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| − | In [[The Personal MBA|The Personal MBA]] a ''subscription '' is defined to provide tangible or intangible benefits on an ongoing basis in exchange for a recurring fee. It is one of the [[Twelve standard Forms of Value|Twelve standard Forms of Value]] (Form of Value #4 of 12). For a company a subscription is an attractive form of value as it provides a steady stream of revenue. Subscriptions allow a company to build a steady state of loyal customers. The key to subscription is to make [[Customer attrition|Customer attrition]] as low as possible and keeping existing customers happy.
| + | Subscription |
| − | =Key Points:=
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| − | * Subscription programs provide tangible or intangible benefits on an ongoing basis in exchange for a recurring fee.
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| − | * To create a successful subscription you must:
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| − | ** Provide value consistently to each subscriber.
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| − | ** Build a subscriber base and constantly attract more subscribers to compensate for attrition.
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| − | ** Bill customers on a regular basis.
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| − | ** Retain subscribers as long as possible.
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| − | * The attractiveness of subscription models is its predictability. This form of value ensures a certain revenue in every billing period.
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| − | * The key is to keep customer attrition as low as possible by keeping your subscribers happy and constantly attracting new customers.
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| − | =Questions for Consideration:=
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| − | * Does delivering value as a subscription / continuity program make sense for your business idea?
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| − | * If so, what do you need to plan for to make it successful?
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| − | Source: http://book.personalmba.com/subscription/
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| | [[Category:mbi]] | | [[Category:mbi]] |
