What is the subscription model?

The subscription model is a recurring-revenue business model in which customers pay a periodic fee — monthly, annually or based on usage — to access a product or service for the duration of the subscription. Subscription dominates SaaS, streaming media, news, fintech and many B2B and B2C verticals.

Subscription contracts require careful drafting of auto-renewal terms, price-change clauses, term lengths, refunds, data-portability and termination rights. Consumer-protection law (notably the EU’s Modernisation Directive and Türkiye’s distance-sales rules) regulates auto-renewal disclosure.