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More Than Half of Online Shoppers (54%) Are Members of Subscription Box Services, as Industry Caters to Consumers’ Desire for Convenient, Personalized Experiences

September 30, 2019

One of every two online shoppers say they are a member of a subscription box service, according to a new report from Clutch. Subscription box services satiate consumers’ desires for convenient and novel experiences. The top five brands of subscription box services are Dollar Shave Club, Ipsy, Blue Apron, BarkBox, and HelloFresh.

WASHINGTON, D.C., September 30, 2019 – Subscription box services can deliver anything from the mundane, such as razors or makeup, to the bizarre, including collections of carnivorous plants or bone specimens, to consumers’ doorsteps.

A new survey by Clutch, the leading B2B ratings and reviews platform, finds that more than half of online shoppers (54%) say they are a member of a subscription box service.

Subscription box services appeal to modern consumers’ desire for a convenient yet personalized shopping experience.

Dollar Shave Club, Ipsy, Blue Apron Are Top Subscription Brands

Dollar Shave Club launched its path to success in 2012 with a humorous viral video advertisement that asked, “Do you think your razor needs a vibrating handle, a flashlight, a backscratcher, and 10 blades?” The premise of a convenient service delivering personal grooming products to people’s homes resonated, and the company grew, selling for $1 billion in 2016.

Clutch’s survey finds Dollar Shave Club to be the most subscribed-to service. Nearly one-third of subscription box members (29%) receive packages from the brand.

The Most Popular Subscription Box Service Brands

Rounding out the top 5 brands are Ipsy (21%), Blue Apron (17%), BarkBox (17%), and HelloFresh (16%).

The top brands fall into two of the three major categories of subscription box services laid out by management consulting firm McKinsey & Company: curated services, replenishment services, and access services.

Dollar Shave Club primarily offers a replenishment service, which replaces the same items on a regular basis. The other four brands offer a curated service, which sends collections of new, personalized items on a regular cadence.

Subscription Box Services Grew Thanks to Social Media, E-Commerce

Clutch spoke with Amir Elaguizy, the co-founder of Cratejoy, a global subscription box marketplace. Elaguizy attributed subscription box services’ rise in popularity to:

  • The growth of e-commerce
  • Increased social media use
  • Consumer comfort with pay for value over time

E-commerce retail sales passed the volume of in-store sales for the first time in 2019. The line has blurred between what is an e-commerce company and what is a subscription box service.

“[E-commerce has] shifted. ... It used to just be you’re a subscription box or you’re an e-commerce company,” Elaguizy said. “Now, it’s just all direct-to-consumer e-commerce. Sometimes they have subscriptions, and sometimes they don’t.”

Meanwhile, social media allows groups with niche interests to connect and grow, showcasing their power as a potential profitable subscription box service audience. 

Finally, consumers no longer need the direct association of purchasing items for an exact price. Instead, subscription boxes allow consumers to receive value over time for a flat fee.

Clutch’s survey included 528 U.S. respondents who ordered an item online within the past six months.

Read the full report: https://clutch.co/logistics/resources/subscription-box-service-statistics

For questions or comments, contact Riley Panko at [email protected] 

About Clutch

Clutch is the leader in connecting global service providers with corporate buyers from around the world. The ratings and reviews platform publishes the most extensive and referenced client reviews in the B2B services market. Clutch has grown by 50% or more every year throughout the past five years and is ranked #412 in Inc.'s 2018 and #773 in Inc.’s 2019 list of the fastest-growing private companies in the U.S. and #27 in LinkedIn's list of the top 50 startups.

Contact

Riley Panko
[email protected]
(202) 899-2779