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Developing a Subscription Offer for Home Appliances

How can a market leader in home appliances fight declining margins and market share by providing a subscription for their connected products?
CHALLENGE

Our client, a German conglomerate, was struggling with the declining market share and low brand awareness of their boilers. They wanted to validate whether a subscription service across all home appliances could be an attractive, differentiating offer.

OUR APPROACH
  • Conducted a research sprint with landlords, agents and renters to understand each profile’s specific needs and appetite for a subscription service
  • Provided recommendations to pivot the initial concept according to our insights
  • Developed a customer journey and a service blueprint to connect the optimal experience to internal processes needed
  • Created an internal pitch, including financial projections, service models, and screen designs to gain executive buy-in
IMPACT

Using our pitch deck, the client team successfully presented the idea at an internal innovation challenge and is now moving toward market implementation.

A detailed service blueprint described the optimal customer journey and the internal processes and IT systems required to deliver each part of the future experience.
Based on what we learned about consumer needs, we developed screen designs to win internal support and funding for the venture.
IndustryConglomerateYear2019KeywordsSubscription-based business model, Prototyping, Financial Planning, Intrapreneurship, Direct-to-ConsumerShare