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Subscription 48#
The customer pays a regular fee, typically on a monthly or an annual basis, in order to gain access to a product or service. While customers mostly benefit from lower usage costs and general service availability, the company generates a more steady income stream.
Examples: Iconic Cases
How they do it: Customers who are in need of larger amount of file hosting space, can upgrade their capacity by booking monthly or annual subscription. The more space they require the higher is the price for the subscription.
Learn more about Dropbox →
How they do it: Customers who don’t want to participate in the cooperative. As a member one has access to all Mobility cars and scooters and can profit from additional benefits such as discounts for car rentals or hotels.
Learn more about Mobility Carsharing →
How they do it: Amazon offers a product called ”kindleunlimited” for its Kindle devices and apps. This entitles the costumer to unlimited access to content such as e-books, magazines and audio books for a flat fee payable every month.
Learn more about Amazon Kindle →
How they do it: Microsoft used to sell their Microsoft Office programs for a one-time fee. New versions of the software had to be purchased again. However, they introduced Office365, allowing users to subscribe for a monthly or annual fee and always get the latest version of the Office software on their device. This also allows Microsoft to eliminate product CDs but can distribute its software via downloads from its website.
Learn more about Microsoft →
How they do it: Dollar Shave Club sells subscriptions for their razorblades. Through this, the product is characterized as a consumable and offers the customer a simplification as he doesn’t have to reorder the product every time he needs it.
Learn more about Dollar Shave Club →
Below, the top industries for the pattern "Subscription" are displayed, in order to get insights into how this pattern is applied across different industries. We've collected data from 20 firms using this pattern.
Top Industries
E-Commerce
36% of firms using pattern
36% of firms using pattern
Information Technology
29% of firms using pattern
29% of firms using pattern
Services
26% of firms using pattern
26% of firms using pattern
All Industries
Below, the pattern "Subscription" is analyzed based on co-occurrence, in order to get insights into how this business model pattern is applied in combination with other patterns within the firms we studied.
Top Co-Occurrences
Leverage Customer Data
4 pattern co-occurrences
4 pattern co-occurrences
Two-sided Market
4 pattern co-occurrences
4 pattern co-occurrences
Digitization
4 pattern co-occurrences
4 pattern co-occurrences