Subscriptions are deeply embedded in consumers’ lives – from travel and streaming media to fashion, publishing, gaming, software, memberships and more – and grew exponentially during the pandemic. Visa estimates the global subscription economy is worth $650 billion.

However, consumer expectations are changing. Rising inflation is prompting consumers to reevaluate their subscription spend. Consumers expect control, one-click convenience and a seamless customer experience. Younger generations, such as Gen-Z and millennials, regularly churn and return, compelled by content and offers.

Global businesses predict changing consumer preferences and regulations will impact profitability. Regulatory developments focus on enhanced subscription transparency and protection for consumers, including the Federal Trade Commission’s proposed “Click-to-Cancel” provision in the US and the UK’s proposed Digital Markets, Competition and Consumers Bill.

Empowering consumers and solving problems for businesses

The Swedish founders of global fintech scale-up Minna Technologies saw an opportunity to embed subscription management in banking and fintech apps, a trusted channel where consumers track their daily spend and recurring payments. Minna’s API connects banks, fintechs and subscription businesses with subscribers, empowering consumers with control, choice and convenience. Customers can view and manage all their subscriptions and recurring payments in-app.

Backed by Visa and venture capital firms Element Ventures, Middlegame Ventures, Zenith Capital and Nineyards Equity, Minna partners with top-tier banks, fintechs and subscription businesses across the US, UK and Europe, reaching over 50 million users.

Minna helps banks and fintechs increase revenue, reduce operational and dispute costs, and drive customer engagement and lifetime value. Minna enables subscription businesses to acquire, retain and win back customers. Users can pause subscriptions, change their plans, receive offers, cancel and resubscribe.

Minna's global subscription business data and insights power its automated solution. Minna also commissions proprietary research to stay ahead of business and consumer sentiment, trends and developments including reports in partnership with FT Strategies and Savanta. Subscription Economy: Business Barometer features analysis of a survey of over 100 senior US and UK subscription business executives on trends, performance metrics and strategies.

Amanda Mesler, Chair and CEO of Minna, said: “As businesses face global macroeconomic challenges and evolving subscriber behavior and expectations, it is critical for decision-makers to be equipped with relevant data, actionable insights and incisive analysis to inform effective strategies and tactics for retention, acquisition and growth.”

According to Minna’s research in Subscription Economy: a Transformed World, three in four consumers want to manage all their subscriptions in one app. Younger generations, especially Gen-Z and millennials, prefer to manage them in their banking app. One in two consumers aged 18-44 – and one in three across all age groups – would consider switching bank accounts for this functionality.

The future of the subscription economy

Despite global challenges, the future outlook is promising. Businesses can leverage deep customer data, insights and technology for enhanced personalization. Banks and fintechs are supporting consumers with financial intelligence and digital tools. By harnessing customer data and insights and providing flexibility, control and convenience, businesses can deliver superior value and a seamless customer experience to engage, retain and grow subscribers.