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RETAIL SUBSCRIPTION OVERLOAD : TWO-THIRDS OF US SHOPPERS CAN ’ T AFFORD ALL THEIR SUBSCRIPTIONS
want one app to manage all of their subscriptions in one place .
Super bundling
With many major retail brands now offering their best deals as a subscription , two-thirds ( 66 %) of US shoppers can ’ t afford all of the subscriptions they would like . That ’ s according to research from Bango that delves into American shoppers ’ habits and attitudes towards subscription services .
Surveying 3,000 Americans with a retail subscription , the research followed the launch of Target ’ s membership programme , Target Circle 360 , a membership subscription designed to enhance the shopping experience at Target by making it more convenient and affordable .
Target is the latest retailer to launch a subscription service , following in the footsteps of Walmart + and Amazon Prime . These services , designed to provide greater customer value , are all changing the way consumers shop in the US .
THE WAY WE SHOP IS CHANGING – AGAIN . THE RISE OF SUBSCRIPTION BOXES AND SAME- DAY DELIVERY HAS TRANSFORMED RETAIL IN RECENT YEARS .
Shoppers already have five subscriptions on average . Faced with more and more choice when it comes to retail subscriptions , with the additional choice frustrations are growing . Half ( 50 %) of consumers surveyed are ‘ annoyed ’ that they can ’ t manage all of their subscriptions in one place . As a result , 76 % say they
Bango predicts that as retail subscriptions become more commonplace , ‘ super bundling ’ – where multiple subscriptions are bundled into one package – will increasingly break into the retail space . As explained by Juniper Research , super bundling services consist of a single payment to a service aggregator such as a telco for several subscriptions through a single online subscriptions hub – with one high profile example being the Verizon + play content hub . This allows consumers to enjoy easier management of their subscriptions and fewer card-on-file payments throughout a billing period .
Research by Bango reveals that all signs point towards a market opening up for super bundling in retail , as almost a third ( 31 %) of shoppers already get their subscriptions as part of a bundle , rather than going direct to the subscription provider .
Anil Malhotra , CMO of Bango , said : “ The way we shop is changing – again . The rise of subscription boxes and same-day delivery has transformed retail in recent years . And as more retail giants begin to develop their offerings and drive loyalty through subscriptions , it ’ s only natural that they will look to enter the super bundling space .
“ Already , retail subscriptions like Walmart + in the US offer Paramount + as a bundle and in Europe Carrefour Plus bundles Netflix . This is just the beginning of a much more widespread shift .” x
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