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Recurring commerce is a business model where products or services are sold through a subscription or automated repurchasing system. Instead of one-time transactions, customers are billed at regular intervals, enabling consistent revenue generation.
Recurring commerce operates on a recurring revenue model, where income is predictable and continuous. It uses recurring billing systems to automatically charge customers on a weekly, monthly, or annual basis, depending on the subscription terms.
A skincare brand offering a monthly subscription box for face masks and serums is using a recurring commerce model. Customers are automatically billed and receive curated products each month.
To succeed in recurring commerce, focus on delivering consistent value and personalized experiences to reduce churn and increase retention.