Are you confused about which subscription business model you should choose? Don’t worry we got you.
It may be hard to know which one’s going to fit your business and ensure that you’re putting out something that your customers are going to want to buy. So, in this blog we’re going to help you to remove all of the jargon and buzzwords and hope you get a clearer picture of which subscription business ideas is best for your business.
Here, 5 subscription business model examples for 2023. Let’s jump right in!
What To Know Before Starting a Subscription Business
Subscription based business models are perfectly suited for 2 types of businesses:
- Those who offer Access to content
- Those who offer a repeat service
Let’s quickly take a look at each of these types of subscription businesses. So, you can choose which one is better for you.
1- Access: Premium content for dedicated subscribers
If you create content that educates engages in forms or entertains, your subscription will focus on access. You have a stand-alone platform where your customers can access your premium content. These types could come in many different forms like courses, articles, episodes or workshops.
For example Matt Steffanina has an online dance platform (DNCR Academy) that teaches thousands of students around the world how to dance with online tutorials from LA’s instructors. He provides a lot of free dancing advice on Instagram, YouTube and his blog where he’s built a large dedicated following.
He’s created an online studio where you can get video based lessons. For just $17 a month his customers can get access to content advice that they just cannot get on his free channels.
So, if you make content that promises to transform your customers in some way then you can make a business like Matt too. Subscription business models present an opportunity to gain benefit from your most valuable content. This ensures the people who most want it the people that are gonna get the best results out of it that they have access to it.
The next type of subscription model is a service.
2- Service: A new (or restocked) product every month
If you’re a content creator who deals in physical products, subscription business models can help you to turn your product into a service. A great example of this is Quip toothbrush.
Quip toothbrush is the innovative company from the US. They send electric brush to their customers homes and aiming to fight the common, damaging habit of brushing too hard.
They automatically deliver fresh supplies every 3 months that you can switch or cancel anytime. Quip toothbrush has smart custom bundle that inclueds smart electric toothbrush & cover, mint anticavity toothpaste, refillable gum & dispenser, refillable floss pick and, mouthwash. For example; you’ll have plans like mint toothpaste monthly refill for $5 or 45-dose mouthwash refill (1 Bottle) for $15.
Okay now, if you are feeling comfortable that a subscription-based business model the right choice for you, let’s get into the specific models and how they work.
Subscription Business Ideas
1- Meal Plan Subscription Business
What is a meal plan subscription business anyways? A meal plan subscription business is a collection of pre-made or made-to-order meals with ingredients that make up the components of a recipe.
A meal delivery business creates and assembles meals along with a recipe in each box and each customer gets to prepare the meal at home with ease. Some of the ingredients are either cooked or raw vegetables or partially cooked or even ready to bake making it easy and simple for the consumer to make a meal without cooking.
Once you’ve chosen your niche and found a reliable way to source your ingredients, it is fairly easy to start your own meal prep subscription business. For example, Daily Harvest sells different types of meal plans for breakfast, lunch, and dinner. Customers can choose different subscription plans, from weekly to monthly choises.
2- Candy/ Snacks Subscription Box Business
Munchpak is a company offering snacks from different countries and deliver them monthly. Each month you’re able to get the box is themed with snacks from a different country. You can either order for yourself or share the gift of MunchPak boxes with your family or friends.
To find snacks for your subscription boxes, you can go through trusted sources you’ve made over the time. Once you’ve acquired samples, then you should taste-test each product to determine if it’s a good fit for a themed box.
3- Deodorant & Perfume Subscription
Maybe you’ve been interested in this type of business for a while and have even tried one of these subscription boxes. However, you are not satisfied with the product selection. You should look for a fragrance box that has scents from many different markets.
Each monthly deodorant and perfume subscription has its unique way of doing things. With so many on the market, which one is right for you? You may first want to explore the variety of high-end and designer fragrances they offer. If you are interested in trying specific things, you may want to look at the inventory or choices for multiple different perfume and deodorant boxes.
For example; Myro has plastic-free body wash and deodorant that can be refilled. They also have the facility of refillable packaging. You’ll be able to refill a deodorant after you finish it. You should just twist and lift your old Myro deodorant cap to open. Pop in a new pod, twist to lock until you hear a click and that’s all. You have your new refilled deodorant!
Myro’s plans start at $18.75. It’s easy to skip, change or cancel your plan anytime you want. The price for your monthly deodorant box is just a fraction of what you would spend on a full-size fragrance.
4- Gift Basket Subscription Business
The new trend of recent times is personalized gift baskets given on New Year’s Eve, birthdays, wedding anniversaries or celebrations. Such businesses make and send gift baskets to both individuals and companies.
You can also learn how to start a gift basket subscription business and earn good income from it by working from your home. To understand the need for gift basket subscription business, you must first understand the purpose of gift giving and the target audience.
People often send gifts on special occasions when they want to thank someone or show their love and gratitude. Likewise, businesses send gifts to reward customer loyalty and employees, to promote a product, service, or event.
People who start the gift basket subscription business bring together the products to be gifted and send the gift baskets they have prepared with creative packaging to the customers. When you start this business, you should have a portfolio of gift baskets that you’ve already sold to other customers.
What you need to start a personalized gift basket business:
- Knowledge of traditions, culture, and products
- Contacting suppliers selling souvenirs and packaging materials
- Ability to choose and assemble gift items creatively
- To be able to prepare creative and original packaging
5- Pet Supplies Subscription Business
If you’re looking to make some money and a difference in a pet owner’s life, you should consider starting a pet supply subscription business. So, there are two methods to start pet supplies subscription business:
- You can set it up as a drop ship store where someone else is responsible for shipping the goods to the customer
- You can open an store or buy a store and ship out your own inventory
Once you choose a method you can now proceed to step one. If you have no idea how a pet supply store operates or maybe you are a first-time online business owner, you can buy a business plan from Fiverr. They’ll actually create custom business plans that outline exactly how your business is supposed to work and what you should expect.
So, whether you choose the drop ship method or to buy your own inventory, the supplier research process is still exactly the same. You may want to get started right away and maybe you don’t have so much budget to buy inventory. That’s totally okay. You can go to Google and type in “dropship pet supplies” or “pet supplies dropship program” to access to thousands of products to sell in your store.
If you do have some money, want to manage your own inventory and, keep products in your own warehouse to ship, just Google the words “wholesale pet supplies”. And you’ll reach the listings from here. You can find a company to buy and bulk from.