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Business Model Leverage
Balancing acquisition, revenue, and cash flow is at the core of running many business models, particularly those that rely on subscription revenue and paying to gain customers.
Alistair Croll • Lean Analytics: Use Data to Build a Better Startup Faster (Lean (O'Reilly))
One of the most storied examples of how a subscription business model can thrive predictably comes from an industry where subscriptions weren’t an obvious fit -- Costco
SparrowAdvisers • The Rule of Threes: The subscription economy from a consumer’s perspective
I can see a similar future for podcasts: Spotify, if they are successful, may end up being the biggest player, but that doesn’t mean new and different business models that directly link suppliers and consumers won’t emerge. It will, in other words, look like everything else touched by the Internet: very large winners on one end, and small niche win... See more
Ben Thompson • Spotify’s Podcast Aggregation Play
This is what I call the "Hub and Spoke" model — leverage a core subscription userbase and then upsell additional offerings to gain a larger share of wallet from your core customers. Until recently, this option seemed out of reach for most Consumer SaaS companies struggling to simply generate enough demand to support a single product at scale.
Brett Bivens • The Consumer Subscription Roll-Up Opportunity
