Gift Subscriptions: A Powerful Tool for Direct-to-Consumer Brands

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As a direct-to-consumer (DTC) brand, it’s important to stay flexible and offer your customers benefits that keep them coming back. This goes double for any subscription-based DTC brand. You must be innovative and stay one step ahead of the competition. It doesn’t matter whether you sell pet food subscriptions or beauty box collections—you should be selling gift subscriptions. Partner with a subscription management platform that lets you integrate gift plans and see how they can enhance your offerings. 

Discover the Gift Subscription Essentials

Gift subscriptions are exactly what they sound like. They allow your customers to purchase a subscription option and send it to someone as a gift. The two main types of gift subscriptions are cards and plans. Cards are similar to a gift card in that your customer purchases a set amount, and the recipient gets to choose the subscription they want with the card. On the other hand, a plan is selected by the customer and given to the recipient ready to go. For a beauty box DTC brand, this could look like either a gift card that the recipient would redeem and then choose what to get in their box versus a ready-made box chosen by the gift giver.

Why Should You Offer Gift Subscriptions?

There are a few different benefits to offering gift subscriptions. They can help boost your growth and revenue as a DTC brand.

Turn Fans Into Sources of New Business

A gift subscription can help turn enthusiastic fans of your brand into sources of new business. Instead of just word-of-mouth advertising, their love of your brand brings new customers into the fold when they gift a subscription. You could even see an increase in revenue from the gift purchases. It’s an excellent chance to impress new subscribers and retain loyal customers.

Build Relationships with Current and New Subscribers

Relationships are at the heart of every DTC brand. A beauty box doesn’t just want to be known for high-quality skincare and makeup. They want to be the welcoming brand supporting their customers and playing a vital role in their well-being. By building personal relationships and connections, you become more than just a brand. When an existing subscriber gifts a subscription to a loved one, they create a new bond by sharing their experience. At the heart of that bond is your brand. This helps them grow closer to each other and your products or services.

Lower Customer Acquisition Costs

Usually, finding and attracting new customers involves a high cost. However, with a gift subscription, the work is done for you. The gift-giver is doing all the advertising and attracting you need. A new subscriber who comes from a gift subscription has a lower and more manageable acquisition cost than a new customer who comes from organic traffic.

How You Can Implement Gift Subscriptions

There are many ways to offer gift subscriptions to your customers. You can simply put them up for sale on your website. Use your billing platform to give your customers bundle options. For example, they can purchase beauty products from your online store, and you can include a code for a month-long subscription they can use or gift to a friend. You could also include discounts in your emails to subscribers that they can send to loved ones to use. There are so many ways for you to implement gift subscriptions. Find what strategies work for your business and use it to your advantage.

About Recurly

Are you ready to take your subscription-based business to the next level? It’s time to partner with Recurly. Subscription services have become a mainstay in nearly every market, and Recurly can help you keep up with the ever-changing world of recurring billing. Their subscription management and billing platform offers the tools you need to successfully implement and manage subscription services for your business. With over 40 million subscriptions under their belt, Recurly knows what it takes to succeed in the recurring billing industry. Their host of tools, services, and analytics can help fuel growth for your business and improve the results of your churn rate formula. From testing alternate pricing models to incorporating payment gateway integrations in multiple currencies, Recurly makes it easier to build a thriving subscription-based business. When you’re ready to take the next step for your company, Recurly can help.

See how Recurly’s platform can help you set up gift subscription plans at https://recurly.com/

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