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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: 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: Blacksocks sells various subscriptions, allowing the customer to make a 1-time purchase and receive new pairs of socks multiple times per year withouth having to re-order every individual time. The value proposition is to categorize socks as consumables and simplify its customers life.
Learn more about Blacksocks →
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: Next to their ”pay-what-you-want” model, Humble Bundle introduced a monthly subscription service, through which subscribers would receive a curated set of games at the start of each month. Part of the subscription fees would go to charity.
Learn more about Humble Bundle →
How they do it: Netflix streaming service operates on a monthly subscription model. There are various options and the price is determined by the amount of how many screens can be used to stream in parallel.
Learn more about Netflix →
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