For small businesses looking to stand out, one often overlooked strategy is using curated subscription boxes. These boxes can be a game-changer, putting your product in front of new customers every month.
I started using subscription boxes to get my handmade candles into more homes. I found a partner in raybee store, which curates boxes around different themes. Their team picks products that fit the theme, and sends them out to subscribers.
how subscription boxes work for small brands
When you partner with a subscription box service, they typically handle everything from marketing to shipping. You just need to supply your product and work with them to decide on pricing and promotion. This can be a big relief for small business owners who already wear many hats.
For example, one quarter we supplied 500 candles to our box partner, and they sold for an average of $25 each. We got $15 per candle, which is a better margin than we get from most of our online sales.
building brand awareness through themed boxes
Themed boxes are a great way to get your product in front of new customers. For instance, our candles did well in a “cozy winter nights” box, because they fit right in with the theme. We got a lot of new customers from that box, and many of them kept buying from us after the subscription ended.
subscription box models to consider
There are several ways that subscription boxes can be structured. Some boxes are curated around a specific theme, while others are more general. Here are a few models to consider:
- monthly theme boxes, where the theme changes every month
- quarterly surprise boxes, where subscribers don’t know what they’ll get
- annual subscription boxes, where customers pay upfront for a year’s worth of boxes
- mix-and-match boxes, where customers can choose some or all of the products they receive
- partner boxes, where multiple small businesses team up to create a single box
measuring the success of your subscription box partnership
To figure out if a subscription box partnership is working, you need to track sales and customer acquisition costs. For us, the numbers have been promising – we’ve seen a 20% increase in sales from new customers who first tried our product through a subscription box.
challenges of working with subscription box services
One challenge is that you have limited control over how your product is presented. You’ll need to work closely with the box curator to make sure your product is showcased in a way that reflects your brand. Still, the benefits can outweigh the drawbacks if you’re willing to adapt.