Increase ROI with Recharge Shopify Based Subscriptions
Recurring orders can increase your ROI by improving marketing opportunities and retaining customers for longer. ReCharge Shopify allows you to manage your subscriptions, which simplifies the process allowing you to get on with other business activities that make you money.
Why a subscription based model is a no-brainer
Customer retention can be difficult in the online world as there are many competitors for any given niche. Acquiring new customers can be expensive, which means getting the most out of them should be at the top of your priorities. It’s estimated that only 18% of companies focus on customer retention – a puzzling statistic since the ROI upside of retaining existing customers is so big.
Offering subscription based products takes the same amount of effort in terms of marketing, yet the potential monetary reward is typically much greater. Raving fans of your products might stay subscribed for years, even a decade before they decide to move on. In the process you’re generating many multiples of the same sale.
Furthermore, subscriptions allow you to have an open channel of communication for marketing. Customers are going to listen to vendors they are currently subscribed to for more offers. Therefore, the response rate of your marketing material will yield favourable results. You can offer new products or upgrades over their existing subscriptions.
How ReCharge simplifies subscriptions
ReCharge is a recurring billing app that allows physical subscription based products to be purchased via checkout. The app is exclusively built for Shopify, which means integration is straightforward. Here are a few reasons why ReCharge makes things easy:
Functionality: you can customize the pricing and checkout process to meet the needs of your business. This includes adding discounts, setting expiration dates and creating pre-paid gift subscriptions.
Easy integration: ReCharge will incorporate data from your current inventory management system to help automate the integration process. Inventory stocks will be tracked to ensure stock replenishment doesn’t become a problem.
User interface: the mobile-friendly app is created with your customers in mind. They can log into their account and manage subscriptions via a user interface that robust and easy to use. Permissions can be set so that customers can skip or cancel subscriptions. This automates the process, which means no manual interaction is required to handle individual customer accounts.
An added benefit of ReCharge is the lack of a fee for non-subscription products that are bought via their checkout system – this is unique since most other competitor apps take a fee. ReCharge has an easy to understand pricing model: a base fee of $39.99 per month and 1% of all transactions. They also offer a 60 day free trial to give you a no-risk way of trying them out.
Shopify vendors that are interested in taking their business to another level should strongly consider the merits of a subscription based model. There are added benefits such as allowing you to forecast more accurate cash flow and feeling the security blanket of regular income. With the help of ReCharge making the transition to a subscription based model has never been easier or cheaper. It gives you the incentive to take the leap of faith and after doing so you’ll never want to look back. Shopify is one of the best online ecommerce platforms, so the odds are in favour. However, don’t take our word for it – the proof will be in the numbers at the end of each month. Analyse the results of the change and compare the ROI of subscription based customers with non-subscription. You’ll likely see that the former yields a more profitable return on your marketing efforts.
If you’re interested in implementing ReCharge on your Shopify store, get in touch or see our Shopify services page.