We may change to have a much smoother consumption habit

We are starting to change our consumption habit by something called subscription. Subscription is not new at all, everyone should be familiar about subscription, as we have already been subscribing news and magazine for a very long period time. However, now we can subscribe more and more kinds of goods and services.

For example, the most recent and well-known programme is Apple's iPhone Upgrade Programme. It can be seen as an iPhone subscription programme that the customers can receive the latest iPhone once it is released and the release of a new generation is scheduled. In addition, many computer programme companies start to sell subscriptions of their products that allow their customers can always receive the latest programme. Such marketing strategy could even be extended to other more traditional markets. For example, if there is a supermarket can offer their customers subscriptions to daily food and drink, the customers can receive fresh food and drink without going into a supermarket. This may not be desired by every customers, but certainly some customers who do not have time to do shopping very often may like this idea.

Subscription is mutually beneficial to both customers and sellers. For customers, they can also receive the latest goods and services and they are able to manage their spending more easily as once all everyday used goods and services are subscribed, they can easily calculate their monthly living costs. In addition, they can have a smoother consumption that reduces some of their risk. Moreover, the data analysis technology is relatively advanced that it allows sellers to know their customers' individual preferences, so the subscriptions could be personalised and more matched with customer's preferences, and the customers can receive the satisfied goods and services without spending too much time on researching and comparison. For companies, once their customers prefer subscription, their finances can be better managed as they can have clearer knowledge about their future earnings and cash flows. The subscription numbers can send better signals to investors, banks and other participants in the financial market about the companies' current and future performances, I think based on better signals, they can make better decisions thus the financial system could also lower its risk.

Therefore, I think subscription will become far more popular in the future.