Whistl: 82% of UK households now receive subscription boxes
More than four-fifths (82%) of UK households now receive subscription box services, according to new analysis from Whistl, which is a “significant rise” from 65% in the previous year.
In a statement sent to Post&Parcel today (23 February), Whistl said that this growth has created a market which is now worth £395 million annually and is expected to surpass £1.8 billion by 2025 due to an expected annual growth rate of 23%.
The average monthly spend of households on subscription boxes, added Whistl, has risen to £52 driven by higher value products and multiple subscriptions.
A positive trend in the past four years has been the length of time customers are using the service, rising from 5.6 to 9 months over the past four years.
Whistl has found that the most important subscription boxes in 2021 are: food (52%); shaving products (24%); clothing (22%); perfume and cosmetics (18%); and pets (14%).
The company also established that the consumer motivations for signing up were: exclusive content (57%); time saving (55%); good value (54%); convenience (40%); and tailored products (52%).
Companies across all industries are making subscriptions a key part of their business strategy with 67% of UK retailers planning to launch a new subscription service.
Melanie Darvall, Director Marketing Communications Whistl, said: “Advancements in technology, exposure to social media and, in more recent years, the pandemic and lockdowns have together fueled the massive growth in the range of subscription services resulting in a surge of boxes landing on our doorsteps.
“When looking to scale your subscription business, it’s critical to ensure you are working with the most appropriate partners to suit your business model and long term goals.
“At the Whistl Group, we offer a unique portfolio of solutions to support the end-to-end logistics process, helping with all aspects of the customer journey including the delivery management of orders, complete fulfilment solutions and even ongoing customer service.”
