The Future Of Subscription-based eCommerce in Fashion Industry

The Future Of Subscription-based Fashion eCommerce

The age of Subscription-based eCommerce is here. 

The eCommerce subscription model has become the new norm, from Netflix to Spotify to beverage delivery and food preparations kits. 

Therefore it is evident that the eCommerce Subscription model is to serve digital products and other service providers. 

What is subscription eCommerce?

Subscription eCommerce is a business model that lets customers sign up for products and services they need regularly or repetitively. This increases the customer’s journey and lifetime value significantly.

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 eCommerce Subscription Services Statistics

  • In 2020, sales via eCommerce subscription services surpassed $23 billion in the United States. 
  • By 2023, the subscription eCommerce market is expected to produce more than $38 billion in revenue, i.e., more than double of 2019.
  • Subscription gifts’ demand has more than doubled in the past 4 years in the subscription eCommerce market.
  • Searches for “eCommerce subscription services and platforms” have risen by 53% from 2020 to 2022.
  • As for the eCommerce fashion industry, the subscription model in fashion eCommerce accounted for 29.5% of fashion retail sales in 2020. 
  • In 2021, by reaching $100 billion, subscription-based eCommerce was anticipated to take a sizable chunk out of global predictions!

4 Types of eCommerce subscription models 

There are numerous subscription models available in the market. Industries adopt subscription models that are suitable for their products and services.

The major 4 kinds of eCommerce subscription models are famous in the subscription eCommerce market.

  • Service-based subscription models:

This is the common subscription model that is employed by the majority of business giants such as WordPress and Mailchimp. In this model, the users pay for the value that they want. Different plans offer different benefits and flexible pricing. The users subscribe to the plan they want based on their requirements.

  • Subscription boxes:

Subscription boxes are an extension of product subscriptions. Using subscription boxes, users can subscribe to any product they love and receive them on regular basis. Eg: Loot Crate

  • Digital Content Subscription:

Netflix and Amazon prime are the primary examples of digital content subscriptions. Users sign up for exclusive online content offered by these leading content providers. Based on the subscription plan opted, the users enjoy privileges and benefits while accessing this content.

With the growing worldwide internet accessibility, many companies have started offering a digital content subscription for various content types – drama, movies, music, books, podcasts, and more.

  • Other subscription-based businesses:

Other than these 3 there are many other subscription-based eCommerce businesses out there. Subscription plans on rides, food delivery, vehicle subscription plans, and more. The subscription plan may vary from 3 months to an annual subscription.

In this subscription revenue model of eCommerce, the companies also treat subscribers with exclusive discounts, special offers, cash backs, and freebies to keep them interested and engage in the subscription plans.

 Fashion Subscription-Based Model

Similar to other subscription models, the subscription revenue model in the eCommerce fashion model is also booming. The future success of fashion brands depends on implementing subscription-model fashion eCommerce.

As a fashion brand, you need to take up the responsibility and adapt to the digital transformation happening in the subscription eCommerce market. Subscription models bring a clear source of long-term revenue, fashion eCommerce retailers must take advantage of this opportunity to succeed.

So, now the big question is how to take advantage of the subscription eCommerce platform in the US?

Let’s dive into the future Of Subscription-based fashion eCommerce to uncover the path to success.

eCommerce Subscription in the fashion industry- how does it work?

In a subscription-based eCommerce, customers make regular payments for accessing regular services or products. 

Some of the early birds, such as Spotify, Amazon Prime, etc., have become role models for the new entrants. 

A big part of the revenue generated is through monthly contributions from loyal customers, who stick to the company for some reason or the other.

Three eCommerce subscription model services are commonly recognized in the US today: Replenishment, Curation, and Access.

  • Replenishment subscriptions: It allows consumers to automate the purchase of necessities. (e.g., Razors, Nappies, etc.)
  • Curation subscriptions: It provides new products or highly personalized experiences. (e.g., food, beauty, apparel, etc.,)
  • Access subscriptions: It provides members-only perks or benefits from lower prices
  • Subscription-modeled fashion companies you’re familiar with would ideally fit within the Curation subscription.

Benefits of eCommerce subscription in the Fashion industry

An eCommerce Subscription-model in the fashion industry includes many benefits. The best benefits of Subscription-model fashion eCommerce are 

  • Differentiation
  • An increase in the returning customers
  • Better predictability
  • and Lifetime value. 

Besides that, customers will enjoy credit back for additional purchases, free or discounted shipping, unique occasion benefits (birthdays, subscriber anniversary, etc.), discounts on select products or the entire catalog, and more. 

The fashion eCommerce competition in the US is fierce; embracing the subscription model in eCommerce will accelerate favorable growing conditions.

Does loyalty matter in an eCommerce subscription model?

It is challenging to get back a customer in the conventional retail model once their subscription ends. 

Further, it is an ongoing process of interacting with your registered customers in meaningful ways. 

In simple terms, if a customer ditches you right after a certain period, then you haven’t contributed much to earn their loyalty. It could be unsettling if acquiring them demanded more of your funds, work, and dedication. 

Therefore, it is equally essential to consider bolstering the relationship between your brand and the customer – not simply in the acquisition stage. Make them stay back by offering some of the benefits of the eCommerce subscription model.

The subscription revenue model of Fashion eCommerce

As said earlier, the subscription model in eCommerce is a booming mantra for millions of online businesses. It is the future and will not slow down too.

If you have a fashion eCommerce site and dream of conquering new heights, subscription-model fashion eCommerce will put you on the road to grand success. The time is right for small and big brands to take up new responsibilities and push the needed transformation. 

The subscription model in eCommerce will let the online fashion retail generate long-term revenue. Treating existing customers with care and encouraging them to stay in long-term spending cycles will assist companies in emerging triumphant. 

This is a key takeaway to consider to comprehend the future of subscription-based fashion eCommerce.


When exploring subscription-based fashion eCommerce for your company, loyalty and convenience are the first and last rules to adhere to. 

Besides that, know that customers subscribe only for the following reasons: experimentation, more personalized assistance, and getting added value – through ease. 

One of the three aspects should help you drive your business to success.

Furthermore, keep in mind the flexible terms, like canceling the order with ease and 24/7 customer service. 

For further assistance and insights on how to take on the subscription-based fashion eCommerce, talk to our experts. CLICK HERE