Subscription models are booming in the food industry above all. But any product area can adapt the model for itself.
The New York Times (!) decided to join the food delivery service Chef’d just for this reason (money). In summer 2016, readers can have the ingredients for NYT recipes delivered to their homes within 48 hours. The price for two persons: between 19 and 39 dollars. The motivation, according to the vice-president of market development, Alice Ting, is that the NY Times target audience also likes to spend a lot of time cooking, and it wants to attract this market. Healthy nutrition, creative cooking, learning new recipes and ingredients – all of this corresponds to the spirit of the times and above all, the lifestyle of Millennials.
In a world where online shopping is steadily replacing a local shopping jaunt, going to buy groceries at the shop also seems like too much effort. Whilst many retailers are still fiddling with switching over to online shopping, they’d be better off working on their own subscription models. The pioneer there – no surprise – was Amazon with its “Subscribe and Save” subscription. The mail-order house delivers the desired products at intervals chosen by the customer. Regularly and more cheaply because of the repetition. In addition, Amazon is entering the meal kit business. Less surprising: It is the fastest growing business model for food.