Right before the PGA Show kicks off in Orlando, Awesome Golf revealed the integration of its golf simulator software with the Square Golf launch monitor.
Jinhyuk Yang, CEO of Square Golf, says
“We want to make sure that Square Golf users have access to products that will enhance their enjoyment of our launch monitor, which is why this integration has been so important.”
Square Golf customers will automatically receive a 14-day free trial of Awesome Golf Simulator.
After the trial has ended, customers can choose
- a monthly subscription ($14.99),
- an annual subscription ($159.99), or
- investing in a lifetime license for $299.99 as part of their January sale.
Subscription business model’s benefits
Zuora’s The Subscription Economy Index (SEI) found in 2023 that
“Over the past 11 years, subscription-based companies in the SEI have grown 3.7x faster than the companies in the S&P 500, which have historically represented more traditional, product-based businesses.
Specifically, the compound annual growth rate (CAGR) for SEI companies was 17%, compared to 4.6% for the S&P 500 over the same period.”
Robbie Kellman Baxter‘s bestseller, The Membership Economy, explained this in my interview with her in August 2024.
She said the membership economy is undergoing a massive transformation as organizations of all types strive to build trusted, ongoing relationships with the people they serve.
The advantages of the subscription business model, often referred to as the membership economy, are readily apparent:
- Subscriptions provide a way to make spending more predictable, enabling customers to access greater value with a lower upfront cost. Additionally, they offer an opportunity for cost savings over time, especially when considering the long-term benefits of using the service.
- Recurring revenue models are recognized for their ability to foster sustainable growth and offer stability, especially during difficult economic times. They can serve as a solid foundation for businesses looking to thrive in various market conditions.
- This approach empowers businesses to engage with their customers actively. With the recurring nature of the service, companies can easily reach out through email campaigns and monthly newsletters. Businesses can gather valuable usage and preference data by maintaining consistent engagement with their products and services. This information is instrumental in developing more effective and targeted marketing strategies.
Subscription models offer numerous benefits for both businesses and consumers. They promote long-term relationships that enhance customer engagement and increase lifetime value.
Businesses can effectively reduce churn and improve customer retention rates by focusing on these relationships.
What has your journey with the subscription business model been like? Share your experiences in the comments!