Looking for quotes from subscription-box service creators/founders on the advantages of starting this business model, aside from the obvious monthly revenue stream.

Comments

Hi Jennifer,

As someone who's developing a subscription / membership based model in the food industry for Feastively (www.feastively.com) (shh, it's a secret though) one of the key advantages I see is predictability in business operations and costs. For instance, if collating and packing 100 boxes takes 3 people 4 hours everytime a box needs to be sent out it's easier to organise resources and get on top of cash outflow. It's also much easier to negotiate costs with suppliers with known future sales volume. Of course one has to factor in churn and growth but imagine "knowing" that 100 boxes need to be dispatched vs "guessing" you can sell 100 boxes.

Another critical benefit is attracting the right type of customers. This is a lesson we borrowed from Marley Spoon. Since repeat purchases are critical to business survival, subscription / membership plans tend to weed out the noise of curious customers, who are unlikely to benefit the business in the long-run.

Hope this was useful.

Hi Jennifer, not sure if it's still relevant but i WAS a subscription box founder (Ilovethisbox.com.au) so let me know if i can help

I'll contact you via email. Many thanks for sharing.

Hi Jennifer, I can ask Rebecca Casserly if she'd like to be interviewed. She's a fashion blogger and she has something she calls "The Boop Box". I interviewed her this month and one of the questions I asked was about that box: http://sbt.me/7zj

Many thanks, Alex. Much appreciated. I'll also contact her directly.