Industry research
Consumers spend over £2 billion on subscriptions
49% OF BRITS ADMIT TO BUYING ITEMS THEYWOULDN’T HAVE IF THEY HADN’T SUBSCRIBED £18m BRUMMIES ARE THEBIGGEST FANSOF SUBSCRIPTIONS SPENDINGONAVERAGE £18MPER YEAR 25% OF HEALTH-CONSCIOUS SHEFFIELDERS SUBSCRIBE TO SNACK COMPANY GRAZE
British consumers are spending on average over £2 billion a year onmonthly delivery subscription packages even though one in five say they don’t use the services they’ve signed up for. Our research revealed that although there are several reasons behindpeople opting in to such services, convenience (45%) andvalue formoney (60%) were two of the keydrivers, althoughalmost 20% said they signeduppurely for thenovelty of receiving items through thepost. Fromdiscounted delivery and art and craft supplies to snack-sized health foods and curated beauty boxes, subscriptions are an increasingly common way for consumers to buy services online. According to our survey, Amazon Prime is themost favoured subscription package with 61.4% of participants saying that they had signed up to the service. Other popular services include healthy desk-snack company Graze (12.3%), nextunlimited (9.7%), ASOS Premier (8.8%), Pact Coffee (8.5%) and beauty brand Glossybox (7.8%). It’s great news for retailers. Almost half of participants admitted buying products they wouldn’t have otherwise bought if they hadn’t signed up for the service. It’s also good news for consumers who can make significant savings. For instance Amazon Prime alone can save those who subscribe up to £165 per year.
Demand is high for more options when it comes to delivery subscriptions, with those surveyed stating their wish for coffee pods, vape liquid, fashion accessories (scarves and handbags) and even Disney related items on amonthly subscription. Melanie Darvall, Director of Marketing and Communications at Whistl, said: “It’s great to see the rise in popularity of monthly subscription services and how they’re benefitting both businesses and subscribers. “It’s not surprising that value for money and convenience are hugely important to British consumers, just as quality and savings through discounts are. Getting this balance right is essential if you’re to secure a loyal customer base that is happy to spendmoney on products not included in themonthly ‘taster’ service. “A reliable fulfilment and delivery service is key to ensuring customer satisfaction, and that’s whereWhistl can really add value. Our expertise in ecommerce fulfilment combinedwith our highly efficient national and international network gives both businesses and consumers the choices and options they’re looking for.” To find out more about our fulfilment and parcel delivery services visit www.whistl.co.uk or email moreinfo@whistl.co.uk
18% OF PEOPLE THAT LIVE IN CARDIFF ENJOY A GIN SUBSCRIPTION BOX
TOP 10 SUBSCRIPTION SERVICES
1. Amazon Prime
61% 12% 10%
2. Graze
3. Next Unlimited 4. ASOS Premier
9% 9% 8% 8% 7% 6% 6%
5. Pact Coffee 6. Glossy Box
7. London Tea Club
8. Tipplebox
9. Craft Gin Club
10. Birchbox
8
Whistl Magazine • Summer 2018
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