Subscription businesses grow nine times quicker

Posted on Dec 26 2017 - 11:05am by Editorial Content
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Nearly all UK consumers are now part of the subscription economy thanks to an explosion in the number of businesses offering recurring services.

Printer companies HP and Epson have launched ink subscription sservices as a convenient and economical alternative to the ad hoc purchase of replacement cartridges

Printer companies HP and Epson have launched ink subscription sservices as a convenient and economical alternative to the ad hoc purchase of replacement cartridges

A survey commissioned by Zuora, a SaaS provider of subscription order-to-cash solutions, shows that nine out of ten consumers now choose to subscribe to their favourite stores, brands and services instead of purchasing them on a ‘one-off’ basis – an increase of 11 percentage points on last year’s figure.

According to the Zuora Subscription Economy Index, subscription businesses grow revenue nearly nine times faster than the S&P 500.

John Phillips, Zuora’s VP EMEA, said: “The only way businesses can sustainably maintain relationships with consumers and grow is by moving away from their product-centric mentality and creating long-term brand affnity based around ?exible subscription-based services.”

www.zuora.com

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