These 7 Traditional Retailers Are Cashing In On The Subscription Box Craze

Subscription boxes aren’t just for Stitch Fix and Blue Apron anymore. Traditional retailers such as Target and Walmart are picking up on the trend and rolling out their own subscription services for make-up, kids clothing, and athletic apparel. Building on the success of names like Birchbox, Dollar Shave Club, and Trunk Club, established brands like Gap and Under Armour hope they can create their own box model to woo shoppers. If nothing else, subscription boxes offer companies a treasure trove of data — retailers learn what items customers are responding well to, or what inventory should be phased out. A subscription service becomes attractive when companies can forecast revenue, but standalone businesses (like Blue Apron) have also struggled to balance sales against the steep marketing costs required to keep membership up. For Target and Walmart, though, the boxes are only a sliver of their overarching businesses. Read more at CNBC.