It all started simple and has been spreading like the plague! Subscription services are cropping up everywhere online. Your money is sucked up on a monthly or yearly basis thanks to online services. This includes video streaming services like Netflix, DStv Now and ShowMax, also not forgetting music streaming services like Tidal, Apple Music or Spotify. In fact, we’ve had startups in Uganda who have tried this subscription revenue model like Yoza which collapsed a few years later. For those who are just starting to hold cellphones, it will come as a surprise to learn that Celtel (now Airtel) customers back then were charged a monthly service fee to access the network, well this was before MTN came and changed the status quo.
In the near future there will no object or thing that won’t require a subscription. Companies will soon change their business models to include monthly subscriptions, imagine paying that for a ride sharing service or CCTV surveillance camera service for your house monthly.
Yes, it will be getting out of hand as more and more of your money will be going to monthly and yearly subscriptions for all types of things and there are only going to be more subscriptions coming especially with the growth of internet services this side of the Sahara.
The subscriptions will mainly come from the gadgets and the things around you, here is why and what you can do anticipate for this inevitable future in order to allow you prepare on how to clean up your subscription list.
Why companies love subscriptions
There are two reasons why online companies everywhere have turned to charging us on a monthly or yearly basis. Technology and Money.
Allow me use my Netflix subscription to illustrate the technology part. Netflix always releases the best of its entertainment catalog from original to 3rd party content, allowing me to watch and stream all this content on the go. The company has to pay for the production of all its original content and also licensing rights to 3rd parties to enable me have a seamless viewing experience. They have to maintain the all their apps on all types of devices including the desktop, mobile and TV apps with new features. Lets not forget the Content Delivery Network (CDN) cloud technology they use to ensure I stream my content from the nearest geographical servers in order to avoid buffering while streaming.
All that the above is what the tech industry refers to SaaS (Software as a Service) and for some services they have HaaS (Hardware as a Service). The whole things is always updating and working for you until you stop paying.
As more and more things connect to the internet, they will come with a subscription. Everywhere from router makers to workout equipment companies are already doing this in the western world. These companies and their investors love the idea of recurring revenue. They can expect a certain amount every month or year from a set number of people and they bank literally that we so often don’t cancel even when we stop using the service. Yes, its really easy to forget what we are paying for and what subscriptions we have. So lets give you tips to help you clean up.
Lets clean up those subscriptions
Make a list of your subscriptions
Log into your credit card or bank accounts and then make a good old fashioned list of the things you get charged for every every month and the amount you pay. Services like Trim and True bill can do this for you, but am personally not a fan of allowing other services access to my bank account.
Cancel the ones you don’t use
I got back over UGX, 60,000 a month by cancelling two subscriptions I was rarely using. Some companies make cancelling easier than others. Always be strong when trying to cancel, as a company will always persuade you not to click that cancel subscription button. If you have difficultly, try this customer service chat bots as they can be quit helpful for getting money back, okay not that helpful in most cases.
If you subscribe to service through Apple’s App store or Google Play Store, cancelling is a lot easier. On your Android phone, open the Play Store->Subscriptions-> select app and cancel any service that you previously opted into. On the iPhone its more complex. Go to Settings-> iTune & AppStore- > AppleID -> View AppleID -> Subscriptions -> Select App you want to cancel.
Set a calendar reminder
Set a calendar reminder to do this on a yearly basis. Put it on your calendar right now because this is just the start of the madness, especially you like me sometimes fall prey to that free trial silently becomes a recurring monthly charge. Believe me the money in the future, the money is going to start being deducted from places you never expected.
