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Newegg Capitalizes on Subscription Shopping Trend

Newegg is testing a new shopping subscription service covering everything from car care products to pet supplies. Just as people sign up for subscriptions to newspapers and magazines, retailers have been working to get consumers signed up for subscriptions to products.

Amazon was early in jumping in to the subscription model with its Subscribe and Saveprogram, which has been around for over three years.

Other sites have launched product subscription services in categories such as clothing or in super-targeted niches, such as the Dollar Shave Club, which supplies razor blades, as we noted 2 years ago.

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There are services for merchants who wish to offer subscription shopping services of their own, such as OrderGroove for large retailers, and a brand new service for small sellers called Cratejoy for those smaller sellers wanting to explore the potential of subscription commerce.

The benefits to merchants are obvious – you don’t have to remind your customers to order from you, and if the process works well, inertia may keep customers from shopping around for better deals.

Newegg said subscriptions are available for household, automotive and technology products in more than a dozen categories, with new products and categories added continuously as they become available. “From cleaning supplies, to ink and toner, to baby care products, our customers order many items on an ongoing basis,” said Soren Mills, Chief Marketing Officer of Newegg North America.

There are no extra fees for subscriptions – “you only pay for the qualifying products that you purchase and we ship to you,” the company explains.

And lest any sellers be interested in using the program for resale, Newegg says that’s not allowed. “If you are a business, reseller or intend to use the Subscription Program benefits for commercial purposes, please register for the Newegg Business Subscription Program here.”

Newegg set up a subscription store landing page, terms and conditions can be found here.

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Ina Steiner

Ina Steiner is co-founder and Editor of EcommerceBytes and has been reporting on ecommerce since 1999. Send news tips to ina@ecommercebytes.com.


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