Ten proven tactics to improve subscription site sales
Ever wonder what pure-play paid subscription sites know that local media sites can learn? The new Subscription and Membership Site Benchmark Report, released by Anne Holland yields some insights. Here’s a summary of key take-aways.
1. No Free trials without a credit card
Ulike media who use the metered model, pureplay sites will register without a card but never, ever offer a free trail to the premium content without one.
2. Top barriers to success are marketing, shopping cart and content, not necessarily in that order
Pureplay site executives report their biggest challenge is lack of marketing skills, followed by the “site or cart” not being designed correctly to convert subscribers. Vendors, on the other hand, say the need for better content “that people will actually buy” is the number one hurdle, followed by marketing skills. So these two go together. The rise of Plashers (platform based publishers) allow sites to experiment with content/marketing/check out combinations that work.
3. General news is low value
No big surprise here. Holland says that in the paid markeitng world best sites are “uber-niche and specialized interest” sites, some of which will be carved out by unemployed journalists. For local sites entertaining paid subscriptions finding the unique “needles in the haystack” will aid in sign-ups.
4. Marketing works best with recency and multiple contacts.
Prospects who responded most recently are the most likely population to respond to an offer. That is, a brand new opt-in is far easier convert. Likewise, 6 to 8 “touches “ WITHIN a month with a SIMILAR
message maximizes conversions. After that response rates fall off (but you already knew that, after all you’ve spent years telling advertisers about the value of frequency, right?).
5. Online marketing tactics
On a “subscription marketing checklist” please include: testimonials, social media, affiliates and co-registrations, overlays, prominent 800 numbers, direct sales, email marketing and SEM. Take your time.
6. Telemarketing
This successful tool employed by traditional media is also being employed for online subscriptions. Studying the life value of a subscriber over a three to five year period helps in evaluating ROI. There is a nifty chart in the report that shows how to do this; its very similar to traditional paid circulation models.
7. What successful paid sites do right
Vendors say: Make it easy to understand the offering and create click-to-purchase in very few hops. Create truly compelling offers and A/B test early and often. Make sure there is a good shopping cart with alternative payment methods. Lots of other tips, here too.
8. Conversions and renewals
1 to 3 % conversions of visitors convert as an average across the board. No surprises here. The big take away is that since monthly subscribers have a similar or higher drop off rate as do annual subscribers, too many
monthly subscribers create a “leaky bucket”. Or if this is a dominant revenue source, a leaking boat. Annual subscribers are also more likely to renew, maybe because their commitment was greater from the outset.
9. More revenue is sitting on the table
Here’s where marketing expertise would pay off: A/B testing of landing pages and shopping cart interfaces created uplift in conversions of 40%. Free and low cost software exists for this. In addition this report confirm ItzBelden’s research showing that price testing will probably result in more revenues right away.
10. Marketing services for advertisers
The registration process allows a number of marketing services that can be resold to advertisers: co-registrations, opt-in boxes for coupons and text messaging, and so on, adding value on both sides.
Finally, about Subscription Site Insider: Founder Holland is a 25 year subscription media executive previously founded the multi-million dollar paid content site MarketingSherpa.com and its annual Selling Subscriptionsto Internet Content Summits (sold in 2007.) She has been working with me on redesigning this site tomake it something you will be happy to pay for.
The study surveyed 302 paid subscription sites, from monsters like Match.com to the clientele of membergate.com, whose sites include a large number of very small (less than $50,000 a year) one or two-person companies.
Local media sites who are members of SIPA were included, but not “shovelware…sites with identical content to print editions.. except archives." The lesson here is to invest in unique content and premium channels if paid content is important to the business model.
The author, Alisa Cromer is publisher of a variety of online media, including LocalMediaInsider and MediaExecsTech, developed while on a fellowship with the Reynolds Journalism Institute and which has evolved into a leading marketing company for media technology start-ups. In 2017 she founded Worldstir.com, an online magazine, to showcases perspectives from around the world on new topic each month, translated from and to the top five languages in the world.
