What features do subscribers want?

Subscribers expect a baseline of flexibility and control over their entire experience, from how they pay to how they are contacted. The data reveals a significant gap between the features consumers prioritize and what they currently receive — especially regarding subscription management.

of consumers report currently having the ability to pause their subscription

The single most desired subscription option is the ability to pause or cancel flexibly (55%). Yet, a mere 37% of consumers report currently having the ability to pause their subscription. This "pause gap" is one of the most significant findings of the study. Subscription pauses are here to stay, as usage surged by 68% year-over-year in 2024, with the digital media and entertainment category experiencing an extraordinary 330% increase.

However, having the option to pause doesn’t mean that subscribers will actually use it. A large portion of those with the option never actually do.

Pause length used per vertical

Vertical
< 1 month
1 month
2 to 3 months
4 to 5 months
6 months
Never paused
Beauty
12%
22%
10%
12%
6%
30%
Consumer goods & retail
18%
15%
18%
15%
9%
24%
Food
5%
21%
13%
4%
5%
45%
Gaming
14%
14%
14%
14%
6%
34%
Health & fitness
13%
16%
18%
20%
4%
24%
In-person entertainment
18%
3%
20%
8%
5%
30%
News/Reading
10%
17%
14%
9%
9%
40%
Pet products
15%
13%
15%
13%
7%
33%
Software
15%
15%
13%
18%
10%
19%
Streaming audio
4%
13%
12%
0%
4%
65%
Streaming video
13%
17%
12%
6%
5%
40%
Travel
11%
11%
22%
22%
6%
25%
Wine/Alcohol
13%
10%
23%
13%
5%
28%

Forcing customers to cancel when they simply need a temporary pause leads directly to unnecessary churn. Offering a simple, user-friendly pause option builds goodwill and acknowledges the reality of subscribers' changing needs, seasonality, and financial situations. Recurly’s own data backs this up as well, with 20% of all acquisitions being returning subscribers. Over $200M was generated from subscribers who re-subscribed after pausing. Businesses offering a pause option saw 25% of subscribers pause instead of canceling.

These pausing capabilities should be tested and honed to your specific audience, as one of our panelists laid out in his response:

Instead of building complex, point-based systems, brands can use Recurly Engage to deliver the personalized discounts, special offers, and pause options that subscribers truly value. By sending targeted promotions based on subscriber behavior — such as an anniversary discount or a one month pause offer for at-risk customers — businesses can build the kind of loyalty that directly impacts the bottom line.

Payments and communications

Payment flexibility is another critical demand. Nearly half of consumers (48%) identify multiple payment methods as a top-two most important option when considering a new service. While most subscribers prefer debit or checking cards (31%) and credit cards (23%), other players are on the rise.

Preferred payment options

0%

Debit/Checking

0%

Credit card

0%

PayPal

0%

Digital wallet

0%

In-app payments

This coincides with Recurly’s own data, as we’ve seen dramatic changes in how customers approach alternative payment methods (APM)/digital wallets (Apple Pay, Google Pay, etc.). There was a 19% year-over-year (YOY) increase in APM usage, and it continues to rise. Offering these flexible payment options requires a platform that can handle the complexity.

Recurly’s global payment orchestration simplifies subscriber-friendly payments with alternative methods, optimized gateways, and convenient wallet options. It also tackles hidden churn drivers like failed payments. With advanced dunning, intelligent retries, and other tools, Recurly saves an average of 72% of at-risk subscribers annually.

When it comes to communication, subscribers value a clear and purposeful approach. Email is still king when it comes to communication, however, tides are turning. Nearly half (46%) prefer receiving direct emails, while 38% favor text messages or in-app notifications. Their primary interest is in receiving information that provides tangible value, such as special offers and discounts (49%), or is essential to their account, like billing information (44%).

Communication method
Total respondents
U.S.
Europe
Direct emails
46%
41%
52%
Text/SMS
19%
24%
12%
In-app notifications
19%
18%
19%
Phone calls
7%
9%
4%
Newsletters
4%
3%
6%
Community forums
3%
3%
3%
Other (Please specify)
0%
0%
0%
None of the above
2%
1%
4%

Text/SMS notifications are far more widely embraced in the U.S. compared to Europe. However, in-app notifications enjoy strong popularity in both regions, a trend we anticipate will grow as more users shift toward managing their communication, billing, and plan details directly within apps.

Brands should immediately prioritize implementing flexible pause options. This is low-hanging fruit to reduce churn, improve customer satisfaction, and build a reputation for being customer-centric.

The payment process must be frictionless and support a variety of methods. Finally, communication strategies should be re-evaluated to be more direct, and focused on delivering clear value (discounts, exclusive products, limited offers) and tailored to specific audiences.

sales@recurly.com

+1.844.732.8759

recurly.com

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