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Subscription Economy Transformation Guide

The document discusses the shift to a subscription economy, where customers increasingly demand ongoing access to goods and services through subscriptions rather than one-time purchases. Some key points mentioned are that 80% of customers now want new consumption models, 50% of French people are moving away from traditional ownership, and 80% of German companies have dealt with subscription business models. The subscription model provides benefits like customization, constant improvement, and access anywhere in real-time. Most industries are shifting to this new subscription model of delivering value. For companies, this changes how they approach pricing, marketing, sales, finance and culture to focus on recurring customer relationships rather than individual sales.

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Felix Peralta Lalane
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360 views12 pages

Subscription Economy Transformation Guide

The document discusses the shift to a subscription economy, where customers increasingly demand ongoing access to goods and services through subscriptions rather than one-time purchases. Some key points mentioned are that 80% of customers now want new consumption models, 50% of French people are moving away from traditional ownership, and 80% of German companies have dealt with subscription business models. The subscription model provides benefits like customization, constant improvement, and access anywhere in real-time. Most industries are shifting to this new subscription model of delivering value. For companies, this changes how they approach pricing, marketing, sales, finance and culture to focus on recurring customer relationships rather than individual sales.

Uploaded by

Felix Peralta Lalane
Copyright
© © All Rights Reserved
We take content rights seriously. If you suspect this is your content, claim it here.
Available Formats
Download as PDF, TXT or read online on Scribd

TURNING CUSTOMERS

INTO SUBSCRIBERS

Tyler Sloat
CFO, Zuora
WE NOW LIVE IN A
SUBSCRIPTION ECONOMY
#shifthappens
A GLOBAL PHENOMENON

80% 50% 80% $420B


Of customersare Of people in Franceare Of German companies Spent on subscriptions
demanding new movingaway from have dealt withthe issue in the US in 2015; up
consumption models traditional ownership of subscription from $215B in2000 .
– TheEconomist 2014 - Institut FrançaisD’opinion businessmodels. - Credit Suisse
Publique(IFOP) - IDGResearchServices
OUTCOMES
Not Ownership

THEWAYPEOPLE
BUYHASCHANGED CUSTOMIZATION
Not Generalization
FOR GOOD
We have new expectations CONSTANT IMPROVEMENT
Not Planned Obsolescence
EVERYINDUSTRY ISSHIFTING
Leaders are delivering anew experience with a newkind of businessmodel

CONSUMER
HIGH TECH EDUCATION CLOUD SERVICES
GOODS

HEALTHCARE IOT MEDIA COMMUNICATION


WE (Customers) WANTTHE
SUBSCRIPTION EXPERIENCE

Ongoing Memorable On-demand Anywhere, Personalized


Value Experiences Fulfillment Real-time Service
WE CALLTHIS NEW ERA
THE SUBSRIPTION ECONOMY

At the heart of the SubscriptionEconomy isthe


ideathat customersarehappier subscribingto
the outcomesthey want, when they want them,
rather than purchasingaproduct with the
burdenof ownership
WHATDOES THISMEAN FOR
COMPANIES
A NEW WAY OF THINKING

product subscriber

vs.

channels channels

customer product + service


THISCHANGES EVERYTHING

PRICING Unit Sales Value pricing

MARKETING Branding Experience

SALES Selling products Selling outcomes

FINANCE Unit margins Customer lifetimevalue


CULTURE Hit products
Deep relationships
The 9 Keys
P A D R E
Pipeline Acquire Deploy Run Expand
Web DemandGen. Self Service TechOps Upsell
Social Field Enablement Squads Support Cross- sell
AR/PR BusinessDev. Partners Renewals
Events Emerging Methodology Account Mgmt.
ProductsLaunches Enterprise Adoption
International Training
SalesEng.

P P M
Product People Money
PM/PMM Recruiting Finance
R&D Onboarding Operations
Docs Training Legal
HelpDesk

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