Today, the economy is growing from a subscription fee of £ 323 million, data show
Most of the homes are registered for a regular subscription service
They became more popular during the blockade period
With more households signing up for streaming services like Netflix and ordering food during the blockade, Britain is now being called a “subscription society”.
Households currently typically spend £ 552 a year on registration services, according to new data.
According to a study by Barclaycard Payments, the subscription economy grew to £ 323 million, with businesses using the model increasing.
About 65 percent of households signed up for regular subscription services with an average of seven household contracts.
This study examines retailers and consumers about the increasing dependence on digital subscriptions and direct subscriptions.
He found that the steady surge in popularity led to 22% of UK retailers developing a subscription service or product during the blockade, adding to the 28% who already offered the service.
It’s no surprise that business is on the rise, with digital service and subscription costs rising 39.4 percent year-on-year in July.
The study found that Britons spend an average of £ 46 a month on subscriptions.
Entertainment subscriptions are the most popular, providing essential home activities when options elsewhere are limited.
Grocery and grocery subscriptions – such as wine tasting kits – are the second most accepted, while health, fitness and grooming services are also trending.
TOP SUBSCRIPTION SERVICE
2 meals / meals
4 beauty / makeup
7 books / literature
8 alcoholic drinks
10 snacks and snacks
Source: Barclaycard Payment
Crafts, books, and liquor also made the top ten.
Men topped the customer list, allocating an average of £ 57 per month – equivalent to £ 684 per year – compared to £ 35 – £ 420 per year for women.
About 82 percent of retailers believe subscription services will grow in popularity during the blockade as Britons use safe and convenient ways to get everything from essentials like groceries to entertainment in their homes.
In April, when the country was completely blocked, spending on digital content and subscription services rose 50.2 percent a year, indicating that it is dependent on this model for longer periods of time at home.
To maximize this growing revenue stream, 10 percent of retailers launched their first subscription service between March and June 2020.
In these uncertain times, 75% of retailers believe subscription services are a more reliable and predictable source of revenue for a one-time fee model.
The main reason users sign up for a subscription is for great content and convenience, and 25 percent say this feature is important.
About 48% say a personalized offer is the reason to sign up and 51% say finding a new brand or product is also important.
Campaign spokeswoman Mary Portas added: “Even before the pandemic, subscriptions were an essential tool for UK retailers, helping companies stay agile and get their product or experience straight into their customers’ homes.
“Due to the long embargo, people have become accustomed to a variety of products and conveniences that make them often surprised and amazed by the brands they care about.
“As a nation, we face the challenges of our lives, we are in a precarious financial situation, we are facing a recession and have many predictions for more difficult times ahead of us.
“We must remember that companies in the UK have always been known for their ingenuity and ability to determine customer needs.
“Now that more people are shifting to the subscription economy, we have more evidence that retailers are willing to try new things to find untapped revenue streams.”