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SearchThe Future of Manufacturing Subscription Models
According to Gartner, more than 70% of organizations are considering selling service subscriptions. Subscriptions promise higher profit margins than product sales and offer a predictable, recurring revenue stream. Organizations offering subscriptions are less impacted by economic downturns and more likely to recover quickly after taking a hit.
Subscriptions are all around us in our daily lives, and they also caused a shift in manufacturers’ business models. With core technologies such as IoT and big data analytics available and mature, manufacturers can offer tailor-made subscription-based products and services that generate new revenue and build lasting customer relationships.
The shift to subscription business models is a journey. Whether you are selling products with matching services or considering equipment-as-a-service subscriptions, the road ahead is challenging. Learn more about potential roadblocks, opportunities, and examples from leading manufacturers in our eBook, the Future of Manufacturing Subscription Models.
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