What is a membership program, really?
It's the easiest way to add a recurring billing component (hello, predictable cash flow!) to your revenue model without totally overhauling your business operations.Beyond recurring billing, memberships open the door to a TON of potential value to you as a merchant. If you've ever wanted to get in on the subscription action but weren't sure how...this is it.

What are the benefits of a membership program?
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Retention
Engaged members stick with your brand for longer and, assuming your membership model is designed well, will continue to come back again and again for more of what you have to offer.
Higher AOV
Membership programs offer more touchpoints with the consumer, which give you even more opportunities to cross-sell and upsell.
Predictable Cash Flow
Recurring billing gives you a relatively predictable cash flow, meaning you can plan more efficiently (and even fund future projects).
Data Collection
Because members are more likely to be more engaged than the average consumer, they'll be more likely to participate in surveys, polling, and focus groups. Find out what they want, straight from the horse's mouth!
Community
Create a place for members to hang out, bond, and share ideas. (Read: an opportunity for engagement.) Listen to what they talk about for ideas on becoming an even better merchant. Spot and solve problems before they even occur.
Testing
Engaged members create a unique opportunity for testing out new products and ideas, and even launches! (If something goes wrong, they're much more likely to be forgiving.)
vs
and more...
Retention
Engaged members stick with your brand for longer and, assuming your membership model is designed well, will continue to come back again and again for more of what you have to offer.
Higher AOV
Membership programs offer more touchpoints with the consumer, which give you even more opportunities to cross-sell and upsell.
Predictable Cash Flow
Recurring billing gives you a relatively predictable cash flow, meaning you can plan more efficiently (and even fund future projects).
Data Collection
Because members are more likely to be more engaged than the average consumer, they'll be more likely to participate in surveys, polling, and focus groups. Find out what they want, straight from the horse's mouth!
Community
Create a place for members to hang out, bond, and share ideas. (Read: an opportunity for engagement.) Listen to what they talk about for ideas on becoming an even better merchant. Spot and solve problems before they even occur.
Testing
Engaged members create a unique opportunity for testing out new products and ideas, and even launches! (If something goes wrong, they're much more likely to be forgiving.)
What do you need to consider?

Target Audience
Which customer segment is going to be most receptive to a membership? How do you know? Is there a consumer segment in the market you don't currently engage with that would find membership with you appealing somehow? These are just a few questions you'll need to ask yourself when defining the parameters of your program.

Value
Now that you understand your target audience, you know what they want, too. So give it to them! Make your membership so high value that consumers can't help BUT to say yes! Remember that there's tremendous value for you as the merchant beyond just the price of the membership itself.

Perks
There are dozens of perks you can offer in exchange for the cost of membership: store credit that is of higher value than cash, early access to new products, exclusive products and content, member pricing, free shipping, extended returns windows, and so much more. What would excite your target audience the most?

Billing + Pricing
What you charge members (and how often) is an important consideration when strategizing your program. Give them a few options (but not too many!) and make sure the value scales with the price.

Promotion
Once your program is built out and ready for release, how are you going to promote it? Membership marketing is an ongoing process, so you'll need to bake it into everything else you do in addition to a big push at launch.
How do I decide what to do?
The answer isn't as complicated as you might think.
Know Thy Customer
Start the brainstorming process by focusing on what you should always be focusing on: the customer. You'll need to give them several very good reasons to hand over more moolah.
How would a membership program fit most seamlessly into my customer’s life? How can a membership enhance the existing value my customer expects from my products? What membership benefits and components are going to be most valuable to them? Think about what your most ardent fan would want.
How would a membership program fit most seamlessly into my customer’s life? How can a membership enhance the existing value my customer expects from my products? What membership benefits and components are going to be most valuable to them? Think about what your most ardent fan would want.
Know Thy Self
Once you know what your customers want, you'll need to decide how much of that you're prepared to offer. Which options will make the most sense for your business?
What are your goals for this membership program -- engagement? Recurring revenue? Data collection?
How much of an investment do you want to make now, versus iterating the program as you go? Do you have the resources (personnel, time) to manage a Facebook Group or create content? Do you have enough SKUs in your store to offer members-only products?
What are your goals for this membership program -- engagement? Recurring revenue? Data collection?
How much of an investment do you want to make now, versus iterating the program as you go? Do you have the resources (personnel, time) to manage a Facebook Group or create content? Do you have enough SKUs in your store to offer members-only products?
Getting Started

If you're dying to hit the ground running, the leanest approach is the "store credit" method. It requires zero change in inventory or business approach and it's a concept that consumers are already familiar with: pay $X per period and in exchange receive $X+n in store credit to spend. Easy!
That said, if store credit is your only membership perk, some consumers may consider the program a bit lackluster. Spend a bit more time to build in additional perks that create a stronger value proposition.
That said, if store credit is your only membership perk, some consumers may consider the program a bit lackluster. Spend a bit more time to build in additional perks that create a stronger value proposition.
Want to dig deeper?
Check out our blog, the Tako Stand, for in-depth posts on adding a membership component to your Shopify store, how to decide on the right pricing and billing, and so much more.
Ready to Get Started?
