There are thousands of subscription box companies, making for a saturated market. Consumers are not any less enamored with the concept though, so entrepreneurs still have a chance to capitalize on this market segment. In order to succeed, however, a subscription box company must stand out while simultaneously appealing to its target audience.
Define Your Niche
If you do not have a meaningful concept, you will not be able to compete long-term. Perhaps it is locally-made products, beauty products that are not animal-tested, or fitness for new moms. Whatever you decide on, it should be as specific as possible. The more niche a subscription box is, the better chance you have of curating products for your customer profile, which makes for a good customer experience.
Create the Experience
Subscription box subscribers want an experience when they open their box every month. Everything from the packaging to the products count. The products and experience should be high quality from the get go, but equally so as the subscription continues. There should also be an element of discovery—customers want to hear about products they would not have otherwise known about. If you plan this product mix correctly, your subscribers will look forward to receiving their monthly box and will be more likely to remain customers.
Even though subscription boxes are on a monthly timetable, planning the next month during the previous month will not work because it does not allow enough time to really curate products. Think ahead about product selection and how the products fit your market. Long-term content planning will give your subscribers a box with that ‘wow’ factor.
A subscription box company will not survive if it is not in tune with its customer base. Customers can fill out questionnaires about their preferences, sizes, or coloring. You can also use social media to ask questions and garner feedback about what was liked and not liked in recent boxes. The closer you get to what the customers want, the better the chance for long-term loyalty.
Finding out who your competitors are and what they are up to can be an advantage to your subscription box company. Checking out their social media pages and marketing materials can give you a good idea what you are up against and help you differentiate from what the others are doing.
Once you understand what the competition is doing and how your subscription box will be different, you can work towards creating a brand that is consistent. The look and feel of your marketing efforts, email, and social media should match your brand. For example, images and text on your email campaigns should be consistent with your brand’s design and color scheme. The goal is to create a consistent experience that appeals to your target audience across all means of communication.