Amazon shoppers use Subscribe and Save for recurring orders on essentials, with 23% of U.S. customers subscribed in 2024, benefiting from discounts up to 40%.
Amazon faces increased competition in the retail space, making customer retention more important than ever. One way Amazon keeps shoppers engaged is through Subscribe and Save, its recurring order program.
Many shoppers rely on the Amazon program for essentials like pet food, shampoo, and household items. However, concerns over price increases and excess supply have led some to cancel their subscriptions.
Despite some lapses, Subscribe and Save remains a key driver of loyalty. In 2024, 23% of U.S. Amazon customers had an active subscription, showing steady growth. Even past users still spend more on Amazon than those who never used the program.
Amazon’s Subscribe and Save Program Growing Steadily
A recent report by Consumer Intelligence Research Partners (CIRP) highlights the continued growth of Amazon’s Subscribe and Save (S&S) program, which allows customers to set up recurring orders for everyday essentials. The report provides key insights into how S&S impacts customer loyalty and spending habits.
Alison Roller, TechTarget"The subscription economy is reshaping consumer habits, offering flexible access over ownership. It drives convenience, loyalty and predictable revenue."
Key Highlights from the CIRP-Amazon Report
- 23% of U.S. Amazon customers had an active Subscribe and Save order in 2024, marking a slight increase over the past two years.
- 12% of customers had a past S&S order that was no longer active, showing that while some customers leave the program, they still tend to spend more on Amazon than those who never subscribed.
- Customers benefit from discounts ranging from 5% to 10% on recurring orders, with promotions offering up to 40% off for new S&S subscriptions.
- S&S customers are highly valuable to Amazon, as they spend more overall on the platform, even beyond their Amazon subscription orders.
- The program strengthens customer loyalty, making it a key part of Amazon’s growth strategy in a competitive retail market.
- Common reasons for canceling S&S orders include price increases, excess inventory, and changing financial circumstances, but former subscribers remain strong Amazon shoppers.
While some customers discontinue their S&S subscriptions, the report suggests they remain engaged buyers. Amazon continues to refine the program, balancing customer incentives with long-term profitability in a shifting marketplace.
How Amazon Shoppers Use Subscribe and Save
Amazon’s Subscribe and Save feature allows customers to schedule recurring deliveries of everyday essentials while enjoying exclusive discounts and free shipping. Here are the steps for managing your subscription, according to NewsBytes.
How to Set Up a Subscription
Open the Amazon app on your Android device and sign in. Search for your desired product and tap Subscribe and Save on its product page.
Select a delivery schedule, with options ranging from monthly to every six months. Choose your shipping address and payment method.
Review the details, including the applied discount, before confirming your subscription.
How to Manage Your Subscriptions
Navigate to Your Account or Your Orders in the Amazon app. Select Your Subscribe and Save Items to view active subscriptions.
Modify your delivery frequency, pause shipments, or cancel subscriptions anytime.
PYMNTS"Nearly 40% of Millennials Rely on Retail Subscriptions for Shopping."
How Amazon’s Subscribe & Save Program Works for Sellers
While customers readily enroll, seller participation in S&S isn’t automatic. Amazon has specific eligibility requirements. These include fulfillment history, in-stock rates, sales performance, product category, and average selling price.
Are All Amazon Sellers Eligible?
Amazon’s Subscribe and Save program is available to brand-registered sellers with accounts in good standing. If the option isn’t in your settings but you sell replenishable items, contact Selling Partner Support.
Eligible Products Requirements
- Stock Rate Must stay above 90% for the past 28 days.
- Product can’t be in the restricted category and must be under $200.
- Offer must be buyable.
Seller Performance (Last 3 Months)
- Free domestic shipping required.
- Valid tracking rate over 95%.
- Order defect rate below 1%.
- Pre-fulfillment cancel rate under 2.5%.
- On-time delivery over 93.5%, late shipments under 4%.
- Domestic delivery under 5 days.
Amazon Faces New Competition as TikTok Tests Subscription Shopping
Amazon’s Subscribe and Save program, which has long been a key driver of repeat purchases, may soon face fresh competition from an unexpected source—TikTok Shop. According to Business Insider, TikTok is testing a subscription-based purchasing feature that allows users to receive recurring deliveries of products like snacks and vitamins at a discount.
New Subscription Model Could Challenge Amazon
TikTok Shop’s new feature mirrors Amazon’s Subscribe and Save, incentivizing repeat purchases with discounts. Sellers benefit from predictable revenue and improved inventory management, a challenge many have faced due to fluctuating demand from viral videos.
Currently in testing, the feature isn’t widely available yet, but early adopters see it as a way to keep customers engaged on TikTok rather than turning to Amazon. TikTok’s growing e-commerce push could make it a serious competitor to Amazon in the subscription space, particularly for impulse and trending products.
What This Means for Amazon
Amazon’s Subscribe and Save has long been a go-to program for customer retention, offering convenience and discounts on repeat orders. However, if TikTok successfully integrates subscriptions into its shopping experience, it could draw some customers away—especially those who already use the app for product discovery.
While Amazon remains the dominant e-commerce platform, TikTok’s ability to turn viral content into immediate sales presents a challenge that could reshape how brands approach subscription-based selling.
Strategic Use of Subscribe and Save By Sellers
With TikTok testing a subscription shopping feature, Amazon sellers must refine their Subscribe and Save strategy to stay competitive. This video below features a case study our Amazon agency did showing that smart promotions led to an 85% revenue increase and a 15% rise in subscriptions in just one month.
Strategies Implemented
- Offer Discounts to Drive Sign-Ups – A 10% Subscribe and Save discount plus a 15% off first-time coupon led to more conversions and repeat buyers.
- Retain Customers with Subscription Pricing – Competitive pricing keeps subscribers engaged and reduces the likelihood of switching to competitors.
- Increase Product Visibility – Subscribe and Save items often get extra exposure on Amazon, boosting conversions.
- Cross-Sell to Subscribers – Customers who subscribe to one item are more likely to buy related products from the same brand.
- Test and Adjust Promotions – One seller’s revenue jumped from $363 to $940 in a month by optimizing coupon strategies.
