Interested in learning more about subscription-based business models? If so, then the following #MOOC includes timely & relevant information::
Below is the module assignment as well as a sample of my investigation of current subscription-based businesses.
If nothing else, the analytical framework provides a useful mechanism to structure the problem and formulate a viewpoint.
I chose the following subscription business models in the following business categories:
Business Evaluation Criteria
Note that the highest rated business in each category is labeled in green in the table.
Analysis & Conclusions
Subscription business models are those in which the customer agrees to buy goods or services that are delivered, whether physically or digitally, and then paid for an extended period of time. As discussed in the course lecture, the long-term success of a subscription model is simple economics based on an optimal mix of the following factors:
Within the same business category, most of these businesses price their offerings within the same general range. Hence, in my opinion, the long-term success of any of these models depends on a blend of branding as well as a firm’s ability to continually offer contemporary (fresh) updates to their products and/or services. Moreover, since the pricing falls within the same general range, success also depends on a firm’s ability to offer comparably better value. For example, if Bomb Fell can offer more valuable (e.g., better clothes as the same price point) apparel to men vis-à-vis Stich Fix’s ability to do so will increase the likelihood of the former being a long-term success.
@RayBordogna opines on "strategy" concepts.