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Clever Ways Of Increasing Customer Retention With Subscription Boxes

  • Written By Javier
  • Posted January 25, 2017
  • 2 minutes Read Time

A subscription box is a way of sending products and samples to customers on a regular basis so that they can try out your goods for a set fee. It’s great for the customer – they feel like they’re getting real value for money, as well as an exciting regular gift of something nice through the post. And it’s great for the eCommerce retailer – they can achieve a wide distribution of their new products to the public and so get the word out on the street from real life customers, who have tried and liked what they’re selling. Oh, and there’s also the regular income from the boxes of course!

So everyone loves subscription boxes, it is, therefore, a great method of gaining loyal customers to your eCommerce website. The trouble is that statistics show customer retention in these schemes is limited. On average, an eCommerce customer sticks with a box subscription scheme for around 4 months and then leaves. Let’s look at why, and some possible ways to keep them on board for longer.

First of all, they leave when the offer ends. Normally there’s an initial period of free delivery or a discount. When this period is over, the customer is more likely to jump ship. So, how about introducing some good reasons for existing customers to stay loyal? Incentives that reward those who continue with the scheme for longer could help to keep more people subscribing, way beyond the initial period.

Other subscription box customers start to get bored of what they’re getting after this length of time. They’ve experienced your products and enjoyed it for a while, but now it’s not so shiny and new. So, how about offering more diversity and choice? Some companies offer things like the low-fat version of their food supplies, or the luxury version, or a mix. With the chance to select and adjust their preferred choices, you might just find your customers are happier to keep ordering for longer as they try out different angles on what you’re offering.

If you have an aspirational or lifestyle brand, remember to market beyond the product itself and offer the chance to educate the customer with personalised advice or beautiful styling and presentation. If the box your supplies come in is a reward in itself, that alone could be a reason for a few more repeat orders.

Get creative with your subscription box service and you might just see an increase in the lifetime of each customer’s subscription.