Change is here for the subscription industry. Customer retention is top priority while competition grows and customer expectations shift. So, which trends should be on your radar? And what strategies and tactics should you be using to ensure subscriber growth?
As the coronavirus pandemic continues, more subscription companies are hopping on the bandwagon to make working from home and social distancing a bit easier....
Now considered a worldwide pandemic, and a national emergency in the United States, Coronavirus COVID-19 has changed life as we know it....
This week's subscription headlines cover everything from annual learning subscriptions by Coursera and potentially deceptive business practices by Rihanna's lingerie line to testing subscription bundles and offering free content to nonsubscribers. In addition, Birchbox lays off workers (could this be a trend?); Luminary is expanding globally, which could create podcasting wars; and Downing Street wants BBC to switch to a subscription model.
Tracks, tiers and textbooks top the subscription news headlines this week. Cengage launches a $69.99-per-semester subscription tier for students who cant afford or dont need Cengage Unlimited; SoundCloud, now boasting more than 200 million tracks, hits revenue over $200 million; and The Daily Telegraph ditches circulation audits to focus on subscribers first. Also this week, Chase offers DoorDashs DashPass as an incentive to credit card customers, Noom quadruples revenue (again), and Luminary drops its price to lure more content and subscribers.
Sixteen months after its launch, education and technology company Cengage has sold 2 million Cengage Unlimited subscriptions, saving college students an estimated $125 million in digital textbooks, ebooks, study guides and other online resources. The subscription program is expected to save students a total of $160 million by the end of the current academic year. The subscriptions are all-inclusive. For one flat-rate, students get unlimited access to Cengages full library of online materials for a term, ranging from four months to two years.
At Subscription Show 2019, we'll show you the latest on subscription-centric strategy, recurring payments, acquisition, retention, analytics and subscription technology. Get the industry connections you need, and actional information you can put into action, to grow your recurring revenue, membership or subscription business. Get the list of why you should attend here.
Last week, two educational publishing powerhouses - McGraw-Hill and Cengage - announced they would merge in an all-stock deal on equal terms. The deal will combine the strengths of both publishers to form a new global learning company, benefiting students, educators and related professionals. The boards of both companies have unanimously approved the deal. According to Publishers Weekly, the deal is expected to close by early 2020. It will retain the McGraw-Hill name and be led by Michael Hansen, the CEO of Cengage.
In its first quarter financials, Franklin Covey Co. (NYSE: FC) reports a strong start to its fiscal year 2019 for the period ended November 30, 2018. Highlights include net sales of $53.8 million, an increase of $5.9 million or 12 percent; gross profit of $36.8 million, an increase of $3.9 million or 12 percent; and cash flows from operations of $8.1 million, a $5.8 million or 248 percent increase year-over-year. The organizational improvement firm attributes its successful quarter to its transition to a subscription-based model in its Enterprise Division.
National Geographic Learning, a division of Cengage, announced yesterday that it was launching a first-of-its-kind subscription service for high schools course materials. The new service is called Pathways, and it offers a curated collection of online educational programs for more than 200 career and technical education (CTE) and advanced placement (AP), honors and elective courses and nearly 70 programs to prepare students for college, said the company in a news release.