Francis Yanga

Entrepreneur & founder of @RedSquareLabs. I specialize in bringing mobile apps ideas to life. Visionary, Brazilian Jiu Jitsu, above all, God is always 1st.



The Rise of subscription based Commerce

Francis YangaFrancis Yanga

Technology has changed the way people do business. Traditionally, commerce used to consist of simple, one-time transactions. Subscription-based commerce or subcom introduces an entirely different commerce process. It is no longer as simple as a lead to cash. Presently, commerce is about lead to cash to renewal. The new process not only offers several advantages to end consumers but also to companies delivering the service, as well.

PRWEB did a research on subscription-based commerce several months ago. They found out that the growing trend among businesses at present is an increase on the dependence on subscription-based products to grow their revenue. They are building their recurring revenue streams based on serving up monthly packages of food, beauty, clothing and other products to consumers. The subscription model offers the chance for businesses to increase the costumers consumption and spending. PRWEB’s article further states, “businesses are coming up against a wall of complexity managing orders, billing and reporting within their distributor and reseller networks.” Indeed, the subcom market is expanding rapidly. However, some question still linger– what’s behind the trend, and why are consumers signing up? Is subscription commerce here to stay or is it a passing fad? Does it really address a meaningful need?

Typically, a subcom business will send their customers (or subscribers) a box full of products on a regular basis. Subcom businesses try to attract consumers with specific needs. Although, subscription services are nothing new, startups have revolutionized the means and methods of subscribing. Unlike what book and coffee of the month clubs have done for years, the new breed of entrepreneurs are utilizing the subcom business model to introduce new and unpopular products to consumers. Their goal is to make their customers be more aware of their offerings.

For the past several years, startups have proven that the subscription based commerce is a highly rewarding business model and potentially profitable. However, if you have decided to apply and implement it to your business, you must have a commitment to stick with it. Likewise, you need to ensure that your organization is built to utilize and to optimize all the key metrics and levers that drive a successful subscription company.

“T-Net News: Elastic Path Releases Subscription-based Digital …” Insert Name of Site in Italics. N.p., n.d. Web. 18 Nov. 2013 <>.

Entrepreneur & founder of @RedSquareLabs. I specialize in bringing mobile apps ideas to life. Visionary, Brazilian Jiu Jitsu, above all, God is always 1st.