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  • 작성자 : 권진현
  • 소속 : Korea International School Jeju official club BERA (Business Economics Review Associates)
  • 등록일 : 2025.02.14
  • The Rise of Subscription Services: Are We Paying for Convenience or Falling Into a Trap?
Derong Zhao
The Rise of Subscription Services: Are We Paying for Convenience or Falling Into a Trap? 
Nowadays, people tend to use subscription programs in every aspect of their daily lives, from Netflix to Adobe, and even washing machines. According to The Subscription Economy Index report, the subscription economy has significantly increased by a remarkable 435 percent over the last 10 years. What’s even crazier is that it is expected to grow further with a market size of $1.5 trillion by 2025 (oyku-ilgar, 2023). However, with the rise of such convenient services, we should ask ourselves: Is this the ultimate convenience, or is it just an unfathomable loophole that drags consumers into endless payments? 
That being said, why are subscriptions so popular? According to neuroscience, “95% of all thought, emotion, and learning occur in the unconscious mind (Dooley, 2007).” Once the subscription is set up, the buying and transacting process becomes nearly intangible. Hence, people can enjoy the service knowing that the product will always be there. Furthermore, what makes subscriptions even more luring is the fact that there are no “hidden” costs to worry about, as it’s a “set” amount each month. By grasping our psychological tendencies, companies thrive by offering flexible and personalized subscription models that make consumers feel valued and understood. To that end, they provide customizable options, flexible management, and customer-centric add-ons. Through these strategies, merchants’ revenues can be lifted by around 15%, and marketing return on investment can be lifted from 10% to 30% (Olsen, 2024). 
However, like everything else, subscription programs have their pros and cons. The phenomenon of “subscription fatigue” occurs when consumers feel frustrated by the overwhelming number of subscriptions they are involved with, eventually losing track of how many services they’re paying for (Ofek, 2023). What’s amusing is that this scenario is widespread, as reflected in this statistic: “Totaling around $1,600 annually, with 42% of consumers paying for forgotten subscriptions (oyku-ilgar, 2023).” Indeed, many people around us seem to forget whether they have paid for a specific service. For example, my friend Kevin forgot to cancel his subscription to the old gym he used to go to, ultimately paying $1400 without even realizing it.
To sum up, both consumers and businesses seem to benefit from the growth of the subscription economy (Brother, 2024). Consumers enjoy the convenience of these programs, while manufacturers yield substantial revenue. However, consumers should effectively and thoughtfully balance the convenience they gain and the cost they incur. While subscriptions may be the future, let’s not sign away our wallets just yet. 


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