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Membership model

Image of Ash Roy
Ash Roy

Membership model

It costs between 5 and 9 times less to retain an existing customer as compared to acquiring a new one. It’s also a lot less stressful than going “hunting” everyday.

When banks lend money to businesses they love seeing a stable and steady income stream. In some cases they prefer the steady income stream to a higher level of income that’s lumpy. Lumpy income represents higher risk.

There are many other reasons to chose a business model that favours customer retention over customer acquisition.

One of the best business models that lends itself to customer retention is the membership / subscription model.

We’re starting to see large corporates adopt this model increasingly. Have you considered it for your business?


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