Factors Influencing Service Subscriptions

A recent study by Expert Market Research shows exactly just what pushes people to subscribe to new services. Respondents feel that the content and feature being the number one reason to subscribe to new services with cost not that far behind. The study further looks into gaps present in the market which can be utilized by new businesses to solidify their position also revealing changes in consumption patterns of millennials and Generation-Z.

Factors influencing decision to subscribe

With the increasing competition and investment in subscription-based business model it is essential to find how customers actually subscribe. A comprehensive study done by Expert Market Research which surveyed over 50000 respondents across all major metro cities in India reveals the real reason why people actually subscribe to business offerings.

Over 35% subscribe based on the feature and content presented by the platform which is a positive sign for the industry as it shows a healthy and organic subscriber base who value content and services provided over all other factors. While 26% subscribe for the price point whereas only 13% subscribe for freebies and trial periods showing that subscribers prefer a low cost or a value for money product instead of the freebies and trial period businesses provide. Recommendation and reviews, Accessibility and compatibility also attract only  5.68% each showing trends which are further explained in a study provided by Expert Market Research, the study also points out how these numbers can be increased.

These results reveal many different avenues businesses can explore to influence consumers to subscribe to their services. The data cleary shows that there is a huge gap in the market where over 13% of respondents subscribe mainly due to businesses providing free trials and freebies wether it be in tandem with internet services, mobile plans and more. This kind of growth while in a short term can increase customer base it is not organic and will lead to a fall of after trials and freebies are over causing panic in the business. Using freebies and trials to achieve organic growth has also been deeply researched in the study.

The study also sheds light on the changing view of Millennials and Generation-Z on subscription services. They prefer subscription services over actually buying products as they find more value in not paying a huge upfront cost. Hence its projected that subscriptions will only increase in the future meaning that businesses need to focus more on providing quality products so that more people are attracted to their services.

Reason for subscription

Leading brands like Netflix, Spotify, Amazon, and Disney+ exemplify success in the subscription market by continually innovating and evolving their platforms. They differentiate themselves through exclusive content, such as Netflix's "Squid Game" and Amazon Prime's "The Boys," which have become international blockbusters and customer magnets.

The rapidly growing subscription-based industry demands a deep understanding of the Indian market, something Expert Market Research provides. By aligning with consumer preferences and focusing on quality and innovation, businesses can secure a loyal and expanding subscriber base, ensuring long-term success in this competitive landscape.