DTC Podcast Ep 507: How to Optimize Subscription Offers for Better Retention and Profit with Jordan Narducci
May 12, 2025
Join Jordan Narducci, a former Global DTC lead at Kellogg and VP at Momentous, as he unveils the secrets behind effective subscription strategies. He shares how Momentous skyrocketed their subscription opt-in from 20% to 50%. Discover common pitfalls in welcome offers, the power of churn surveys, and the future of loyalty versus cashback. Jordan also emphasizes treating subscribers like VIPs and leveraging data-driven tactics to reduce churn, enhancing long-term customer engagement and lifetime value.
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Subscription Boosts Lifetime Value
- Subscription programs can dramatically increase customer lifetime value (LTV).
- Increasing subscription opt-in rates from 20% to 50% can triple the compounding effect on LTV.
Design Compelling Subscription Offers
- Design subscription offers to be so compelling that customers find them a no-brainer compared to one-time purchases.
- Avoid offers that are too generous, which attract deal seekers who churn quickly.
Use Incentives to Reduce Churn
- Prevent subscription cancellations with incentives like pause options and meaningful discounts.
- Treat subscribers as VIPs by giving them loyalty perks and benefits to keep them engaged.