Largest Ever Survey of Digital Subscriptions – 78% Don’t Want Fixed-Term Subscriptions

90% of consumers state the ending of a subscription to a service should be entirely their decision.

5th August 2021: Research of 1,000 consumers, commissioned by aimm in June 2021, observed that 93% described the process of signing up to a subscription to be clear and transparent. Just 1.5% of consumers found themselves subscribed to a service that they didn’t want. Unsurprisingly then, 90% of consumers felt that they alone should be responsible for choosing when to end their subscription, and 78% don’t want to sign up for a fixed term.

The research found that when it comes to digital subscriptions, regulation should guide consumer behaviour, but not be an imposition.

The current regulations already require robust consent, so any new regulations that impose stricter criteria will automatically discriminate against subscribers who are passively happy. The natural suspicion of consumers to click on links to renew a subscription means that services, including charity fundraising, will suffer, should this become a requirement.

The recommendation from the research, which asked about consumers’ preferences regarding reminder messages and length of subscriptions, is that for monthly subscription services a reminder message should be sent every month for the first 3 months, then once a quarter following that, with an additional service summary sent annually.

Joanna Cox, General Manager at aimm said “We wanted to ask consumers what they wanted when it came to digital subscriptions. The results of the research overwhelming show that the current regulations provide enough security for consumers and if anything they’d like to be contacted even less than they currently are.”

Over 97% of consumers felt that an annual service summary, that was for information only and did not need to be acted on, would be beneficial. Consumers now think of digital subscriptions as long term and not in 12-monthly timeframes. This is backed up by the fact that 75% have subscribed to a service or donation for over a year.

“We want to make sure that consumers are protected and feel safe using mobile subscriptions to sign up to services or donate to charity,” said Neil Johnson, Chairman at aimm. “However, we also want to make sure that we don’t create regulations that are too stringent, that actively dissuade consumers from signing up to quality subscription services, or mean that they are inadvertently cancelled. Too much unnecessary regulation risks damaging the consumer experience and the subscription business model; a model which creates a convenient way for users to pay for services they enjoy.”

 

Details about the research

Research was commissioned via Mobile Squared during June 2021. This research asked a panel of 1,000 unbiased people about their experiences, with the expectation that this would provide a meaningful insight into the world of those with a passive happiness with the service they receive. The panel was evenly split by age group, gender and location, to ensure a fair cross-representation of society.

Whilst recognising there have been challenges with phone-paid subscriptions in the past, these have now largely been resolved. This research addressed the experiences of those with a passive happiness with their subscription; the silent majority of people now using phone-paid subscriptions without concern.

Fonix share their Top 10 takeaways from yesterday’s breakfast event: ‘Pick ‘N’ Mix TV.

Joanna Cox, General Manager at aimm, opened the event by explaining how TV habits have changed: the days of having only three channels seem a lifetime away now that we’re so spoilt for choice. She talked about how the payment methods offered for content consumption need to be as frictionless as possible — more purchases are being made than ever before.

Joanna was joined by EE, BT Sport and Twitter amongst others to talk about the ‘ Payment Mix for OTT Audiences’.

You can read the full Top 10 List from Fonix’s Blog.

Brexit – Why Free Trade in Services Should Not Be Feared

Enarpee have written an engaging article on what opportunities could be available for the services industry after Brexit;

The UK could be headed towards a more integrated, EU-centric trade deal.

It’s the safe bet to some, but to those who see the bigger picture, a potentially huge loss for the services industry here in the UK, of which we form a very small part. Free trade agreements (FTAs) could open up huge new markets and economic potential for the UK and aren’t be something to be feared, and here’s why:” Brexit and the Services industry October 2018 Enarpee

Global Carrier Billing Summit 2018 – tickets still available

As the only, global, focused event specifically made for the Direct Carrier Billing (DCB) ecosystem, the Summit is a must-attend event for all mobile payments and VAS specialists, digital merchants, operators and businesses who are looking to expand their portfolio into the DCB space, which has shown steady growth over the last few years.

Taking place this 25-26 September at the Millennium Gloucester in London, this event will be covering both developed and emerging markets, the Summit showcases operator case studies, merchant perspectives, partnership models and innovative examples from other payments providers who can partner or inspire the carrier billing community. You can find out more about the summit from here: https://bit.ly/2xwTGqs

MEMBER DISCOUNT

aimm members can get a 10% discount on their 2 day pass prices by using the link: https://tmt.knect365.com/global-carrier-billing-summit/purchase/select-package?vip_code=GCBAIMM10

The discount will be applied once you click on the Add to Basket button.

If you are an operator or merchant you could qualify for a free pass to attend the summit.

To apply for your pass click here: https://bit.ly/2xwTGqs

A message from the Chairman of aimm

I hope that everyone is having a great summer both professionally and personally.

As some of you will already know, today sees our new GM, Joanna Cox, start her tenure with AIMM. I’m really pleased that we were able to get someone of her calibre to lead us through the changes we want to make to the way that AIMM operates in the next few months.

First, a few words about Joanna.

Joanna has a wealth of experience in our industry. She has worked in several companies in our sector, heading up client services at both Telecom Express and Spoke Interactive and also with Channel 5, controlling both the commercial partnerships and interactive services divisions. This included management of Big Brother PRS, social media and App voting. This experience of running services means that she has a great understanding of the opportunities and the challenges that our industry faces.

One of the first things that Joanna will be doing from today is to come round to our members and spend some time understanding how AIMM can help you. Whether by phone, in person or through a questionnaire, she will be reaching out to everyone in the AIMM family to understand how we can best serve the industry. We want to help our members find the opportunities in the market as well as navigate the threats it poses. I would ask that you spend the time to give her as much constructive feedback as you can.

This is the first step in our plan to ensure that AIMM is being truly representative of the whole of our membership and will allow us to collect the information we need to structure our activities. We want to ensure that we are being relevant to all of our members and that we are focusing on the issues that really matter and that will make a difference to you.

Our purpose at AIMM is to help our member companies grow their businesses. This means getting all parts of the value chain to recognize the size of the opportunity and creating an environment where services can launch quickly, be operated simply and be regulated fairly. That is what we intend to work towards and Joanna’s role will be integral to that challenge.

I hope you all join me in welcoming her to AIMM and I look forward to a bright future for our industry.

Kind regards

Neil Johnson