The subscription box industry is a hot industry. It’s grown more than 100% over the past five years and doesn't appear to be slowing down anytime soon.
There’s good and bad when it comes to industry growth. The bad news is that it means this is a competitive market. The good news is that if you want to join in on the subscription box world, you can learn from the many others who have come before you.
These are the top common marketing mistakes for subscription boxes and what you can do to avoid those mistakes!
1.Not doing research beforehand
Listen, we understand that the research phase of a business is certainly not the most exciting part of starting a business. But it’s a necessary part. Before you dive right in, you need to do your diligence. You need to figure out if there’s a need in the marketplace. You can start with target audience research! Audience research will help you get an idea of what your potential customers want, look for and value in products. By doing research, you can avoid investing time, money and energy into a product that your audience does not want.
Check out these blog posts for more information on how to conduct audience research:
2. Launching too quickly
Once again, we completely understand how exciting it can be to launch and that you might want to do so as quickly as possible. But it can pay off to put the work in up front and be patient. We recommend before you open your website and start hustling for sales, that you start building your brand online first. Social media is a great tool for this! By creating a Facebook or Instagram page for your box before you launch, you can generate excitement and build buzz. You can also test the waters of your price, offer and processes by holding a pre-launch.
Check out these blog posts for holding a pre-launch or building buzz for your box with social media:
3. Not offering amazing customer service
In the beginning of your subscription box journey, it can be very easy to focus more on acquiring new users rather than pleasing existing subscribers. After all, more users equals more revenue and more profit, right? Well, not always. The truth is, it costs about seven times more to acquire new customers than it does to keep your existing ones. So it actually does pay to have a customer service plan and follow it so that you can ensure you are keeping every customer who signs up with your box. Also, great customer service can turn your customers into brand ambassadors who spread the word about your product.
Check out these blog posts for mastering customer service:
4. Focusing on sales > community
This tip goes hand in hand with customer service but it’s worth mentioning on its own. The key to a successful subscription box business is retaining your customers and keeping the lifetime value of each customer at a high rate. You do this by focusing on the customer and less on the sale. Create a community around your box. Find people who are just as passionate around your niche and build social media content around it. This is one of the most effective ways to build a sustainable subscription box businesses.
These blog posts offer great tips for building a community for your box through social media:
No matter what happens, launching and building a business will have its ups and downs. You won’t be able to avoid every mistake but you can learn every step of the way. Keep your heart in it and hustle hard and amazing things can happen in your business!