More Clients Podcast
Building a Subscription Business: Interview With John Warrillow
I‘m sure it won't have escaped your attention that more and more businesses are moving to subscription models.
Whether that's Microsoft and Adobe switching form selling software as one-off purchases to leasing access to their products through Office 365 and Creative Cloud. Or whether it's HP's “Instant Ink” subscription service, the Dollar Shave Club or the myriad of membership programs apeparing in almost every niche.
Subscription businesses are hot property right now.
When John Warrillow wrote the bestselling book “Built to Sell”, one of the critical factors he found that significantly increased the value of a business was whether it had subscription customers. In some cases businesses with recurring revenue through things like maintenance contracts or memberships were valued at up to three times the level of businesses with the same revenues but derived from one-off customers.
It was the importance of subscription revenues on business valuations that drove John to research further and write “The Automatic Customer: Creating a Subscription Business in Any Industry”. In this new book John details nine different business models for subscription businesses along with the steps needed to succeed with each model and the metrics and strategies for building and retaining subscription customers.
In this revealing podcast interview John discusses why subscription models can be so valuable and why they've become so popular today. He shares the subscription models that work best for consultants, coaches and other professional service businesses and the best strategies for attracting and retaining subscription customers.
If you're looking to scale your business beyond 1-1 client work and to build a more reliable revenue base and more valuable business then I highly recommend you listen to this podcast.