Shopify 2023 Commerce Trend: Paid Membership Programs

A few weeks ago, Shopify released their list of predicted Commerce Trends for 2023. The whole list is worth a look, but we were particularly excited to see that their “Money Trends” section included paid membership programs:

Membership-driven, gated digital communities are also on the rise. A major draw is the feeling of exclusivity found in online communities, including front-of-the-line access to products and events. In fact, members-only benefits are so attractive to customers that athletic apparel brand Lululemon expects 80% of its customers to sign up for membership within the next five years.

Paid membership programs have been around for a while—think Netflix or Amazon Prime—but they've become more mainstream in recent years as consumers have shown their willingness to pay a monthly fee for services that support their lifestyles (think: streaming TV or free shipping). As ecommerce companies look to generate revenue and interact with their customers, membership programs can provide a win-win: the customer gets access to exclusive deals and benefits, while companies gain valuable information about their customers' preferences and a stable source of recurring revenue.

Let's look at some examples. One of the biggest companies doing this is Costco, which has a $60 annual membership fee. But the benefits of becoming a member at Costco include early shopping hours and discounts on products. Other examples are Amazon Prime, Sephora (which offers free shipping and exclusive products), Target (reduced shipping costs), Walmart (free two-day shipping), Lululemon (unlimited access to online classes).

Memberships allow shoppers to feel more connected with brands they love. When you join an online community like Patreon, it's much easier to feel closer to your favorite creators than if you just bought one thing at a time on Amazon Prime or Etsy. Membership offers also give members access to exclusive products or services they couldn't get otherwise (like early access). This can make them feel special too! In fact, according to a survey from Klaviyo, more than 75% of shoppers say they would be willing to pay $3-$5 per month for an exclusive membership program with their favorite brands if it offers exclusive perks only available through the program.

All of this means that membership programs are a great way to increase customer loyalty, collect data about your customers, and increase revenue. But they can also help you create a sense of community. How? By offering perks that they wouldn't get anywhere else. For example, members might get special early access to new products or discounts on items in your store. Or maybe it's something more personal: like access to an exclusive Facebook group where everyone can talk about their favorite products and share tips for using them in different ways.

You're probably wondering if a membership program would be good for your brand. Well, besides building customer loyalty, the most obvious reason to try one is that they can help your company make more money. In fact, according to research conducted by Womply, companies who offer a membership program experience an average of $1,000 per month in revenue growth.

Just think about it: when you join a gym or other type of fitness center (like a yoga studio), you're encouraged to buy more because it's part of being part of that community. You'll probably end up spending more money on classes and food than if you were just paying per visit or class—but that's okay! It still benefits both parties because the gym gets more customers and the customer feels like they have access to everything in one place without having to leave their home base too often (or ever).

The same thing applies here: people love being able to go onto their favorite websites without any hassle at all; but if there isn't anything special about those sites besides their products/services—and maybe some special offers every now and then—then why would anyone want them? That's where membership programs come into play!

Ready to give a membership program a try for your brand? Check out Conjured Memberships in the Shopify app store now!