Did you know that 75% of direct-to-consumer organizations are already offering subscription services? By 2025, the subscription eCommerce market is projected to grow at an astonishing CAGR of 68%, reaching a value of $478.2 billion.
This surge is no coincidence. Subscription-based businesses are experiencing explosive growth, outpacing traditional retail by a wide margin.
According to the Subscription Economy Index (SEI), subscription firms on Zuora grew revenues 3.7 times faster from 2012 to 2022 than S&P 500 corporations (17% vs. 4.6%).
Are you a merchant or retailer looking to increase business profits? It’s time to transform your products into recurring revenue with Shopify subscriptions.
Even without any design, coding, or business experience, you can effortlessly create a subscription website. Our guide will show you how!
Top 3 Shopify Subscription Based Business Ideas for Websites
With a remarkable 34% surge in subscription revenue during Q1 2024, Shopify has proven itself as the go-to platform for building successful subscription websites.
You will benefit from Shopify's comprehensive toolkit, including customizable themes and a vast app ecosystem, to create a subscription website that stands out from the crowd.
Curated Subscription Boxes
Curated subscription websites offer a surprise assortment of products delivered regularly. This subscription model thrives on curation, personalization, and customer engagement. Merchants can foster customer loyalty, increase average order value, and generate predictable recurring revenue.
Benefits
Curated subscription websites offer a powerful platform for personalized engagement - a growing consumer demand. McKinsey found that 71% of consumers expect personalized interactions. By delivering curated products directly to subscribers, you can cultivate loyalty, generate predictable revenue, and gather invaluable customer insights.
Examples
- Birchbox delivers a monthly selection of beauty samples.
- Blue Apron provides meal kits for home cooking.
- FabFitFun offers seasonal assortments of wellness products
- Loot Crate caters to pop culture enthusiasts with themed merchandise.
Considerations
- Product curation: Maintaining consistent product quality and relevance.
- Operational efficiency: Managing inventory, logistics, and customer churn.
- Market competition: Intense rivalry demands continuous innovation.
Replenishment Subscription Websites
Replenishment subscriptions automate the purchase of regularly used products, delivering them directly to customers on a predetermined schedule. This model eliminates the need for customers to remember to reorder essential items.
Benefits
Replenishment subscriptions drive higher customer lifetime value and purchase frequency. Compass found a 1.78x increase in lifetime value for customers spending under $25. By eliminating the need for constant reordering, these subscriptions increase customer convenience, reduce stockouts, and boost customer loyalty.
Examples
- Amazon Subscribe & Save offers discounted, recurring deliveries of products such as detergent and vitamins.
- Harry's provides regular shipments of fresh razors and shaving supplies.
Considerations
- Inventory management: Consistent stock levels and precise shipping schedules are essential.
- Customer flexibility: A platform must adapt to changing preferences, including product swaps and delivery frequency modifications.
Exclusive Access Subscription Websites
Exclusive access subscription websites offer members unique benefits such as early product releases, limited edition items, or premium content. This model targets loyal customers who are willing to pay for exclusive experiences and products.
Benefits
Exclusive access subscription websites can generate higher average revenue per user compared to traditional models. Research from Wharton reveals that subscribers purchase significantly more, driven largely by the psychological commitment of membership. Additionally, exclusive offerings serve as powerful customer magnets.Examples
- Nike’s SNKRS app grants members early access to limited-edition sneakers.
- MasterClass offers exclusive online courses taught by industry leaders in various fields.
- Netflix provides subscribers with exclusive access to movies, series, and original content.
Considerations
- Prevent leakage to maintain exclusivity.
- Consistently deliver high-quality, exclusive offerings.
- Drive acquisition and retention through effective marketing and CRM.
How to Create a Subscription Website on Shopify
To effectively leverage Shopify's subscription capabilities, your online store must meet specific Shopify Subscriptions Eligibility requirements:
- Channels: Through Shopify Online Store or a Custom Storefront.
