In addition to the research we published on Tuesday, Recurly is pleased to share our recent research on business activity during the beginning of the holiday season. This research examined a sample of more than 450 business-to-consumer (B2C) subscription businesses during the two-week study period from Monday, November 14th to Monday, November 28th (Cyber Monday), including Black Friday on November 25th. Our research provided some interesting results.
Our findings reveal that subscription commerce continues to grow. Looking at same-store sales, we saw that total payment volume (TPV) on Black Friday and Cyber Monday increased 17% and 16% respectively, compared to 2015 data. These growth rates compare favorably to overall commerce volume measured by Adobe Digital Insights, which reported that shoppers spent 12% more on Cyber Monday 2016 than they did in 2015.
Further underlining the impressive growth in subscription commerce, same-store sales for the top performing subscription businesses increased substantially, with total payment volume (TPV) surging 131% on Cyber Monday and 126% on Black Friday, compared to 2015 data.
Our study also found that the four-day period from Black Friday to Cyber Monday 2016 experienced strong TPV growth overall, with top performing subscription businesses experiencing a growth rate of 115% compared to same period in 2015. Demonstrating the enduring allure of Black Friday shopping, our results showed that this annual one-day event experienced the largest increase in TPV: 188%, compared to the rest of the study period.
Recurly also found that coupon redemptions grew 43 percent on Cyber Monday from redemption rates seen in 2015. Overall, Cyber Monday saw three times more coupon redemptions than other days during the study period, while Black Friday saw two-and-a-half times more redemptions.
These findings show that subscription commerce continues to demonstrate strong results throughout the customer lifecycle, as consumers increasingly embrace the convenience, efficiency, and sometimes sheer delight that subscriptions deliver. Whether it’s a monthly box of curated items or necessary commodities, a digital service, or any of the myriad of other kinds of subscription business being offered today, the subscription model is propelling the market forward in a resounding way.
All fields required. Recurly respects your privacy.
The value of Recurly is that we no longer have to worry about the different aspects of subscription management. Instead, we can focus on things that are our core competency, like adding value to our service and expanding our offering. That’s been a huge win for us.