Understanding the power of subscriptions with Recharge.

Understanding the power of subscriptions with Recharge.

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Understanding the power of subscriptions.

Powering over 15,000 brands, Recharge offers subscription services for eCommerce merchants to help them turn one-time transactions into customer relationships. Merchants are faced with the ongoing challenges of both how to acquire customers, and secondly, how to retain them. 

Our eCommerce experts loved chatting to our Recharge Partnership Manager, Callie Calimlim who has a wealth of knowledge in sales and eCommerce, about how subscriptions help merchants succeed online and therefore, can change their whole business model.



Top 5 reasons why merchants should offer subscriptions?

  1. Ability to forecast: Offering subscriptions means that merchants can forecast their recurring revenue and inventory orders.
  2. Increase in customer lifetime value LTV: Subscription services can reduce customer churn and boost ongoing brand loyalty.
  3. Increase in AOV: Customers may enhance their subscription to add another product, or add a product to an existing order.
  4. Allows you to gain actionable insights into consumers: Through customer data, brands can see who are their loyal customers which helps to form their marketing strategy going forward. For example you can see how long they are subscribing for, what they are ordering regularly, do they like discounts or free products, and more.
  5. Assist in purchasing decision: Makes it easier for customers to receive products and removes friction for customers to have to make ongoing purchases.


Recharge and Shopify


Who are subscriptions best suited to?

If a customer makes a repeat purchase, there is an opportunity for them to become a subscriber to your brand’s offering. Brands who offer replenishable products need to offer subscriptions to their customers. Not only does it enhance LTV and AOV, but it also means that your customers don’t have to remember to purchase your product, or worry about dismissing promotions from competitors.


Recharge example


Other exciting features of Recharge:

  • Recharge Analytics: The reporting dashboard has a number of reporting tools for brands to use. For example, brands can view predictable revenue, see how they are comparing against others in their vertical, understand customer behaviour and more! Read more here.
  • Recharge bundle offerings: this offering is coming soon, but it will allow customers to create their own shopping cart bundles. Read more here.
  • Recharge SMS: this service is a transactional-only tool that allows customers to manage their own orders directly from their mobile. The data shows an increase in customer LTV by 30% with customers using RechargeSMS. It’s currently available in North America and coming soon to the UK and APAC. The bonus is this tool is free! Read more here.