Episode
The Subscription Economy That Runs on Razor Blades
- Podcast
- Business Models Explained with Fexingo: Subscription, Marketplace, SaaS, and Service Companies
- Published
- Jun 3, 2026
- Duration seconds
- 473
- Processing state
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Summary
Episode 28 of Business Models Explained with Fexingo. Lucas and Luna break down the 'razor-and-blades' model and its modern subscription successors. They use the durable example of Gillette — how King Gillette invented a disposable blade that required a reusable handle, creating a century of recurring revenue. Then they trace the model into software (Adobe's Creative Cloud pivot in 2013) and consumer goods (Dollar Shave Club's direct-to-consumer disruption). They discuss the economics: customer acquisition cost, lifetime value, churn, and the psychological lock-in of sunk-cost handles. Finally, they question whether the model is sustainable in an era of subscription fatigue. No ads. Support at buy me a coffee dot com slash fexingo. #RazorAndBlades #SubscriptionModel #Gillette #KingGillette #AdobeCreativeCloud #DollarShaveClub #CustomerAcquisitionCost #LifetimeValue #Churn #SunkCost #SubscriptionFatigue #BusinessModel #RecurringRevenue #DirectToConsumer #Business #BusinessPodcast #FexingoBusiness #Podcast Keep every episode free: buymeacoffee.com/fexingo