If you’re looking to scale subscriptions efficiently, your tech infrastructure has to be rock solid.
That’s why Matt Kelly, Founder of Space Goods, utilizes Skio as a steady foundation as his subscription-based, next-gen wellness brand enters hypergrowth. We sat down with Matt to learn why he trusts Skio to power his biggest revenue driver. We dive deep on:
From the get-go, Matt knew he wanted Space Goods to be a primarily subscription-based and easily consumable brand.
Matt saw numerous fellow DTC founders hyping up Skio - and as he highly values the opinions within his community of eCom leaders, he made the switch. After launch, changing/migrating the subscription software is always a tricky issue. Especially because of the following two things:
However, their team quickly came around and moved forward with Skio — for two new reasons:
Since migrating to Skio, Space Goods has notably benefited from three of our platform features: robust analytics, custom automated workflows, and effortless testing.
Matt breaks each of these down below.
Space Goods launched about a year ago, meaning they only recently collected enough data to enable meaningful, big-picture analytics.
Now, Matt logs onto his Skio dashboard (powered by Source Medium’s Embedded Analytics software) daily to check headline figures such as:
In all, he calls our analytics features robust yet still easy to comprehend and take action on.
Skio users can construct and automate custom workflows within our platform.
For instance, if a Space Goods subscriber indicates they’d like to cancel their plan, the site will encourage them to stay by automatically offering a bigger discount. According to Matt, this automated sequence has already driven down subscription churn.
Space Goods can easily build, test, and enable various deals for subscribers (i.e., pre-pay for three months for major savings).
Matt highlights that this is a game-changer since testing pricing models and offers can supercharge conversions. In one case, they tested subscription-only PDPs with a cheaper-priced first month. As a result, within the last month, their subscription rate has doubled.
With easter holidays approaching, Matt anticipates ramping up testing to maximize both subscription and one-time sales for the holidays.
Since launching less than six months ago, the Space Goods subscriber base has grown from zero to 4,000. More specifically:
He attributes this massive subscription growth to three levers:
As a startup in its first year, Space Goods can't handle the loss of users churning en masse because their subscription portal is glitchy or the backend platform code keeps breaking.
Fortunately, Skio has proven itself as a piece of stable, smooth, and scalable subscription software. On the rare occasions that something goes wrong with the system, or when someone just needs extra guidance on the admin end, the team at Skio is skilled and responsive.
Whatever the vertical, Matt advises finding the right vendor for you and sticking by them to build consistency. Hopping from platform to platform just doesn’t work out well. For Space Goods’ subscription engine, that ideal partner is – and will continue to be – Skio.
Looking forward, Matt anticipates keeping Space Goods’ product offerings neat and simple, especially as the brand still runs on limited resources.
In January, they rolled out Dream Dust — a nighttime companion product to their hero SKU, Rainbow Dust, a mushroom blend and coffee alternative. Both SKUs will thrive as a day-and-night subscription bundle, which could double AOV for their existing subscriber base.
Ultimately, Matt aims to build Space Goods into a cult brand specifically built for subscribers.
Imagine companies like Huel and Athletic Greens, which charge in the ballpark of $40 per user per month. If you've attracted millions of users, your business is thriving. Matt himself uses their products daily and likely spends thousands on them each year.
That cult status and degree of scale are more than possible for Space Goods — especially by powering their vital subscription engine with Skio.