t cancel. Look at your personal credit card statement for proof. It’s not uncommon for people to pay for a half dozen different subscriptions each month.
One of the more daunting aspects of running an ecommerce business is that you start with zero sales each month. However, adding subscriptions changes the game. Instead of starting with zero, you start each month automatically making several sales to all your subscribers.
Improved Customer Retention and Lower Acquisition Costs
It’s easier to keep current customers than it is to find new customers. It’s also considerably cheaper. On average, it costs six to seven times more to attract new customers than to keep current customers.
Repeat customers are also more likely to make future purchases or upgrade their existing products or services.
Adding a subscription to your business model takes advantage of improved customer retention and acquisition.
Your subscribers should be your most loyal customers. Keeping them active through a subscription allows you to build a community that’s eager to try new products you launch. Your subscribers are ripe for upselling and cross-selling.
Better Marketing and Customer Service Strategies
Subscribers are your ideal customers. They sign up for recurring subscriptions, so you can count on repeat sales without the struggle of finding new customers. But if you want your business to grow, you’ll still need to invest in finding new customers. Using insights from your subscriber base will help you to target your marketing efforts around selling more subscriptions.
Having good analytics on your subscribers’ shopping habits and user behavior is important. You can use this information to build more compelling campaigns. You can also optimize your marketing and customer engagement strategies by surveying subscribers to obtain additional insights.
Adding Subscriptions to a WooCommerce Site
Now that you have a better understanding of the exponential growth potential of subscriptions, how do you start? The good news is that you can begin selling subscriptions on your site pretty quickly.
If you’re using WooCommerce as your ecommerce platform, you can enable subscriptions with the help of a plugin.
Our pick for the best WooCommerce subscription plugin is WooCommerce Subscriptions.
Why WooCommerce Subscriptions is the Best WooCommerce Subscription Plugin
WooCommerce Subscriptions is a powerful tool that makes configuring and selling subscriptions simple.
We like that the plugin is developed by WooCommerce itself. Also at $199 per year as of June 2021, the plugin is an affordable option to add a subscription module to your site.
Another reason we recommend this plugin is that it offers robust features without being overly complex to configure.
Some of WooCommerce Subscriptions’s best features include:
- Multiple billing schedules
- Integrations with more than 25 payment gateways
- Automatic rebilling on failed payments
- Customer self service options for subscribes to upgrade or downgrade without having to contact the customer service team
- Automated emails for admins and customers
- Support for free trials and sign up fees
- Pre-configured dashboards and reports
The WooCommerce Subscription plugin is also scalable. Meaning it can grow with you as your subscriber base and subscription offerings grow.
Some of the types of subscriptions can you can sell with this plugin include:
- Product-of-the-month subscription box clubs,
- Weekly service subscriptions such as house cleaning,
- Yearly software billing packages for SaaS products.
We think it’s an excellent fit for any ecommerce business that runs on WooCommerce.
If you’re looking for other ways to scale or grow your WooCommerce business, be sure to check out our list of the 20 Best WooCommerce Plugins to Boost Your Sales.
Help With Setting Up Your WooCommerce Subscription Plugin
Mindsize helps ecommerce businesses quickly scale by optimizing their technology and ecommerce platforms to support business goals. If your goal is to increase your revenue, adding subscriptions is the perfect solution. Our team of WooCommerce experts can help you configure your subscription or any other WooCommerce plugin. Contact us today to schedule an introductory call.