The strange and sudden rise of subscription businesses

There’s Ola share pass. Soon, there will be Zomato Gold and MMT Black. Also, The Times Group’s new online subscription media product under Times Internet. Companies in India are increasingly looking at a business model once considered niche

Indian unicorn startups are following Amazon's lead (Prime) in launching their own subscription-based products and services

In India's startup ecosystem, the subscription model was considered niche, restricted to those catering to specific needs

Ola, with its 'Share Pass' was one of the earliest to offer a subscription-based service. Others like MakeMyTrip are now following suit

In subscription-based models, the ultimate power is in the hands of the customer: she chooses whether to renew or drop-off

The largest media company in India is waking up to it. Soon, Times Internet, a subsidiary of Bennett Coleman & Company (BCCL) will launch an online subscription-based media product. The editorial team is being put together as you read this.

On Monday, restaurant discovery and food delivery startup, Zomato announced the launch of its subscription-based product Zomato Gold in India. Gold, which the company calls “an exclusive members club”, is expected to simultaneously launch in Bengaluru, Mumbai and Delhi-NCR in the coming days. It is the company’s second subscription product after Treats, where it charges users an annual fee of Rs 249 for a dessert with every order.

AUTHOR

Venkat Ananth

Venkat is currently in his tenth year in journalism. Prior to The Ken, he was Deputy Content Editor at Mint as part of the newspaper’s digital team. He also wrote in-depth features on the business of sport for the newspaper. His earlier assignments include Yahoo! (as a columnist) and the Hindustan Times, where he began his career. Born in Mumbai, Venkat holds a Bachelor of Mass Media (Journalism) degree from SIES College of Arts, Science and Commerce, Mumbai and a Master of Arts degree in International Studies from Goldsmiths, University of London. He currently resides in New Delhi, where he moved nearly five years ago.

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