- Theme compatibility: Shopify 2.0 themes (version 15.0 or later) and Brooklyn themes (version 17.0 or later) are both suitable.
- Payment gateways: Shopify Payments, Stripe, Paypal Express Gateway, Apple Pay, Shop Pay, or Authorized.Net.
- Offering products as both subscriptions and bundles isn't supported.
Step 1: Set Up Your Shopify Store and Subscriptions
75% of customers expect seamless navigation, both in-store and online. Your subscription websites’ foundation lies in a well-structured store.
Create a subscription website from scratch? You'll likely spend 2-3 days just getting acquainted with the tools and setting up the foundation. Save time and effort with our quick steps!
Choose a domain name:
As your online identity, the domain name should accurately reflects your brand. The optimal format is [brand-name].com. For example: Apple.com, Nike.com, CocaCola.com, etc.
Opt for a model:
Start by picking your subscription websites’ type. Then, decide how to manage subscriptions: use Shopify's built-in features or integrate a specialized subscription app. For advanced management, this guide focuses on using subscription apps. You can evaluate these proven models for your sector:
- Clothing: rental subscription (Rent the Runway), subscription box (Fabletics), access subscription (Amazon Prime Wardrobe).
- Beauty: subscription box (Ipsy), product subscription (Dollar Shave Club), access subscription (Sephora Beauty Insider).
- Electronics: device subscription (Apple iPhone Upgrade Program), software subscription (Adobe Creative Cloud), repair/maintenance subscription (AppleCare+).
Select and customize a theme:
Your store's appearance impacts customer perception. To effectively showcase subscription offers and reinforce your brand identity, you should select a high-converting theme equipped with powerful display features, such as Slideshow, Image with text, and Image with text overlay.
How to build a subscription website with stunning animations, exceptional user experience, and game-changing features?
Sleek theme delivers an optimized UI/UX experience with advanced and interactive features: Highlight text with image, Layered images with text, Video hero, and Card images.
And the best part? Our exclusive Countdown Timer. Hardly any other theme offers this amazing upsell feature.
Step 2: Install Subscription Apps
Shopify offers basic built-in subscription functionalities for businesses looking for a cost-effective solution and seamless integration with Shopify.
- Auto-billed subscriptions: Weekly, monthly, or yearly options with discounts.
- Customer flexibility: Cancel, skip, or pause subscriptions.
However, these features are not enough for thriving subscription based business ideas.
Third-party apps offer greater customization, complex plan structures (e.g., tiered pricing, product mixes), in-depth subscriber management, and powerful analytics.
Recharge Subscriptions
Recharge is a leading subscription app for Shopify, trusted by over 20,000 businesses.
Pricing: Plans start at $99/month, scaling with your business growth.
Features:
- Offer weekly, monthly, or yearly subscriptions with flexible options (e.g., tiered pricing, product bundles).
- Send automated win-back emails and offer exclusive discounts.
- Track metrics (e.g., churn rate, performance by product).
Suitable for: All businesses seeking advanced subscription features, increased customer retention, and data-driven growth.
BOLD Subscriptions
BOLD Subscriptions is a trusted choice for 41,000+ of Shopify merchants seeking a streamlined solution to manage and grow their subscription business.
Pricing: A flat monthly fee of $49.99 + 1% transaction fee.
Features:
- Create, edit, and manage all your subscriptions in one central dashboard.
- Create recurring plans (weekly, monthly, yearly) with discounts and pre-paid options.
- Customer self-service: swap products, update payment information, or pause their subscription directly through your store.
Suitable for: Businesses prioritizing ease of use, a centralized management hub, and offering flexible subscription plans to customers.
PayWhirl
PayWhirl empowers your Shopify store to offer installment plans, letting customers split their purchases into smaller, manageable payments.
Pricing: Starts at a free plan with transaction fees.
Features:
- Break down subscription costs into smaller, more manageable payments (e.g., weekly, bi-weekly).
