Hey there
Welcome to the second edition of The Subscription-First Newsletter, packed with content, links, and insight from the Subbly community and team.
Last week, we talked all about marketing and promotion. Yet, no matter how good you are at coming up with creative marketing ideas or other business-boosting strategies and tactics, if you can’t measure their impact, you’re only going to plateau.
It’s time to shift gears from the psychological to the analytical — get your thinking hats on and your calculators out, because it’s time to dive deep into 🧠 subscription box metrics and KPIs.
“If you can’t see your metrics and don’t pay much attention to them, your box will not be a success. It would be the same as walking out of your house with a blindfold on — you wouldn’t have a clue of what’s going on or how to get to your destination. You wouldn’t do that in real life, so don’t do it in your business.”
— Liam Brennan, Subbly Expert
There are a lot of metrics out there. Some are more important than others.
You don’t have time to be tracking everything, all at once.
Keep it simple. What’s the essence of a subscription business?
More subscribers over more time spending more money =Â subscription success.
As a subscription-first business, it’s more important to track metrics that indicate that you’re delighting your customers and that they’re a) converting fast, b) not churning, and c) becoming cheaper to attract and retain over time.
Your ARPU (Average Revenue Per User), MRR/ARR (Monthly/Annual Recurring Revenue), CAC (Customer Acquisition Cost), and churn rate are good places to start.