How to stop the subscription economy bursting

Over the past decade, we have undergone a transformative shift in the global economy. With the rise of smart digital services, consumers moved away from ownership models. In its place is a consumer sentiment of pay for what you use. Unfortunately, a lot of businesses didn’t get this memo. Too many customers are still charged for services they no longer use. In the subscription economy, if you can sign up in one click, customers must be able to cancel in one click.

As of 2021, there were 2.2 billion subscriptions globally, placing the subscription economy at US$228 billion. By 2025, that number is set to rise to US$481 billion. Alongside the rising subscription, the economy has been the number of subscriptions per person. In Europe, the average number of subscriptions now stands at 17; by 2025, it is expected to rise to 30. While this all sounds like good news for subscription businesses, there are warning signs ahead. Companies that don’t adopt a new modus operandi for customer onboarding will ultimately be left behind. Today’s consumers are overburdened by the obstacles they face when trying to cancel services. You could say it’s designed that way or a relic of the early days of the internet. Regardless, this business practice is old hat and damages business growth.

The birth of our company, GoCancel, was the light bulb moment I had back in 2011 while trying to sign up for a new service. It was a better deal, but I aborted last minute when I realized I couldn’t cancel my existing provider. Why, when it’s so easy to sign up, do customers have to become a super sleuth to cancel a service they no longer want? I talked to friends, entrepreneurs, and business colleagues. The idea resonated, so I went all in and started with Opzeggen.nl.

Today, GoCancel is present in 11 European countries, and we have our sights on servicing every country in the EU. With GoCancel, we’ve canceled over 3.5 million subscriptions and are growing by the day. Much of our success is due to our straightforward promise. We offer businesses a fast track to solving the problem of customer onboarding drop-off. Our API is integrated in less than two weeks and managed at a fraction of the cost of doing it in-house. On the back of the COVID pandemic, when consumer subscriptions skyrocketed, GoCancel saw an upsurge in business interest in our product. With rising gas prices and inflation, the consumer demand for the one-click opt-out button will only heighten this trend.

The world has changed, and the way we do business has changed. Offering customers an easy way to cancel service is now the way to stay relevant. It’s what customers are demanding, and it’s how thriving businesses are onboarding customers. At GoCancel, we are on a mission to make this the new normal, otherwise, this booming subscription economy may just burst.