Subscription eCommerce is a fast-growing way of buying products and services online. A growing percentage of shoppers have signed up for subscriptions, receiving products and services on a regular basis. Turn one-time customers into recurring subscribers with a Subscription Management tool. Provide customers with a convenient and budget-friendly way to buy goods or services, while you benefit from revenue through recurring sales.
When speaking about subscription models there are generally four types of subscription eCommerce services to be defined: replenishment, curation, access, and service. Marello’s Subscription Management software enables you to manage all your digital subscription or/and physical serve subscriptions from one application.
Replenishment Subscription Model
Use Marello to replenish consumable products like toothpaste, skincare or even socks, providing subscribers with a convenient way to ensure they never run out of the items they use daily.
Curation Subscription Model
Offering a curated collection? Surprise customers by providing new items or highly personalized experiences with Marello’s Subscription Solution.
Access Subscription Model
Let subscribers gain access to exclusive content, items, or services. The subscription model is well known from subscription giants such as Netflix and Spotify and also includes SaaS (Software as a Solution) services and apps.
Service Subscription Model
In some cases, a product may be bought that includes an additional service. For example, think of boilers that include a maintenance contract or vehicle service contracts. This what we call a service subscription.
Working with Subscription Management in Marello
In order to cater to any of the four subscription models, many different processes need to be supported in a subscription management system, such as handling the duration, recurring payments, and customer communication.
Subscriptions in Marello are a special type of products with specific attributes. These attributes include:
- Subscription Duration: the duration of the subscription agreement
- Number Of Deliveries: if applicable, how many deliveries can the customer expect
- Payment Term: the payment term for the subscription
- Special Price Duration: when a special price is offered, will it only be applicable to the initial subscription duration or will it be extended when the subscription is renewed
When an order is placed in Marello that contains a subscription product, Marello will dynamically create a Subscription with the applicable specifications.
The Subscription will handle all things related to the subscription, such as creating orders (if needed), handling payments, and renewing subscriptions.
A subscription will be assigned to a customer (if the customer doesn’t exist in the system, a customer will be created). On the customer page in Marello, you will find an overview of all subscriptions assigned to that customer
Term of Notice
After the duration of the subscription ends, the subscription may automatically stop or be continued. Usually, customers can decide when they want to stop the subscription from this point on. This is the term of notice. Marello allows for variations in duration and term of notice and sends out reminders to customers.
Subscription payments can occur in many different forms. Some payments might be automatic while others are non-automatic and paid manually. Also, payments may occur by credit card, bank deposit, Paypal, etc. In each case, customers receive automated emails with information such as payment reminders and payment notifications.