- Simplify the subscription process and cater to budget-conscious customers.
- Automate failed payment reminders and streamline the recovery process.
Suitable for: Businesses selling higher-priced subscriptions or targeting customers who prefer flexible payment options.
Step 3: Configure Your Subscription Products
First, you identify suitable products for subscriptions — those with consistent consumption (e.g., coffee beans, pet supplies) or limited editions. Then, follow these steps to set up subscription products in your Shopify store:- Log in to your Shopify admin panel.
- Click on the "Products" section to view your product catalog.
- Select the desired product:
- Select "Sell product as a subscription only" if you offer it exclusively as a subscription.
- Uncheck if you allow both one-time purchases and subscriptions.
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Step 4: Tailor Your Subscription Plan
Your products are ready. Now, let's craft subscription offers that entice customers.
Subscription Billing Cycles
- Monthly: For frequently used products (e.g., razors).
- Quarterly: For seasonal products (e.g., vitamins).
- Yearly: For long-lasting consumables or discounted bulk options (e.g., coffee beans).
Payment Gateways
Shopify Subscriptions have specific eligibility requirements for payment gateways. While several options exist, these three are your top choices to create a subscription website:
- Shopify Payments: This integrated gateway is the simplest option for Shopify users.
- Stripe: Known for its user-friendliness and comprehensive features, including subscriptions, invoicing, and fraud prevention. Stripe integrates well with digital wallets (Apple Pay, Google Pay) and supports over 135 currencies for global reach.
- PayPal: As the most popular digital wallet in the US (71% penetration rate), PayPal offers a familiar and convenient option for many customers.
Inventory Management
You should implement a reliable inventory tracking system to avoid stockouts and ensure timely deliveries for your recurring orders.
- Returns and exchanges: Establish clear policies for handling returned or exchanged items.
- Real-time updates: Maintain precise inventory levels for all subscription products.
- Order fulfillment and shipping: Streamline the picking, packing, and shipping processes for subscription boxes.
Step 5: Design Compelling Subscription Landing Pages
An effective landing page clearly articulates the value proposition of your subscription, captivates visitors with visually appealing elements, and encourages action through strong CTAs.
Foxify simplifies the process of creating exceptional landing pages:
- Extensive template library: Choose from over 150 professionally designed templates to match your brand and industry.
- Seamless Shopify integration: Connect landing pages directly to your Shopify store for efficient management.
- Dynamic product showcase: Powerful features - Video Hero, Featured Product, and Image Banner - highlight subscription benefits and drive engagement.
- Fox Magic: Your AI-powered content creation, translation, and SEO optimizer.
- First pagebuilder with built-in translation: Fox Magic lets you translate content directly within your store. You can instantly convert any text into local languages, edit, preview, and publish with ease.
Your ultimate guide: How to Create a Shopify Landing Page that Converts.
Note: Personalized CTAs can boost conversions by a remarkable 202% compared to generic ones (HubSpot). How to unlock this potential?
FoxMagic specializes in crafting compelling, SEO-optimized CTAs tailored to your unique audience! Find the magic content for your subscription websites here.
FAQs
1. How much does a subscription based website cost?
The cost of subscription websites varies depending on complexity and features, but generally ranges from a few hundred to several thousand dollars.
2. What is the difference between a membership and a subscription website?
Membership websites typically offer access to exclusive content or a community, often with tiered levels. Subscription websites primarily focus on recurring product or service deliveries, like monthly boxes or software updates. However, they can overlap, with many sites offering both models.
Create a Subscription Website for Consistent Income
By carefully selecting products, crafting compelling plans, and optimizing your store for conversions, you can create a subscription website that generates substantial revenue!
The global subscription market is booming, with North America leading the charge in 2024 and Asia-Pacific poised for rapid growth (Modor Intelligence).
Are you ready to capitalize on this opportunity? Foxify Smart page builder, your trusted partner, is here to show you how to build a subscription website that stands out from the competition.
