The latest edition of the annual Subscription Economy Index™ (SEI), Zuora’s Subscribed Institute’s landmark index, tracks the rapid ascent of the Subscription Economy. The report reflects the growth metrics of companies around the world in sectors including SaaS, Media, Manufacturing, Internet of Things (IoT), Business Services, and Communications/Video Conferencing.
This edition of the SEI (as of February 2022) features new data from the 12 months ending December 31, 2021.
Subscriptions have provided resilience at key moments of uncertainty, and enthusiasm for these services continues to grow, as seen by the companies that comprise the Subscription Economy Index™(SEI) report.
Over the past decade, the Subscription Economy Index has grown 4.6x faster than the S&P 500, which represents more traditional, product-based businesses (compound annual growth rates, or CAGR, for the 10-year period were 17.5% vs. 3.8%, respectively).
In the past year, media subscription momentum (both in the SEI and beyond) suggests that even after 2020 shelter-in-place orders were lifted, many consumers maintained their new media subscriptions.
Connected services are continuing to fuel the growth of the manufacturing sector as companies look to complement physical products with innovative offerings. Traditional manufacturers in the S&P 500 Industrials Sector experienced increased demand in 2021 after the 2020 pandemic dip, but SEI Manufacturing businesses also continued to grow.