The subscription economy is booming, and recently, one of the biggest hitters in the corporate world decided to enjoy a slice of the action. Coca Cola, the soft drinks giant, is now offering customers the chance to enjoy access to an exclusive club in exchange for a monthly fee. Coca Cola’s new Insiders Club sold out its initial quota in a matter of hours, so what’s so special about this subscription service, and would you consider joining the waiting list?
Introducing Coca Cola Insider’s Club
According to Coca Cola, its initial intake of 1,000 Insiders Club memberships sold out within three hours. Now, if you want to get involved, you have to join a waiting list. It’s clear from the figures that there is a demand for this novel subscription service, but would you subscribe? The service provides members with a delivery of branded soft drinks once a month with access to a broad spectrum of beverages, including limited-edition flavors, with a few extra treats thrown in for good measure. Members can choose to pay subscription billing fees of either $10 per month or $50 up-front for a 6-month subscription, which includes one free month. Over the course of the coming months, Coca Cola will be sending out brand new flavors before they hit the shelves, offering subscribers the chance to try them for size.
Like most subscriptions, Coca Cola is promoting a range of benefits, including exclusive access to brand new products and the opportunity to take advantage of best-selling and sparkling new drinks without having to leave the comfort of your own home. There’s also the novelty value of getting a delivery in the mail each month. The fee is competitive, the brand is well-known, and subscribers know what they’re signing up for. If you’re a fan of fizzy drinks, you’re interested in food and drink, or you like the idea of trying something new before anyone else, this is a package that might appeal.
What does Coca Cola’s new subscription product mean for smaller subscription services?
According to Forbes, the subscription economy is increasing by more than 100% per year at the moment. For brands, subscriptions ensure recurring revenue, build customer relationships and cater for emerging consumer trends. For customers, covering recurring payments makes budgeting easier and subscription services are often convenient and good value for money. Coca Cola’s foray into the market may be welcomed by some, but smaller food subscription box providers might be wary. The scale and size of the brand makes it difficult to compete, but the target audience might be slightly different, and there may still be plenty of room for existing providers, given the expanding market. In addition, there is a chance that the arrival of a multinational giant could increase the popularity of subscriptions and boxes of food and drink even more, which could boost existing services. It remains to be seen how successful Coca Cola will be once the membership scheme opens for new subscribers.
Coca Cola’s new Insiders Club has turned heads, with memberships selling like hotcakes. As more and more people join the waiting list, it will be interesting to see how well the service sells in the future and whether it could benefit or harm other subscription services.