Business Model

Subscription Business Model of the Future

The subscription business model is a business model in which a customer must pay a recurring price at regular intervals for access to a product or service. The model was pioneered by publishers of books and periodicals in the 17th century, and is now used by many businesses and websites.

“Technologies in and of themselves are not what causes disruptions. So it is when several technologies and business model innovations converge at one given point in time to enable certain functionalities at a certain cost.”

Tony Seba, Stanford University Futurist

Lions Gate Club is a unique marriage of business models at a time when a simple digital product; Self-sovereign ID (SSI) has entered the market without a valuable benefit to ownership, proven track-record or acceptance. While we see the incredible opportunity to monetize each and every SSI by co-operating.

Multi-sided platform business model

A peer to peer marketplace, where an enterprise acts as an “invisible” middleman that makes transactions and interactions among sellers and buyers as smooth as possible, that’s a Multi-sided platform business model

On a multi-sided platform, the company operating that offers services to both sides. For instance, LinkedIn sells subscription services to HR managers to find candidates to fill vacancies. At the same time, LinkedIn provides another subscription service to people looking for job opportunities.

As the value of the platform depends upon the ability of LinkedIn to offer skilled candidates to the HR manager, that is why LinkedIn also has an online teaching platform that offers together with a subscription, professional courses to people looking for a job.

Business Model

Affiliate marketing

Affiliate marketing has grown quickly since its inception. The e-commerce website, viewed as a marketing toy in the early days of the Internet, became an integrated part of the overall business plan and in some cases grew to a bigger business than the existing offline business. According to one report, the total sales amount generated through affiliate networks in 2006 was £2.16 billion in the United Kingdom alone. The estimates were £1.35 billion in sales in 2005. MarketingSherpa’s research team estimated that, in 2006, affiliates worldwide earned US$6.5 billion in bounty and commissions from a variety of sources in retail, personal finance, gaming and gambling, travel, telecom, education, publishing, and forms of lead generation other than contextual advertising programs.

In 2006, the most active sectors for affiliate marketing were the adult gambling, retail industries and file-sharing services. The three sectors expected to experience the greatest growth are the mobile phone, finance, and travel sectors. Soon after these sectors came the entertainment (particularly gaming) and Internet-related services (particularly broadband) sectors. Also several of the affiliate solution providers expect to see increased interest from business-to-business marketers and advertisers in using affiliate marketing as part of their mix.


A cooperative (also known as co-operative, co-op, or coop) is “an autonomous association of persons united voluntarily to meet their common economic, social, and cultural needs and aspirations through a jointly-owned and democratically-controlled enterprise”. Cooperatives may include:

  • businesses owned and managed by the people who use their services (a consumer cooperative)
  • organizations managed by the people who work there (worker cooperatives)
  • multi-stakeholder or hybrid cooperatives that share ownership between different stakeholder groups. For example, care cooperatives where ownership is shared between both care-givers and receivers. Stakeholders might also include non-profits or investors.
  • second- and third-tier cooperatives whose members are other cooperatives
  • platform cooperatives that use a cooperatively owned and governed website, mobile app or a protocol to facilitate the sale of goods and services.

Research published by the Worldwatch Institute found that in 2012 approximately one billion people in 96 countries had become members of at least one cooperative. The turnover of the largest three hundred cooperatives in the world reached $2.2 trillion.

Cooperative businesses are typically more economically resilient than many other forms of enterprise, with twice the number of co-operatives (80%) surviving their first five years compared with other business ownership models (41%). Cooperatives frequently have social goals which they aim to accomplish by investing a proportion of trading profits back into their communities. As an example of this, in 2013, retail co-operatives in the UK invested 6.9% of their pre-tax profits in the communities in which they trade as compared with 2.4% for other rival supermarkets.

Business Model Photo credit: thomsimonson on / CC BY-NC-ND


3 responses to “Subscription Business Model of the Future”

  1. […] Subscription Business Model of the Future August 24, 2019 […]

  2. […] to protect the Self-sovereign Identity (SSI) and provide more convenience and security as a Multi-sided platform business model we want to be Crowdsourcing the very best SaaS programs available, to make you mobile devices more […]

  3. […] is an exceptional overview of blockchain and how Self-sovereign ID works, even though “decentralised” was spelled incorrectly, I left it in it’s […]

Leave a Reply

This site uses Akismet to reduce spam. Learn how your comment data is processed.