Lifetime subscription

Subscription models no longer dominate only in games, computer programs, music and movie services. Thanks to the monthly fee, you can order coffee for PLN 1.99 per day or enable “sleep” functions in the car, for example, unlocking the adaptive suspension, unlocking the autonomous driving mode and even reducing the turning circle.

There are more and more items and services on the market that are no longer for sale. However, they can be rented. Subscriptions no longer only apply to your favorite weekly magazine (I don’t have to write down which one, right?). Instead of spending years collecting a wardrobe full of DVDs or Blu-ray discs, all you have to do is pay monthly or annually for access to services with films and series (e.g. Netflix, Amazon Prime Video, Apple TV, Disney+, HBO Max, etc.), as well as for the ability to listen to your favorite music via music streaming services (e.g. Spotify, Tidal, Deezer, Apple Music). Also most programs – whether office suites, antivirus programs, graphics programs, etc. – you no longer buy them on media, but only download them to your disk and pay a monthly or annual subscription. Just like with computer games. Gyms and stores also use the subscription model (you can regularly order products such as wine, flowers, honey, cosmetics, razors, toilet paper, printer ink or dog food). There are also more and more companies arguing that subscriptions can be an alternative to owning products that everyone once wanted to own, like a car. You can easily rent cars in Poland for hours, days, months or years. Entrepreneurs who offer services that align with the ‘Everything-As-A-Service’ or ‘Anything-As-A-Servive’ philosophy are not only gaining popularity, but also increasing revenue and customer loyalty. A report from Zuora shows that the value of revenues of companies operating in the subscription model increased by 435% in the years 2012–2020. The increase in their turnover was five to eight times greater than that of companies in the S&P 500 index. According to analysts at UBS, between 2020 and 2025 the global value of the so-called The subscription economy is expected to increase from approximately $650 billion. to $1.5 trillion (that’s right: trillion – there’s no translation error here).

McKinsey experts, in turn, estimate the size of the subscription market at $1.7 to $3 trillion. These figures impress managers of more and more companies.

Source: Do Rzeczy