A new report from market intelligence firm Mintel, The Rise of the CPG Subscription Economy: How Brands Can Adapt and Thrive, reveals that consumer packaged goods (CPG) brands are refining their subscription models to better align with changing consumer expectations. The findings show a clear shift away from basic auto-replenishment toward more personalized, flexible, and loyalty-driven experiences.
According to Mintel, over 80% of U.S. Gen Z and Millennial consumers, as well as 83% of U.S. parents, say that subscription services save them time and add convenience. But barriers remain. Nearly 60% of British consumers cite concerns about product quality, while about half of U.S. non-subscribers say an easier cancellation process would make them more likely to sign up.
To address these friction points and convert more customers, CPG brands are deploying a range of consumer-first strategies:
- Trial kits and sample-sized offerings to build trust before commitment
- Flexible pickup options, including in-store collection for Gen Z and Millennial shoppers
- Customizable delivery schedules tailored to lifestyle and usage patterns
- Eco-friendly packaging and sustainability messaging to align with consumer values
- Exclusive member perks and bundled offers that reinforce loyalty and perceived value
The report underscores the growing role of consumer control and brand trust in shaping subscription decisions, especially in highly competitive product categories.
INSIDER TAKE
Mintel’s findings reflect a broader truth in the subscription economy: consumers no longer just want convenience—they expect confidence, control, and a reason to stay.
- Trial-first models build acquisition momentum.
Sample kits reduce friction and increase conversion by allowing customers to experience the product before committing. This tactic resonates across verticals, from personal care to pet wellness to household essentials. - Control is the new loyalty lever.
Pause, skip, and easy cancellation options aren’t just best practices—they’re dealbreakers, especially for digital-native consumers who value autonomy and transparency. - Sustainability is a brand differentiator.
Eco-conscious packaging, refill systems, and ethical sourcing are now competitive advantages. Subscriptions create recurring moments to reinforce a brand’s values. - Bundled perks enhance retention.
Access to exclusive products, early releases, or bundled savings can increase stickiness and average order value. CPG brands are catching up to what media and SaaS companies already know: loyalty needs to feel rewarding. - Personalization beats passive replenishment.
The most effective CPG subscriptions now adapt to a subscriber’s behavior and lifestyle, not just refill a shelf. That shift can unlock higher ARPU and longer retention when done well.
For subscription executives, the takeaway is clear: scaling subscriptions today requires more than automation—it demands human-centered design, flexible delivery, and a long-term relationship mindset.