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Quality of Revenue - Why it Matters

Jul 26, 2024

1 min read

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Imagine securing the same predictable and reliable revenues as SaaS companies like Netflix, Microsoft, and Adobe as an Ecommerce brand.

 

It’s possible by focusing on one thing:

 

the quality of your revenue.

 

High-quality revenue is:

 

Predictable,

 

Reliable,

 

Consistent

 

So, the question is how can your brand achieve SaaS like revenues?

 

  1. Membership Subscriptions:

 

Think of brands that offer subscriptions alongside their regular products such as Peloton fitness classes and Dollar Shave Club razors.

 

What makes this special?

 

These hybrid models provide recurring revenue from memberships alongside traditional sales revenue, enhancing predictability and customer loyalty.

 

Memberships stick because they become part of a customers routine or perceived as providing significant value.

 

 

  1. Become a necessity!

 

Take Procter & Gamble or Coca-Cola,

 

they sell everyday items that people constantly repurchase time and time again.

 

Why?

 

Because even without subscriptions, the combo of brand loyalty and frequent use makes their revenue rock solid.

 

An empty pantry is a pretty good commitment device.

 

 

 

So, what can your brand do?

 

Start by identifying which of these revenue models best blend with your business.

 

For example, if you're a clothing brand offer a membership subscription with exclusive products and discounts.

 

If you're a food brand create content of different recipes to give customers more reasons to try your product.


Jul 26, 2024

1 min read

0

24

0

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