Subscription Economy In The Digital Age - Kumaraguru College of Liberal Arts & Science (KCLAS)

Navigating Challenges And Enhancing Customer Experience

The Subscription Economy has changed the nature of business—moving from transactional models to relational ones which is empowered by digital and changing consumer behaviors. This study explores the landscape of subscription models within India by analyzing consumer perceptions and industry challenges. Subscriptions, according to the article, present predictable revenue streams for businesses, lower customer acquisition costs, useful data insight, and upsell opportunities. This model creates long-lasting customer relationships due to continuous interaction and customization, which goes on to improve customer satisfaction and loyalty. While this Subscription Economy washes away many pain points, customer churn, logistical complexities, and differences in consumer awareness are still issues. The ability to know the challenges and hence align their offerings about customer expectations is a prime factor for the firms for sustained growth and market competitiveness. This research takes the help of a structured questionnaire to elicit primary data from 110 respondents in Coimbatore with a focus on demographic factors influencing subscription preferences. Factor analysis identified key drivers such as cost savings, convenience, and product varieties impacting subscription decisions. Literature reviews underline the key role of tailored marketing strategies and operational flexibility in achieving success in subscription-based services. From media to FMCG and entertainment, among others, recommendations are informed by insights culled from several diverse sectors regarding the optimization of subscription models. Planting vision and strategy squarely based on customer preference and operational hurdles equips enterprises to ride India’s surging subscription market toward long-term growth and customer satisfaction amid a digital world.