The global subscription market is filled with opportunity, yet fraught with complexity. We recently sat down with a group of product leaders at Netflix, The New York Times, YouTube, Hello Fresh, and more brands who are at the forefront of this expansion.

A theme quickly emerged: while domestic markets are becoming saturated, the path to international growth is rarely a straight line. 

From navigating payment landscapes to understanding buying behaviours, expanding a subscription business across borders presents a unique set of challenges that demand a strategic, localised approach.

Keep reading to get the key takeaways of this roundtable, or check out the full report for (even more) more insights: The state of subscriptions: Slowing domestic markets, complicated international markets.

Key takeaways

  • Move beyond a one-size-fits-all mindset: A nuanced, localised strategy is essential for navigating the complexities of international markets

  • Make precise geographic bets: Focus on targeted rollouts rather than attempting a blanket, global launch

  • Understand local buyer behaviour: Recognise that purchasing habits are often seasonal and highly price-sensitive in many regions

  • Prepare for technical and regulatory hurdles: Proactively address the unique payment systems, data laws, and compliance requirements of each new market

  • Prioritise agility: The ability to quickly adapt to local market dynamics is crucial for sustainable international growth

The challenges of global expansion

With domestic markets showing signs of saturation, the goal of expanding internationally is stronger than ever. While Simon-Kucher highlights that 42% of Americans feel they have too many subscriptions, our roundtable experts noted that they still see about 60-70 percent of all subscribers coming from the U.S. — even after localising for new regions.

Each new market presents a distinct operating landscape. Buying behaviour, for example, can be dramatically different. In Latin America and parts of the Asia Pacific region, consumers are often more price-sensitive and their subscription habits can be episodic. 

As our very own Hannah Wheeldon, Principle Customer Success Manager, explained, “You cannot ship the same offer everywhere; first we test what ‘price power’ exists in each market before launch.” 

This often means that while introductory offers generate a spike in sign-ups, converting users to full-price subscribers is a major hurdle. Across all industries, an average of 66% of cancellations occur within the first year. Sharing value from day one is key. 

Beyond consumer behaviour, the payments and tax space is another obstacle. Every country has its own systems, from SEPA in Europe to PIX in Brazil and UPI in India. Add to this any  local data protection regulations, which can mean three to six months of preparation per market, and the scale of the challenge becomes clear. 

So, how can businesses overcome these hurdles? This is where a robust subscription management platform like Recurly becomes essential. 

By providing the flexibility to manage multiple currencies, payment gateways, and compliance requirements from a single platform, Recurly helps you streamline international operations. Our platform is designed to handle the complexities of localisation, allowing teams to quickly test pricing models, bundle offers, and adapt to the unique demands of each market without requiring a complete system rebuild every time.

A playbook for success

Successfully navigating these challenges requires a strategic shift. Instead of a broad, all-encompassing rollout, leaders are now focusing on geographic bets. As Roshan Poojary, Product Lead at The New York Times, shared, “We’re mapping strong English-speaking markets like India first, even if that means a multi-year project.” This targeted approach allows businesses to establish a strong foothold before scaling.

A key component of this strategy is developing a repeatable 90-day expansion plan that addresses technology, compliance, payments, and marketing for each new market. This blueprint enables teams to launch efficiently and learn quickly. 

In the initial stages, the focus shouldn't be solely on subscriber numbers, but on the success of the activation strategy and the alignment of payment methods with local expectations.

Monetisation also needs to be modular. A universal pricing tier rarely works across different economies. Instead, businesses must create a flexible pricing architecture that could include ad-supported tiers, micro-subscriptions, pay-as-you-go options, and family bundles. The goal is to give every wallet an entry ramp. With Recurly, businesses can rapidly deploy and adapt these diverse pricing and packaging strategies, ensuring they can respond to market feedback in days, not months.

Finally, building long-term value is critical. The old model of offering the best deals only to new customers is fading. As one expert noted, “Loyal subscribers now ask, ‘Why am I paying more than a brand-new customer?’ The loyalty-penalty is real.” To combat this and reduce churn, businesses must focus on rewarding loyalty and delivering a personalised experience through curated content and unique user journeys.

Conclusion

The conversation around global expansion has shifted. The complexities of diverse consumer behaviours, payment systems, and ever-changing regulations mean that a thoughtful, localised strategy is essential for sustainable growth. 

The one-size-fits-all approach is a relic of the past: agility, precision, and a deep understanding of the unique dynamics of each market defines success in today's subscription economy.

Want to learn more? Explore the findings from our roundtable discussion in the report, The state of subscriptions: Slowing domestic markets, complicated international markets.