Connected devices
Connected devices
Subscriptions
Physical products linked to an app or online service, often sold with a subscription for refills, content or premium features.
What is Connected devices?
Connected devices include things like smart water bottles, fitness equipment, coffee machines and pet feeders that talk to an app over Wi-Fi or Bluetooth. The device is often sold once, and the ongoing revenue comes from a subscription.
Common subscription types are consumable refills (filters, pods, cartridges), content (classes or programs) and premium features (tracking, history or coaching in the app). Some devices can even tell the brand when a refill is running low, so replenishment orders arrive at the right time.
Example
For example, a water filter brand might sell a pitcher for $40 and a filter subscription for $12 every two months. Over a year, the filters bring in $72, nearly twice the price of the pitcher.
Why Connected devices Matters
The subscription that follows a device sale can be worth more than the device itself, so it deserves as much care as the first purchase.
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