We’re all aware of the various streaming and music subscriptions, such as Spotify and Netflix. Most likely, we have or had a subscription to one. However, in recent years, the idea of a subscription has been redefined to bring back its old roots of tangibility.
Subscriptions are a necessity in many households these days. They have become a major fixed variable in monthly budgets. For example, they have made grocery shopping much easier. Now you can have everything you need for the month delivered straight to your doorstep.
This article will provide you with everything you need to know about subscription boxes. It will help you decide whether or not investing in it makes sense for you.
The history of subscription shopping
Before we had the internet, subscriptions, in the form of magazines, newspapers, and books, were a few of the earliest and most common models. They were the easiest way to receive news on current events or for just general entertainment.
This foundational model of monthly fees for new products set the stage for the digitized versions. These are the versions that many of us are familiar with.
The beginning of the modernized subscription boxes started in the early 2010s with the launch of beauty and makeup boxes from Birchbox and Ipsy. The beauty boxes were a huge hit, as subscribers received monthly boxes of sample products. This allowed them to try a variety of new products. It became a monthly self-gifting practice, in part because of the excitement of seeing what had come each month.
These companies revolutionized not only the beauty industry but also commerce in general. Consumers were now able to enjoy products they hadn’t thought of purchasing before at a decent price and at the convenience of delivery.
These subscription models surged in popularity with the rise of social media influencers on platforms like TikTok. “Unboxing” videos have become a highly successful marketing strategy. The subsequent popularity has led subscription boxes to break through every retail sector, raning from clothing companies to meal prep services.
The appeal to subscription boxes
The love for the subscription model actually has a practical and psychological explanation.
The practical explanation
In general, it’s the practicality, or convenience, of subscription boxes that drives their demand. The ease of receiving products straight to your door solves the time constraint. You avoid having to make trips to the store, potentially as many as multiple times a week.
For many students, or others who are starting to live on their own, meal prep services such as Hello Fresh make the process far more efficient. They help young people know what to cook so that they buy only the necessary groceries.
When it comes to makeup or clothing subscription boxes, subscriptions are aperfect for trying new products or items. Not only that; the subscription cost can even come at a far lower price than an individual purchase.
The psychological explanation
There’s actually a psychological reasoning behind the success of subscription boxes. This is related to the emotional experience of receiving the packages.
The anticipation of receiving a monthly package and the occasional surprise of the items leads to a dopamine hit. This moment of excitement and self-care validates the monthly fees for countless individuals.
Having a set amount of monthly fees can also provide financial stress relief. Costs are fixed, simplifying budgeting. Moreover, costs are typically spread out throughout the month for each subscription. This alleviates the anxiety of having to pay large amounts at once.
The downsides
While there are numerous benefits to taking part in the subscription economy, there does come a point where the sheer quantity becomes an issue. Having recurring monthly costs for all sorts of needs, whether it’s groceries, clothing, or fitness, can add up quickly.
There’s another situation that most of us have probably dealt with at least once before: setting up a subscription and forgetting to cancel it once it’s no longer needed. Myriad companies successfully lure customers in through “exclusive” discounts or free trials. We usually forget the cancellation date and get stuck with the base cost.
Sustainability is another major downside to subscription models. When you consider makeup or skincare boxes in particular, customers are receiving new products of different types when they really only need one or two. This leads to high redundancy and waste of products.
Popular subscriptions
If you’re feeling enticed and are thinking about getting a subscription box, here are a few examples of trending ones.
Clothing: Nuuly
Nuuly is a clothing rental subscription box containing items from hundreds of brands, most popularly from Urban Outfitters, Anthropologie, and Free People.
Users are able to choose six items each month for a flat monthly fee of $98. While this price is on the higher end, the value definitely makes up for it if you think about it as roughly $16 per item, which is far less than what a standard item costs at one of these brands.
Clothing boxes are also a great way to experiment with your style, and while you do have to return the clothes by the end of the monthly term, you are able to purchase items you wish to keep.
Beauty: Ipsy
Ipsy, mentioned earlier, is a surprise beauty box called the Glam Bag, which is tailored to your preferences. Items in the bags range from sample-sized to full-sized products of makeup, skin care, and hair care.
The process of subscribing to Ipsy begins with a thorough “Beauty Quiz,” which asks in detail about your skin tone, skin concerns, makeup routine, favorite brands, and more. The results of this quiz are then used in Ipsy’s algorithm to curate the perfect box for you.
The standard monthly box costs $14 and comes with five products, one of which you are able to choose. You are even able to purchase the subscription through an annual fee instead of monthly at a slightly lower overall cost.
Food: Hello Fresh
Hello Fresh is a meal prep service for people who are not well acquainted with cooking and who are looking to cut down meal prep time, as well as people who are trying to consistently eat healthy.
Boxes contain the exact amount of ingredients needed for each meal and step-by-step instructions for how to make the meals. This process makes cooking far faster and reduces food waste.
Unlike the typical subscription style, Hello Fresh is purchased on a weekly basis, so you can order meals for specific weeks. Furthermore, you are able to select how many meals you want and any other meal preferences that you may have.
The future of the subscription economy
The rise of the subscription economy is only just beginning. Soon, we’ll see a lot more services emerging due to the ease of doorstep delivery.
While these boxes come with convenience and simplicity, we’ll have to make decisions wisely before we end up losing loads of money monthly and end up wasting perfectly good products.
This is a new era of commerce that has transformed the way we purchase normal goods. It has created an exciting experience out of what used to be basic tasks.
