Amazon Made Subscriptions The New Normal

By Aarthi Rayapura June 3, 2016

Amazon Prime might have been a good little idea, the naysayers nay-said, but once shoppers have to start shelling out higher fees for the privilege of faster shipping, those “loyal” customers would run into the waiting arms of the retailers they’d left behind. Well, the Amazon Prime fee hike is nearly two years come and gone, and how has customer retention fared? According to a new study, Amazon is soaring higher than any Blue Origin rocket.

While consumers are clearly responding favorably to subscription retail as a product, evidence of its ongoing entrenchment as a regular part of the retailer’s toolkit goes far beyond retention rates. Amazon has been trigger-happy over the last calendar year with adding more and more subscribable offerings to its list of wares. In some cases, these can be niche programs for new products that get comic book geeks and other consumer subpopulations under the Amazon banner, or they can be programs to automatically restock common household items for the busy homemaker.

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