Monday, April 25, 2016

Chang Hyeon Lee blog 31

A subscription service is a circulation service which if customers want to experience a new product at a cheap price, so they pay fixed amount to the company and get the various products every month. This model was developed by companies of magazine and newspaper. Nowadays, many business and websites use this model.
Subscription snack box service is using the home delivery system, and it has various snacks around the world so a customer can taste varied snacks what they want every month. This business model was grown fast over last few years.
One of the successful subscription snack box service companies is Nature Box. Nature Box. It started at 2012, in 2014, they announced that Nature Box’s value increased 18M, it was 2,000% revenue growth. Nature Box is also using subscription service but they put discrimination on the delivery system than other subscription companies. Nature Box chose the delivery strategy, a direct-to-consumer business model. This model is the food company who sales their products in supermarkets or stores sales their products directly to their customers using monthly prescription without store selling. Now, 52 percent of United States’ consumers are ordering the healthy goodies from the online website brands what they trust. Nature Box brought the golden age to the nourishing snack box industry by using subscription service model.

A subscription makes up service industry would grow fast every year. The customer of the company who using subscription business model is people who stay in the house every day. Usually, women live as a housewife. These women stay house all day so they have chances to read subscription and order products. So best consumers of the company are the housewife. Also normally, women always care about their skin or makeup. So if the subscription makes up company focus on the housewife, it would be a success in the subscription industry. 

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