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Frequently asked questions
The subscription based business model is a business model that charges customers a recurring fee — typically monthly or yearly — to access a product or service.
The answer is simple. Simply because it generates predictable revenue, enhances the return on customer acquisition cost, and encourages more up-selling and cross-selling. If done right, this strategy is a powerful tool for growth. Subscription-based companies can also disrupt traditional industries by offering lower upfront prices, more flexibility, and an incentive to continually upgrade their products for customers.