How To Build A Subscription Model for Your Online Course?

Subscription models are based on the idea of selling a product or service to receive payments on a monthly, yearly, quarterly basis, etc. Subscription models focus on the way revenue is made so that every customer pays multiple payments for prolonged access to a service that is your online course. 

Thinking of building a subscription business model for your online course? That is a superb idea you could execute as a course creator to work on a model building subscription ! Yet, are you confused about which specific subscription business model to choose that would suit your course and your target audience? Or are you doubtful about updating the course pricing model to a subscription system??

You need not worry as you have landed on the right page my friend! We will go through the specific pros and cons of switching to a subscription based business model along with the types of models for your online course business. 

All the OTT platforms starting from Netflix to any unpopular brand uses a model building subscription and that is how they are getting more and more popular. Just like that, you could use a subscription model for your online course and get the audience intact with your course!!

Let us look at some of the pros of subscription models – 

Pros – 

1. A steady transaction source with automatic renewals – 

Establishing a consistent flow of income is an important aspect of running an online course. In the online course market, there are busy and slow seasons, but it’s tough to plan and execute the payment methods for your online course.
Subscriptions are a considerably more reliable income source than one-time course purchases in this sense. Your overall subscription rate may increase or decrease, but it is unlikely to go completely. And, if you’re having trouble keeping up with your subscriptions, you’ll usually have enough notice to take action.

 

2. Smooth transactions 

When there is a set system for timely payments for your learners, there are smooth transactions. Returning to the benefits of subscription-based eLearning, this pricing model typically includes a lower initial cost than a one-time course purchase. Learners can pay a significantly lower amount and only sign up for the service for as long as they need it, rather than paying a large sum upfront for a course they may never use. The advantage is that if they like your course, they may decide to remain on for a while, and after a few months, they may end up paying more for it than if they had purchased it outright. 

 

3. Make worldwide transactions 

With a proper subscription model, you will be able to make worldwide transactions. There might be learners from different countries who would like to learn from you. It will be feasible to make worldwide transfers without any drawbacks with subscription models which would be putting reminders for payments from time to time. Making worldwide transactions are one of the most prominent benefits when it comes to building a subscription business model. 

There’s a reason why subscriptions have become so popular among online educators: when done correctly, they frequently result in better revenue than one-time pricing. 

There are more pros that could add up to the above, yet it is you as a course creator who needs to decide on the ideal and suitable subscription-based business model for your online courses. The one that would suit your online course audience. 

Now, let us look at some of the subscription models – 

1. One time fees 

One-time fee models came from skill-based classes. It is the classical and traditional model where learners can pay a one-time fee to access your course and learn from your courseware. Courses under this model follow a fixed schedule that includes all courseware – assessments, quizzes, tests, interactive sessions, or any other activity that you might organize for your learners. The advantage of this type is that you can charge fees for a large number of specialized courses all at once rather than having installments. 

2. Academy model 

The online learning platform functions as a virtual school in the academy model, which is subscription-based. Students are encouraged to study and improve different abilities, and a comprehensive collection of courses, videos, and other learning materials is available through an academy eLearning business model. Learners benefit from a variety of elements in the academy model, including live question and answer sessions, support groups, and one-on-one meetings with instructors.

The platform and the learners build a long-term relationship using this model. It is appropriate for artists, fitness lovers, sports fans, and professionals in their areas. The academy approach attracts learners who want to master numerous talents by covering broad themes and then going into depth on each one.

3. Combined model 

The combined model refers to the subscription based business model where there is both fees + subscription. This type of model is suitable for students who are willing to pay extra for additional course material or courses that can help them improve their academics and skills. 

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Deciding on the right subscription model for your online course isn’t an easy task, you will be able to do that if you take a look at all the pros and cons reference to your online course. Hope reading this blog helps you in building a subscription-based business model for your online course. Stay tuned to read more such blogs on Teachmore. 

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