Building Subscription Revenue with WordPress

Introduction

Subscription revenue provides predictable, recurring income that grows over time. WordPress enables various subscription models—from content memberships to software access—with plugins that handle payments, access control, and subscriber management.

Subscription Business Models

Content Subscriptions

• Premium articles
• Video libraries
• Podcasts
• Newsletters

Membership Communities

• Private forums
• Networking
• Group coaching
• Mastermind groups

Software/SaaS

• WordPress plugins
• Online tools
• API access
• White-label services

Physical Products

• Subscription boxes
• Replenishment
• Curated products

Service Subscriptions

• Ongoing services
• Maintenance plans
• Support packages

WordPress Subscription Plugins

WooCommerce Subscriptions ($199/year)

Best for: E-commerce subscriptions

• Recurring payments
• Variable subscriptions
• Free trials
• Subscription management

MemberPress ($179/year)

Best for: Content memberships

• Content restriction
• Multiple tiers
• Coupons
• Drip content

Restrict Content Pro ($99/year)

Best for: Simple memberships

• Unlimited subscriptions
• Payment integrations
• Member emails

Paid Memberships Pro (Free/Premium)

Best for: Flexible needs

• Free core
• Add-on system
• Good community

Setting Up Subscriptions

WooCommerce Subscriptions

Installation:

1. Requires WooCommerce
2. Purchase subscription extension
3. Upload and activate

Creating Subscription Product:

1. Products > Add New
2. Product type: Simple subscription
3. Configure:
   • Price
   • Billing period
   • Length (ongoing/fixed)
   • Free trial
   • Sign-up fee

Subscriber Management:

• View active subscriptions
• Pause/cancel subscriptions
• View payment history
• Send communications

MemberPress Subscriptions

Setup:

1. Create membership levels
2. Set pricing:
   • One-time vs recurring
   • Billing period
   • Trial options
3. Create rules for access
4. Build pricing page

Payment Processing

Stripe

• Handles subscriptions natively
• Automatic billing
• Failed payment handling
• Global payments

PayPal

• Subscription support
• Wide adoption
• Buyer trust

Setting Up Recurring Payments

1. Connect payment gateway
2. Configure subscription settings
3. Enable automatic renewal
4. Set up failed payment handling

Reducing Churn

Understanding Churn

Voluntary Churn:

• Customer cancels
• Value not perceived
• Budget constraints

Involuntary Churn:

• Failed payments
• Expired cards
• Technical issues

Churn Reduction Strategies

Improve Value:

• Regular new content
• Community engagement
• Exclusive benefits
• Member feedback

Technical Solutions:

• Dunning (failed payment recovery)
• Card update reminders
• Grace periods
• Pause option

Communication:

• Onboarding sequences
• Usage reminders
• Win-back campaigns
• Exit surveys

Dunning Best Practices

When payments fail:

1. Immediate retry
2. Email notification
3. Retry in 3 days
4. Second notification
5. Final retry
6. Account pause
7. Win-back attempt

Pricing Strategies

Monthly vs Annual

Monthly:

• Lower commitment
• Easier to start
• Higher churn risk

Annual:

• Better cash flow
• Lower churn
• Offer discount (2 months free)

Tiered Pricing

Pricing Psychology

• Anchor with highest tier
• Highlight recommended option
• Show savings on annual
• Free trial reduces risk

Metrics to Track

Key Subscription Metrics

MRR (Monthly Recurring Revenue): Total monthly subscription revenue

Churn Rate: Percentage canceling per month

LTV (Lifetime Value): Average revenue per subscriber lifetime

CAC (Customer Acquisition Cost): Cost to acquire new subscriber

Healthy Benchmarks

• Churn: Under 5% monthly
• LTV:CAC ratio: 3:1 or better
• Growth rate: Positive MRR growth

Frequently Asked Questions

How do I price subscriptions?

Research competitors. Calculate costs. Test different points. Annual should save 15-20% vs monthly.

What's a good churn rate?

Under 5% monthly is healthy. Under 3% is excellent. Over 10% is problematic.

Free trial or no?

Trials increase signups but may attract non-serious users. Test for your offer.

How do I handle cancellations?

Offer alternatives (pause, downgrade). Exit survey. Win-back sequence later.

Key Takeaways

• Subscriptions build predictable recurring revenue
• Choose plugin based on business model
• Payment gateway handles recurring billing
• Churn reduction is critical for growth
• Annual pricing improves cash flow
• Track MRR, churn, and LTV religiously
• Focus on value to retain subscribers

Next Steps

Define your subscription offering. Choose appropriate plugin. Set up payment processing. Create compelling pricing page. Launch and optimize based on metrics.

Meta Description: Build recurring subscription revenue with WordPress. Learn plugins, pricing strategies, churn reduction, and metrics for subscription success.

Keywords: wordpress subscription, recurring revenue, membership revenue, subscription business, woocommerce subscriptions