Businesses that have adopted the subscription model with well-defined recurrence strategies have managed to double the customer renewal rate and increase average annual revenue by up to 40%, according to an analysis by Betalabs Technology. The survey involved more than a thousand companies from different sectors that use the company’s platform for recurring sales.
According to Luan Gabellini, co-founder of Betalabs and a specialist in recurring sales, the subscription is a model capable of transforming the relationship between brand and consumer. “More than selling every month, it’s about offering convenience, security, and a sense of belonging. Companies that invest in continuous relationships and exclusive experiences retain customers for much longer,” he states.
Check out the 4 essential strategies to sell every month without depending on constant promotions:
1. Transform product or service into a plan
You can’t sell recurrence if the customer doesn’t understand what they are subscribing to. The first step is to create clear plans, whether for monthly product delivery, access to a service, or exclusive benefits. It needs to look like a real subscription, not just an installment sale.
2. Offer annual plans with installment payments
This is a game-changer: when a customer signs up for a 12-month plan with installments, the business gains revenue predictability, and the customer becomes more engaged. This reduces the cancelation rate and increases the LTV without the need for aggressive discounts.
3. Create a sense of community or belonging
Subscription goes beyond delivery. When the customer feels part of something bigger — like an exclusive club, early access, giveaways, or VIP content, they value more what they are paying for and continue to pay
4. Use technology to keep the relationship alive
Subscribing and disappearing won’t work. Brands with higher retention are those that use relationship nurturing, personalized notifications, and constantly remind the customer that they are receiving value for what they pay
According to the Brazilian Association of E-commerce (ABComm), the subscription box market in Brazil grew by 32% in 2023, reflecting changes in consumer behavior and the quest for more convenience and personalization. To support companies looking to take advantage of this trend sustainably, Betalabs has developed a free guide with the main strategies adopted by recurring businesses
The content, based on real data from over a thousand companies, is available on the company’s blog and Instagram. “We created this material to show that selling through subscriptions is not just a trend but a solid model that requires strategy, relationship, and long-term vision,” says Gabellini
