Nir’s Note: This article originally appeared in The Harvard Business Review
Subscriptions are hot (and not).
Companies and investors love subscription business models since they generate recurring revenue that translates to predictable cash flow. The more money a company is likely to make in perpetuity, the higher its share price.
From 2012 to 2019, the subscription economy grew more than 300%, and 75% of companies selling directly to consumers said they would offer subscription services by the following year.
You can read the Nir And Far blog post on:  3 Reasons Why Subscription Businesses Fail  https://www.nirandfar.com/why-subscription-businesses-fail/
Nir And Far, a podcast about business, behaviour and the brain by Nir Eyal. If you enjoy this podcast, please subscribe on iTunes and leave an iTunes review. It will greatly help new listeners discover the show. Please visit my website Nir and Far for other info about my writing, books and teaching: http://www.nirandfar.com/


---

Support this podcast: https://anchor.fm/nirandfar/support