From beauty products to pet treats to wine-of-the-month, subscription box models are proving to be big business for a wide range of products. These niche specific subscriptions continue to become more and more popular every year.
Why are they attractive?
As your time becomes increasingly valuable, spending hours in a retail store or pouring over a website is an inefficient use of that asset. Subscription boxes give you that time back and offer the ultimate in convenience. Modern companies are offering thoughtfully organized boxes based on your interests, style, etc.
While some subscription boxes offer variety, others provide convenience by shipping staples on an ongoing basis. These are things along the line of beauty products, pantry items and pet food. You receive your box just before you run out of product and know exactly what to expect, which can save a lot of time.
Most subscription boxes bill on a month-to-month basis, allowing you to try the service and cancel at any time. Having a set regular fee helps consumers on a budget plan accordingly.
And of course, the excitement that comes with a delivery showing up at your door is a nice little gift to yourself!
Recurring Billing Merchant Services
Accepting credit cards from your customers is a must if you are in the subscription box business. The structure you will typically use is recurring billing. When your customers sign up, they are billed at regular intervals which tend to be monthly but can be weekly, quarterly, or any other format.
The recurring billing continues unless they opt out of the service, extending convenience to you since it is automated and syncs with your accounting platform.
With a recurring billing model, there are some common risks to you as the business owner including chargebacks. It is important to be extremely clear with your customers at the time they are signing up to ensure they are aware they are entering a recurring billing contract for a subscription box service.
D4 Payments provides ongoing support with our recurring billing merchant accounts to help alleviate these risks and reduce chargebacks. Your customers can easily pay directly on your website and enter a subscription billing cycle utilizing our secure online payment gateways. When the recurring billing processes, funds hit your bank account as soon as the next business day.
Subscription box services are a useful instrument for updating your customers with new products and samples. They are a great way to retain existing customers and gain new ones. Our experience working with this business model allows us to provide customized support to meet the specific needs of your business. Dedicated technical support, customer service and integration support are available 24/7.
If you would like more information on how D4 Payments can help you, feel free to reach out!
