Actually Could Your Consumables Product Make You Rich?

We have seen in previous blogs that when it comes to the value of your business, what happened in the past is much less important than what is likely to occur in the future. One of the most important ways you can shape the future of your business is to create some recurring revenue, it is critical for the value of just about any small business, and it is equally important for the world’s largest companies.

I mentioned in my last blog “Simplifier Subscription Model” as one of the Recurring model described by John Warrillow, in his book The Automatic Customer:  Subscription Business in Any Industry. Selected by Fortune Magazine as one of the “5 Best Business Books” of 2015. Today I share with you what John says about:

The Consumables Model


People are willing to pay for convenience

The Consumables Model involves offering a subscription to a product that the customer needs to replenish on a regular basis. The value proposition is simple: life is too short to worry about mundane tasks like remembering to pick up diapers or razor blades; subscribe and you’ll never run out.

The model works best when there is no inherent enjoyment in shopping for what you sell. Consumables subscription models have been set up for products as varied as razor blades, diapers, dog food and toner cartridges.

The Big Box “etailers” (e.g. Amazon, Target) have started to offer subscriptions for many of their consumable products, so be sure to identify ways you can differentiate your offering against the scale of Amazon and other giants.

Who The Consumables Model Works Best For

Consider The Consumable Model if you have:

  •  Something to sell consumers that naturally runs out.
  • Something to offer that is annoying to replenish.

The key is making sure they don’t have to remember the scheduling, deal with immediate variable payments, or worry about quality.

What the Insiders Say

  • To compete with Amazon and the other Big Box etailers, you need to brand what you sell as your own. Name the product yourself even if you’re buying it from a supplier.
  • Because big etailers can win on clinical points like price, delivery speed and breadth of product, you need to give customers a different reason to choose you. Invite customers to fall in love with your brand through the experience you provide. (Amazon also offers Subscribe & Save on virtually all of its consumable products, which is the equivalent of saying almost all consumable products are now available via an Amazon subscription.)
  • Ensure you have a steady flow of supply. Either take control of the manufacturing process or ensure you can find enough supply when you need it.
  • Don’t underestimate the logistical challenge of fulfilling a physical product or service for thousands of subscribers.

Can your business survive without you?

Take the free mini value builder test

If you wish to build up the value of your business and would want to explore what you could do to make it sellable, please do not hesitate to call Jean-Bertrand de Lartigue on +44 1656 766 363 or email him,

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