Dose #138: Your 2025 Q1 Subscription Success Playbook: Cancellation Flows, Email, and Processing

Matt here with your weekly Subscription Prescription 💊

2025 is here and Q1 plans are underway. When you’re thinking about what to work on to improve subscription revenue, I’ve got you. In this dose, we’ll cover cancellation flow improvements, email tactics, and processing opportunities. Plus - a live workshop in Dallas this May during SubSummit!

This week’s dose is also a podcast! Give it a listen on YouTube, Apple Podcast, or Spotify:

Fulfillment is a Critical Piece of the Subscription Puzzle

As you probably know, I am a big fan of Legion Athletics. I’ve worked with them a long time, and talk about them often. But one of the best things about them, outside of their great products, is their complete subscription experience.

They have absolutely nailed their subscription fulfillment, and as we cover later on in this week’s dose, that’s a critical subscription touchpoint.

They’re able to nail fulfillment because of a company called Stord.

Stord is a commerce enablement company that operates fulfillment centers across the world and builds complementary technology to help reduce transportation costs, increase visibility, and provide Legion with the tools they need for an exemplary customer experience. It’s a fully integrated experience.

According to a study by Voxware, 14% of online shoppers will abandon your brand if they receive a late delivery just once. That means every shipment is a risk you may lose a customer completely if something goes wrong with your fulfillment.

Stord has specific processes and technology to aid subscription brands. If you’re looking for a better fulfillment partner, or curious about how better quality in your fulfillment will improve your retention, go learn more about Stord today.

Your Q1 2025 Subscription Success Playbook

Hey there, and Happy New Year!
Before we dive into this week’s dose, a quick personal update: little Mac is now 2 months old, and our household couldn’t be happier (albeit a bit sleep-deprived).

2024 was an amazing year, as our consultancy found its legs and delivered some great results, and of course - we had a baby!

I’m excited to watch this kid grow and keep these doses coming for you all year long!

This week, I want to share three high-impact strategies that we’re prioritizing with clients this quarter. If you focus on these, you’ll see improvements in retention, revenue, and overall subscription health.

1. Master the Cancellation Experience

Retention is one of the easiest wins for a subscription business. Yet, many brands overlook the cancellation flow, setting it up once and forgetting about it. Big mistake.

When a customer wants to cancel, it’s a critical moment. Instead of letting them walk away, you can use specific tactics to reduce churn and even boost loyalty:

• Understand Why: Don’t settle for vague reasons like “too expensive” or “too much product.” Dig deeper. For instance, “I don’t see enough value” might mean you need to show how your product delivers exceptional results (think a video or infographic).

• Offer Smart Incentives: Discounts, gifts, or flexible subscription options (like skipping a delivery) can persuade customers to stay. Test different options to see what resonates most.

• Add a Personal Touch: Splash screens with a heartfelt video from your founder can make all the difference. Share your mission, your passion, and why your product is worth sticking with.

The takeaway? Don’t just build a cancellation portal. Turn it into a win-back machine. Revisit and test this flow monthly—your retention rates will thank you.

2. Unlock the Power of Email

Email isn’t just a tool—it’s the backbone of a successful subscription strategy. And it’s not just about sending more emails. It’s about sending the right ones.

Here’s where we’re seeing major wins:

• One-Click Upsells: Tools like Zaymo allow customers to upgrade to quarterly subscriptions or add products with just one click directly from an email. No login required, no friction. One of our clients sees a 1.5% conversion rate from each email send (converting to quarterly subscriptions!!

• Win-Back Campaigns: Don’t ignore churned customers. Win-back campaigns with compelling CTAs (like a limited-time discount) can recover revenue you thought was lost.

• Segmentation Done Right: Instead of creating endless flows, focus on meaningful segmentation. For example, if you sell protein powder, build separate flows for weight gain, weight loss, or meal supplementation. This makes your offers feel tailored and boosts conversions.

Remember, great email strategies aren’t set-and-forget. They’re dynamic, personalized, and ever-evolving.

3. Fix Your Payment Processing Leaks

Think your payment processing is running smoothly? Think again. Failed payments could be costing you thousands every month.

Here’s the deal: most platforms aren’t optimized for retries, and failed payments often lead to churn. That’s where third-party tools like Butter Payments, Fly Code, or Redux Payments come in. These services specialize in improving authorization rates, potentially adding 10% or more to your bottom line.

Imagine processing 1,000 subscriptions a month and recovering 50 or more failed payments. Over time, that adds up to serious revenue. Even if your current platform offers retry features, an audit with a dedicated service could uncover opportunities you’re missing.

What’s Next?

This year is all about maximizing your levers—retention, lifetime value, and acquisition. Whether you’re refining your cancellation flow, revamping your email strategy, or tightening your payment processing, these steps will help you build a more profitable subscription program.

And here’s a sneak peek: Subscription Prescription is hitting the road in 2025! I’ll be hosting workshops at industry events, starting with SubSummit in Dallas. Stay tuned for more details, and get ready for a hands-on, tactical experience.

That’s it for today! Got questions? Drop me a note on LinkedIn or reply to this email.

Live Subscription Workshop at SubSummit

Tired of conference sessions that don’t get into subscription specifics?

Want to know what other brands are doing to impact LTV?

Are you going to SubSummit this year?

Then this workshop is for you because Subscription Prescription is hitting the road this year! We’ll be LIVE at the Sheraton in Dallas as part of SubSummit, with this unique event just for you. Come hang out and LEARN with us.

Pre-register to get updates on the event!

That’s it for this week’s dose! Stay tuned for #139 out next Tuesday!

 - Matt Holman 🩺

The Subscription Doc