This story appears in the May issue of Utah Business. Subscribe. 

According to an April 2022 press release from market intelligence firm The Business Research Company, the subscription-based business model is growing rapidly and is expected to continue gaining momentum as different industries shake up traditional revenue models. 

Whether software, meal delivery or another vertical, subscription-based businesses can run the gamut in terms of their offerings. Customers of any industry benefit from no-fuss auto-renewals and more personal relationships with brands. At the same time, the businesses generate predictable revenue and consistent customer engagement. 

The April statement projects that the subscription market size will likely reach $904 billion in 2026. The Business Research Company experts attribute this growth to several factors, but the top three reasons are that online shopping increases convenience, reduces reliance on store visits and lowers travel costs.

American Fork-based LitJoy Crate, serves as an example of this trend. Amid the subscription-box boom of 2016, two avid readers, Kelly Dearth and Alix Lewis Burrows, found themselves captivated by an idea that would revolutionize how book lovers engaged with their favorite stories.

LitJoy Crate offers a quarterly book-only subscription box, To Bee Read. Through sub-licensing, they work closely with authors and publishers to create LitJoy Special Editions of books, which can include author signatures, author letters, tip-in art and redesigned dust jackets. Community members with more voracious appetites can upgrade to the standard or deluxe book boxes, allowing for box customization and adding exclusive merchandise to their monthly deliveries.

While digital and audio versions of books are increasingly popular, Burrows says readers like herself share one commonality that drives the success of their subscription offering — they value a physical product.

“We genuinely love the feeling of holding a book in our hands and then getting lost in a fictional world,” Burrows says. “When we started LitJoy, we knew that our passion was not ours alone. Millions of readers out there collected books to be held in their hands while reading. Now, don’t get me wrong, I love listening to a good audiobook as well, but that culture of collecting books prevails in our community. They like to finish a book and put it on their shelf for display.”

With this preference in mind, LitJoy’s subscription boxes incorporate a wide variety of bookish merchandise for readers to display, including shelf decor, bookmarks and even wearables. Per Burrows, their readers’ most loved non-book products are their high-end collectible Storybook Key Collection and Bookshelf Alleys.

Central to LitJoy’s success is the community created by its boxes and the close relationships built with featured authors. As they get design feedback from authors and feature them on The LitJoy Podcast and blog, Burrows says they develop invaluable relationships. Then, as packages go out each quarter, the communal experience brings fans and creators together. 

LitJoy’s social media presence has particularly helped cultivate a vibrant and engaged audience. 

“The (LitJoy) online community is huge,” she says. “We love our community of readers. And while we could technically call them all ‘customers,’ they’re more than that for us. Their continued loyalty and excitement over LitJoy is how we drive sales.”

Eight years in, LitJoy keeps its community front and center by demonstrating a deep understanding of and appreciation for the books and fandoms in its inventory. 

“Fans can tell when a company understands the source material and are fans as well,” she says. “We make sure that each book and product we create reflects the original story and author’s work with thoughtful precision.”

Looking ahead, LitJoy has ambitious plans for the future. With a growing interest in romance novels sparked by conversations on social media, Burrows is confident that LitJoy will expand its offerings in this genre while continuing to explore new avenues such as self-publishing and indie authors.

Ultimately, LitJoy’s fate lies in staying relevant to its faithful community members.

As Burrows says, “We will go where the readers go.”