NY Times beats forecasts, thanks to digital subscription growth

Experts from the article by Reuters on New York Post.

The New York Times Co. pleased investors with market-beating profit and revenue as digital subscriptions surged, underscoring the turnaround in its fortunes that had wavered as fewer people bought newspapers.

The publisher’s shares jumped as much as 13.8 percent, to $25.20, their highest since July 2007.

New York Times has been discounting heavily to lure more paid subscribers to its online content and is packaging its subscriptions more attractively, with access to sought-after daily crossword puzzles and cooking recipes.

The company added 157,000 digital subscribers in the quarter ended Dec. 31, taking its total subscriber count to above 2.5 million. Revenue from its digital-only subscription products, including news as well as crossword and NYT Cooking Recipes, increased 51.2 percent, to $96.3 million.

Read the full article on the New York Post

Can Vehicle Leasing Stay On Track As Subscription Models Hit The Fast Lane?

Excerpts from the article by Sarwant Singh on Forbes

It’s an alluring idea — changing your car every day (if you so desire!) without having to worry about its price, registration, financing, insurance, servicing or maintenance. Even better, this could all be yours with a couple of clicks of your smartphone. And here’s the best part: It’s a reality, with the brave, new world of car subscription having made its splashy debut in 2017.

The appeal of car subscription services lies in their simplicity and flexibility. Depending on the package and the car company, subscribers have the option of renting vehicles from a fleet, changing their vehicles based on their needs, or paying varying amounts based on the type of car they use.

Lower credit requirements, easy contractual obligations, flexible time frames and the almost all-inclusive extra services (concierge service, anyone?) have meant that car subscription is far more attractive than leasing and has none of the attendant responsibilities and hassles of outright ownership. It’s literally car-on-demand, an approach that has got leasing companies and car dealerships shaken and stirred.

But it’s not as if the leasing market is hanging up its, well, tires. Instead, a steady stream of innovative products and services, new segments and business models are transforming the vehicle-leasing market, widening its access while highlighting its continued relevance and importance to consumers and corporates.

Read the full article on Forbes

Burst Brings An Innovative Model To Subscription Toothbrushes

Excerpts from the article by Emma Sandler in Forbes

Like most success stories, it started with an idea.

"I decided one day that is wasn't right that my toothbrush didn't stand up," Hamish Khayat, founder of subscription toothbrush company Burst, says.

But that's not exactly how Burst itself began. Following his frustrated epiphany, Khayat -- a UK native -- created a standing toothbrush for kids at the age of 19. 

"I kept asking myself, was I going to stay in dentistry my whole life? And I kept saying 'no.'"

But he says he "went with it" and began to develop a serious passion for the toothbrush and oral health industry, especially when it came to problems with pricing and distribution. Now, more than seven years later, Khayat is ready for his toothbrushes to grow up.

Burst, a professional-grade sonic toothbrush subscription service, was founded in 2017 and launched in beta in August before going wide in October. The toothbrush can be bought online for $69.99 or through a dental professional for $39.99. After customers sign up, they'll receive a new brush head every three months for $6. The initial price of the toothbrush is significant to the business since Burst seeks to align itself with dental professionals and cut through the middle-man (like stores, delivery trucks, etc.) that can cause a price increase.

Many professional quality electric toothbrushes are expensive. Most Philips Sonicare toothbrushes are upwards of $100 (with several models surpassing $200) while a single model from Oral-B can range widely depending on retailers. But Khayat, with his experience in manufacturing from his earlier toothbrush company, saw a potential way to reduce cost by cutting out the middle-man within its distribution model.

Burst certainly isn't the only company to shake up the distribution model. Companies like SmileDirectClub and Dollar Shave Club have also made fortunes by tweaking this model and cutting out the middleman. 

Burst's distribution model relies heavily on dental hygienists to act as salespeople. But, Khayat is quick to point out, this is not a direct sales company -- no one is ever required to buy the product in order to sell it. "I never want [anyone] to be out of pocket," he says. The way it works is that hygienists can sign up for Burst and use the toothbrush, and after providing a review of their experience and paying a one-time fee of $20 to sign up, they can begin recommending patients to use it. Patients that sign up with a referral code from the hygienist receive the discount price and hygienists, in turn, receive a commission of that sale which they can keep track of through either an iOS or Android app.

Read the full article on Forbes