5 Simple Steps to Adding a Subscription to Your Product-Based Business | EP 159

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Do you have a product-based business? Are you selling products via an Etsy store, in a pop-up shop or a retail store? Are you selling one-off products online? Adding a subscription box to your existing business is a no-brainer and can offer you so many benefits! 

Adding a subscription box provides: 

• A stable, predictable revenue stream - recurring payments benefit your business in so many ways, including stabilizing your cash flow.  
• Customer loyalty - subscribers have committed to regularly purchasing products from you. 
• Increased lifetime value (LTV) - do you know the LTV of your customers? My subscribers stay for an average of 18 months, generating thousands of dollars of revenue each. 
• Opportunities for cross-selling and upselling - pair your box items with additional one-off items from your shop. 
• Scalability - packing and shipping 500 of the same thing is much more efficient than 500 different orders. 

Have I convinced you to add a subscription box to your business?  I have 5 simple steps to follow to make it happen. 

1. Identify your best customers:
• Who are they? 
• How often do they shop with you? 
• Take a look at your top 20 customers and dial into who they are. 
2. Identify your best-sellers:
• What categories are your best sellers? 
• What do people buy from you repeatedly? 
• What are people asking for more of? 
3. Set your pricing structure:
• What is your average order value (AOV)?
• What is the AOV of your top 100 customers? 
• Price your subscription box in that range. 
4. Create exclusivity and scarcity: 
• What are the benefits of being a subscriber? 
• Make items only available in the box. 
• Make them only available by subscription. 
• Create FOMO with your customer base - make them want to be part of something exclusive.  
5. Create a great user experience: 
• Are your website and the checkout process clear and easy to follow?  
• Make it easy for people to update or cancel their subscriptions. 
• Provide a higher level of customer service - remember your subscribers are the VIPs of your business. 

A bonus piece of advice, which is really the best piece of advice, is to talk about your subscription box a LOT. If you want to create a business that is 75% recurring revenue instead of depending on one-off sales, you’ve got to make it the main thing in your business. And that means talking about it… a lot! 

Join me for this episode to learn how having a subscription box can change the game for your business. Predictable inventory, better cash flow, monthly recurring revenue, and more. Follow 5 simple steps to get started today!