Service Subscriptions: Turning Regulars Into Members (A Guide)
- The Treue Team
- Dec 6
- 4 min read
Service Subscriptions: How to Turn Regulars into Members
You run a physical business. You have labour costs, rent, and expensive supplies like shampoo or wax. You look at the success of Netflix or the local gym and think, "That’s great for them, but I can’t afford to give away unlimited services."
It’s a common fear. But it’s also a myth that is holding you back from the most profitable business model available today.
If you are searching for a subscription model for a service business, you are ready to evolve. This guide will prove that whether you run a car wash, a barbershop, or a nail salon, you are the perfect candidate for recurring revenue. We’ll show you the math, the pricing strategy, and exactly how to make it work without losing your shirt.
Q1. "I run a [Car Wash/Barber]. Isn't this model just for software?"
No. In fact, the service industry invented the subscription long before the internet existed. Think of the milkman, the newspaper delivery, or the lawn care retainer.
The model works for any business based on "Repeat Necessity."
Does hair grow back? Yes.
Do cars get dirty? Yes.
Do lawns need mowing? Yes.
If your customers have a recurring need, you should have recurring revenue. Relying on them to manually book every single appointment is an inefficient, "hope-based" strategy. A subscription formalizes the cycle they are already in.
Q2. The Golden Rule: Is it Right for Me? (The Frequency Rule)
Not every business fits. You shouldn't offer a subscription for emergency plumbing or wedding photography.
To know if you're ready, use the Frequency Rule:
If 20% of your customers visit you more than once a month (or on a strict 4-6 week cycle), you have a subscription business waiting to be unlocked.
Car Wash: Regulars wash weekly. Perfect fit.
Barber: Regulars cut every 3-4 weeks. Perfect fit.
Mechanic: WOFs are yearly. This requires a different model (an annual "Car Care Plan"), but it still works.
Q3. "Will I lose money? What if people use the 'Unlimited' pass every day?"
This is the fear of the "Super-User." You worry that one guy will come in for a car wash every single morning and bankrupt you.
In reality, usage follows a bell curve.
The Super-User: Visits 8 times a month. (You break even or lose slightly).
The Average User: Visits 3 times a month. (You make a healthy profit).
The Light User: Visits 1 time a month but pays the sub fee because they like the "option." (You make massive profit).
The light users subsidise the heavy users. Plus, members are your most profitable customers because they are "locked in." They buy more upsells (wax, beard oil, retail products) because the core visit feels "free." But the reality is, you can create custom subscriptions that are limited on a usage basis. The unlimited pass idea isn't suited for all business types.
Q4. "How do I price it so it's a win-win?"
You need a price that feels like a deal for the customer but protects your margin. The standard formula for an unlimited service subscription is 2.5x to 3x your single visit price.
The Pricing Math:
Car Wash Membership (The "Twice-a-Month" Model):
Single Wash: $20
The 'Sparkle' Membership: $35/month (Includes 2 Washes).
Why it works: The customer saves $5 on two washes, so it's a no-brainer deal. You lock in $35 of guaranteed revenue every month, stopping them from skipping a wash or going to the competitor down the road.
Barber Subscription (The "Maintenance" Model):
Single Cut: $40
The 'Sharp' Membership: $40/month (Includes 1 Cut + Free Neck Trims + 10% Product Discount).
Why it works: You aren't discounting the cut; you are adding value (neck trims take 5 mins). The win for you is frequency. Instead of that client stretching their cut to every 6 or 7 weeks (visiting ~8 times a year), they pay you every single month (12 times a year). You increase their annual value by 50% just by locking in the schedule.
Q5. "How does this actually increase Lifetime Value (LTV)?"
The biggest hidden cost in a service business is "The Drift." A regular customer likes you, but they aren't married to you. If you're busy, or they're in a different suburb, they might cheat on you with a competitor. You might only capture 60% of their annual spend.
A subscription stops the drift. Because they have pre-paid, they have a sunk cost. They will drive past three other car washes to get to you because it's "free." They will wait for an appointment with you. You capture 100% of their wallet share for that service, instantly increasing their customer lifetime value.
Conclusion: Stop Selling Visits, Start Selling Outcomes
A subscription allows you to stop selling "a haircut" and start selling "always looking sharp." It stops selling "a car wash" and starts selling "a perpetually clean car."
This shift is powerful. It aligns your revenue with the value you provide.
Don't let the fear of "over-use" stop you from building the most resilient business model in the world. Your regulars are already waiting for it.
Ready to turn your service business into a subscription engine? Treue makes it simple to launch memberships for barbers, salons, and car washes. Explore our features and start using Treue today.
Want to read more?
We appreciate you taking the time to read. The next step is implementation. Dive into these curated guides to continue building a resilient, weatherproof business:
