Why Most Subscription Brands Are Afraid of SMS (And What They're Missing)
Subscription Prescription | Weekly Doses to Boost Ecommerce RevenueShow Notes
Most subscription brands avoid SMS because they're afraid it'll remind people to cancel. That fear is costing them long-term LTV. In this episode, I break down why SMS is one of the most underused tools in the subscriber journey, and how to use it the right way. What we cover: Why fear of SMS is really just loss aversion in disguise How SMS drives product adoption in the critical first month Using text to give subscribers control: skip, swap, pause Why SMS recipients show higher LTV even with an initial churn bump Tools worth testing: Attentive, Klaviyo, Blueream, Recharge Concierge, and Skio What to remove from your SMS flows (and where to send people instead) Subscribe to our newsletter for weekly doses just like this one: https://newsletter.thesubscriptiondoc.com
More from Subscription Prescription | Weekly Doses to Boost Ecommerce Revenue
Everyone chasing a 3:1 LTV to CAC ratio is chasing a number that came out of the pandemic ecom boom, and most brands could not survive it if LTV is measured in revenue dollars over 12 months. Until you define the margin and the time window, that ratio tells you almost nothing about the health of your business.
I hate aggressive discounting when you are trying to get someone in the door. But when a subscriber clicks cancel, increasing the discount is usually the right call, and the math is simple: most of those people are gone next month anyway, so one more profitable order is a win.
Most brands leave the post-purchase page empty, or they fill it with random add-ons nobody asked for. Meanwhile, merchants offering a monthly-to-quarterly subscription upgrade on that same screen are converting 20 to 30% of buyers in a single click.
Your subscribers are your most profitable customers. Run a 50% off sitewide sale for Black Friday and a lot of them will cancel just to grab it. That is the BFCM trap I see every year, and the fix is not to skip the sale. It is to layer your offers so subscribing stays the best deal on the site.
If you have to launch a hundred new ad creatives every week just to keep spend flowing, the problem is not your ads. It is your positioning.