If there’s one business model that has thrived as a result of the Covid-19 pandemic, it’s the subscription box. From beauty boxes to craft and recipe boxes there’s truly a subscription box for everyone.
According to Royal Mail’s recent UK Subscription Box Market report, the sector in the UK has grown rapidly and is set to be worth £1.8 billion by 2025.
The report shared statistics around the highest number of subscription boxes per adult in the UK in relation to area, and in third place after London and the North East, were subscription box shoppers in our area, the East Midlands, which averaged 4.6 boxes per person per year!
For many people, food subscription boxes specifically became something that they relied on during lockdown when eating out was a distant memory and going to the supermarket was a weekly mission fraught with sanitising stations and queues.
Despite restrictions being lifted, the seed of convenience has already been sewn in minds of the customers that gave recipe or food subscription boxes a go. The idea behind this B2C model is that long-term relationships are forged between buyer and seller built around convenience and quality.
Delivery boxes, specifically recipe boxes, are paving the way when it comes to food and packaging waste in several ways. Firstly, as they are pre-portioned you get the exact amount of ingredients needed for a dish so you don’t need to throw any excess food. Secondly, when ordering online, we tend to only order what we need rather than being tempted by extra items that we don’t really need in supermarkets which leads to waste.
It’s not just big companies like Hello Fresh and Gousto that are offering food subscription boxes, many smaller, independent businesses are delivering this business model and thriving.
We are very pleased to have started working with local business Kerry’s Fresh who have also benefitted from the rise of the subscription box.
Kerry’s Fresh have been operating in Nottingham since 1885 where they began selling livestock from a stall in Nottingham’s Old Market Square. Over the last 136 years, the business has gone from strength to strength and adapted to meet the need of its customers. Kerry’s Fresh adapted their offering in response to the thousands of orders they were receiving during the pandemic, creating an online shop and delivering fresh produce in Nottinghamshire and beyond.
Due to their success during lockdown, Kerry’s Fresh has employed more staff and partnered with DPD so that they can deliver their products nationwide.
Their range of products now includes dairy, meat, fish, bakery items, vegan friendly products and even a selection of craft ales and wine. They expanded their range to during lockdown to include customisable boxes for family favourite meals such as roast dinners and stir fries which have been an enormous success.
What does the future hold for the subscription box? The Royal Mail report suggest that the popularity of the subscription model will remain strong as it promotes high levels of loyalty. Fewer than a quarter (24%) of subscription box shoppers said they intended to cancel their subscriptions any time soon – convenience is king, after all.