Our Investment in Blaize: The British Company Powering the Subscription Economy
The new norm
Subscriptions have become the new norm. These days anything from shaving products to food groceries and even a box of ‘cosiness and happiness’ are being offered on a subscription basis.
With 85% of Europeans having signed-up to at least one service and the average person estimated to have subscribed to more than 3 different services, its not hard to see why more businesses are taking notice of the fast-paced rise of the subscription economy.
The concept of selling via subscription is certainly not new. The last decade is full of examples of industries that have made this transition — from car ownership and document storage/collaboration to software licensing itself.
More recently, digitally native pioneers such as Netflix and Spotify in media/entertainment and Amazon in retail have elevated this effort to new heights; to the point that they have become ingrained in the very core of consumer spending DNA.
Businesses of Tomorrow
This emerging shift by consumers to a more personalised, highly accessible, pay for what you want philosophy is reshaping the environment for most businesses today.
It is no wonder then that researchers and strategists suggest businesses need to fundamentally change by replacing the old product-centric view of customer engagement with a more fluid subscriber-experience led model.
In fact, Gartner predicts that in 2020, more than 80% of software businesses alone will have switched to subscription-based models. Meanwhile, Zuora’s Subscription Economy Index shows subscription businesses grew revenues 5 times faster than the S&P 500 company revenues last year.
Nevertheless, even subscription businesses’ with “one-size” fits all strategies won’t be able to keep pace with this new era of dynamic and customised digital experiences and offerings at scale.
Blaize: Powering the Subscription Economy
With that in mind, today we’re thrilled to announce that we have led a £2.5M seed round in Blaize, customer experience platform for the subscription economy.
The UK SaaS platform is on a mission to support the change in consumer behaviour by tackling some of the most pertinent pain points faced by companies switching to a subscription-based business model.
Blaize empowers businesses to design and roll-out highly personalised digital subscription journeys through code-free, drag and drop functionality that can deliver a dynamic trial, sell and up-sell journeys in real-time.
The company enables publishers and brands to quickly create custom digital subscription offerings at scale without technical infrastructure changes — resulting in double-digit percentage increases in monthly revenue and renewals.
Since launching in 2018, Blaize has rapidly positioned itself as a category leader and serves global brands including NewsCorp, and DC Thomson amongst others.
For Nauta, it was clear from our first meeting at SaaStock in 2018, that Blaize and its Founder and CEO, James Henderson, were going to be a great fit with us.
Not only, has the company achieved fantastic commercial traction in a short space of time, but they did that without any external funding. That, for us, is capital-efficiency at its best!
Join us in welcoming James and the entire Blaize team to our community. as we partner with Blaize on this exciting journey.