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How to Build a Successful Subscription Business Model

Up and Running

Gartner predicted that “By 2020, all new entrants and 80% of historical vendors will offer subscription-based business models.” Everything from software, to digital goods, eCommerce packages, and even newsletter based subscription boxes. Software development can be especially competitive.

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What Is a Business Model? Business Models Explained

Up and Running

Airbnb is a well-known example of the marketplace business model. Understanding the problem you are solving for your customers is undoubtedly the biggest challenge you’ll face when you’re starting a business. But, ensuring that your product fits the needs of the market is only one part of starting a successful business.

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Getting to the Core of Common Dropshipping Supplier Problems

The Startup Magazine

But like any business model, problems are sure to arise from time to time. It’s great that a dropshipping business model means you don’t have to handle order fulfilments, as that side of things is left to the manufacturers or wholesalers in the supply management chain. Of course, it also means you can make more sales.

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10 Keys To Surviving Startup Cash Flow Requirements

Startup Professionals Musings

According to a well-researched Motly Fool report, the challenge is very real, since around half of all businesses fail in the first five years. The problem is that professional investors (angels and venture capital) want a proven business model before they invest, ready to scale, rather than early projections and product development.

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9 Popular Startup Business Model Variations For Scale

Startup Professionals Musings

Thus the subscription model (low fixed monthly payments), has become the norm for new products and services. If your startup is in the Business-to-Business (B2B) world, you need to realize that the subscription model has evolved considerably since SalesForce.com introduced Software as a Service (SaaS) way back in 1999.

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Top 5 Tools That Every Startup Needs to Provide an Excellent Customer Care

The Startup Magazine

Call Recording Software. Call recording software is a great way to improve customer service, allowing you to record, store and review calls. Call recording software is also perfect if there are any issues with employees not following protocol. You can learn more here about how call recording software can help a startup.

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9 Success Principles To Propel Your Next New Venture

Startup Professionals Musings

Minimize one-time sales in your business model. You need a stable customer base with an automatically renewing revenue stream, such as the subscription model. Every new business has unexpected pivots and adjustments, and outsourcing is easier to manage. Your solution must have value for every customer.

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