Dose #92: Understand What People Do with the Subscription

Matt here with your weekly Subscription Prescription 💊

This week’s dose is about user experience. When you spend time learning what people do with the product, how often they use it, and what they want from it, churn lowers and conversions increase. We will cover examples of how this works and ways you can gather information.

I dive deeper into this topic on the podcast this week, so if you prefer a watch or listen here are the links:

Do you know what people are doing with your subscription? Do you know what they tried beforehand and what they want the most from you? What happens to your subscription in the first few days or weeks?

One of the most impactful methods I teach my clients is digging into who subscribers are and what they do with the product. This allows you to get better at demonstrating value right away and, over time, to prevent churn.

It is the #1 technique you can do to increase retention.

It is also one of the cheapest ways to increase retention, instead of massive discounts and gifts.

Let’s dive into how this all works.

We All Make Assumptions

Every brand makes assumptions. I make them, too, about who you are and what you’re getting from this newsletter. Even for something as simple as coffee, what do you know about your subscriber?

Do you know how many cups of coffee they drink each day? Do you know the type or flavor they prefer? Whether it's the roast or the convenience they prize the most? Are they ramping up consumption or trying to save money by making it home?

When we sell a bag of coffee on a 1-month repeat frequency, we assume someone will mostly use that bag or order more if they run out. But when they churn two months later because “they have too much product,” you’ll have lost them for good.

If you know someone makes one cup each morning, you’ll have a strong idea of how much to put in a bag or how frequently the subscription should renew. You’ll also be able to craft better messaging that speaks to what they care about the most.

Sending them the right amount and demonstrating value sets you up for great retention.

Onboard People to the Product

Continuing the coffee example, let’s say you sell French press-style coffee. This is made differently than instant drip coffee and differs from what someone would get at Starbucks.

How do you onboard someone to this? First, we’d need to know if they’d tried French press before or not. If they have, then you’ll demonstrate value by comparing yourself to others in the space or showing how it is easier or cheaper, or higher quality.

If they are new to this style, you’ll spend more time explaining how it is made. How is it different, and why is that?

Think of your onboarding emails or upcoming order notifications - what would you say to either audience? What would make a good gift or special bonus to help them on their way?

Knowing who they are and what they’re doing with the product lets you onboard them more successfully, which makes retention all the easier.

How We Can Learn More About Our Subscribers

Some of the simplest ways I like getting into a subscriber’s head start with quizzes and post-purchase surveys. You’re already driving traffic to the site, so start understanding the kinds of visitors and purchasers you’re getting.

More than attribution, start getting into who they are, what they’ve tried before, and what they hope to get out of it. Even someone buying melatonin for sleep could have different reasons than you assume.

I suggest calling customers to get direct feedback, especially from those who have been on the subscription for a while. You can send periodic emails with surveys embedded, too.

Cancelation surveys are another good place to gather information. But this is a starting point because you usually get a reason without too much explanation.

Conclusion

The best subscriptions know what types of people buy and use their products. It lets them craft better messages and offers and retain customers longer. When you spend time learning more about your subscribers, you’ll have a better onboarding experience. This creates an additional valuable touchpoint that will keep them coming back for more.

That’s it for this week’s dose. Stay tuned for Dose #93 next Tuesday!

- Matt Holman 🩺

The Subscription Doc