Subscription works for e-commerce

Chennai: Increasing the number of loyal customers is the way forward for e-commerce companies to lower cash burn. Online grocery chains have already converted one-third of their user base into subscribers.

Online grocery verticals have taken the lead in terms of monetizing their convenience seeking consumers, by converting 30-40 per cent of the consumer base as their subscribers. Subscription increases the stickiness of the customer and frequency of his purchase as he enjoys exclusive privileges, finds RedSeer Consulting.