Autoship & Save | Liki24

Build one ROI-positive retention initiative for Liki24.de | By Yevhenii Holovei

ROI Positive
Retention Initiative
Web + App
PM Test Task
$103.89Incremental LTV / User▲ $214 → $318 total LTV
~$19.8KCohort Net ROI (Jan '26)191 subscribers × $103.89
15%Target Activation Rateof eligible repurchase users
10%Autoship Discount$51 AOV → $45.90 per order
01.

Why This Initiative

Why Autoship & Save

Four structural advantages that make this the strongest retention lever

Behavioural lock-in at the product level

Creates a predictable restocking habit tied to a specific product -- not to a discount or campaign. Customers opt into a repeating behaviour. This is the strongest and most durable form of retention.

Widest addressable audience -- web + app

Works across both surfaces, maximising the eligible user pool from day one. Yearly Membership (mobile-only) was immediately deprioritised for this reason alone.

Self-selecting mechanic

Only products with genuine repeating demand qualify -- filtered via Product repurchase % from Bestsellers data. This avoids cannibalising one-off category buyers and targets the highest-intent users.

Measurable, experiment-ready, attributable

Unlike Personalised UX, every key metric -- frequency delta, subscription churn, LTV uplift, cannibalization -- has a clean formula and maps directly to an A/B test cell.

Alternatives Considered & Rejected

Why the other three directions were deprioritised

InitiativeDecisive WeaknessVerdict
Yearly Membership7% discount | app-onlyMobile-only caps TAM. Annual commitment is a high entry barrier.
Rejected
Personalised UXTop-category experienceImproves experience but creates no obligation. Impact is indirect and hard to isolate.
Rejected
Smart Re-purchase TriggersBehavioural push/emailNo customer commitment. Notifications decay in effectiveness over time.
Rejected
Autoship & Save10% off | web + appCannibalization risk -- manageable via A/B test with proper control group.
Selected
02.

Target Segment

Segment Definition: Product Repurchase ≥ 20%

Why product-level repurchase rate is the right filter -- not category volume

The Bestsellers file contains a Product repurchase % column -- the only signal that directly measures repeat buying behaviour at the SKU level. Customers with repurchase ≥ 20% are already self-returning; Autoship formalises and accelerates that pattern.

Why NOT category rank alone: Antiparasitic is #1 by order volume (1,824 orders) but repurchase is only 1–7%. Offering Autoship there is a pure margin discount with zero behavioural additionality.

Cohort sizing -- Jan 2026: 4,247 total → ~30% eligible (~1,274) → 15% activation → ~191 autoship subscribers

ProductRepurchase %Autoship Fit
Maraton Forte54%Strong
Power V841%Strong
Minus 3033%Good
Magiun afrodisiac27%Good
Pharmatex22%Marginal
Antiparasitic category1–7%Exclude
03.

Core Hypothesis

LTV Uplift Hypothesis & Model

If users with repurchase ≥ 20% switch to Autoship at 10% off, frequency + retention gains will outweigh the discount cost

FormulaIncremental LTV = AOV × (1 − 0.10) × freq × 1.10 × retention_autoship − AOV × freq × retention_baseline
VariableValueBasis
AOV$51Average across cohorts
freq_baseline1.05 /monthJan 2026 cohort actuals
retention_baseline4 monthsHistorical baseline
retention_autoship6 monthsTarget (Amazon analogue)
Discount10%Activation optimisation
Frequency uplift+10%Monthly order rate target
Result -- Incremental LTV per user+$103.89= (51 × 0.90 × 1.05 × 1.10 × 6) − (51 × 1.05 × 4)
LTV grows from $214 → $318 per customer. The 10% discount is fully recouped through higher frequency (+10%) and extended platform life (4 → 6 months).
04.

Success Metrics

Northstar Metric

Primary Metric

LTV uplift > Discount cost + Cannibalization. Measured via A/B test. Large cannibalization will destroy gross margin even if subscription LTV looks positive on paper.

Early Stop Condition

Stop test immediately if gross margin in the test group drops >3% vs baseline.

MetricTargetWhat it signals
Autoship Adoption Rate≥15%Offer resonance
Autoship vs non-Autoship LTV+15–25% benchmarkIncremental value
Active at 1 / 3 / 6 monthsMonitor churn curveRetention quality
Orders/user (test vs control)+10% vs baselineFrequency uplift
Cannibalization Rate<30%Margin protection
Subscription Cancellation Rate<35–40%Product-market fit
05.

UX Flow & Product Design

Purchase & Subscription Flow

End-to-end user journey across 6 core states

1
Entry Point -- Product Page
Two purchase options side-by-side: One-time ($51) and Autoship & Save 10% ($45.90). Recommended delivery interval pre-populated. Cancel / Skip anytime surfaced prominently to reduce commitment anxiety.
Web + App
Frequency dropdown
Cancel anytime
2
Add to Cart
Cart treats Autoship as a standard line item. Savings surfaced as a concrete number: "You save $5.10 every delivery." UX principle: looks and feels like a regular purchase.
3
Checkout
Identical to standard checkout. A compact "Subscription summary" block is appended: cadence, next date, discount. No separate subscription checkout -- eliminating friction is paramount.
4
Order Confirmation
Confirms both the order and subscription creation. Next delivery date surfaced immediately. CTA: "Manage subscription" -- anchoring the expected next step from day zero.
5
Subscription Management
New "Subscriptions" section in account. All actions in 1–2 clicks: Skip next / Change frequency / Change quantity / Cancel. Frictionless control builds trust and reduces reactive cancellation.
1–2 click rule
Full self-serve
6
Automated Delivery Cycle
Order auto-creates → charges → ships on schedule. Zero customer action required -- this is the core value proposition.
06.

ROI Logic

Revenue ROI Model -- Jan 2026 Cohort

Bottom-up from cohort sizing to net incremental value across three activation scenarios

Conservative Case~$9.9K10% activation | 96 subscribers

Below activation target. Initiative is still ROI-positive but signals the offer needs iteration -- likely on discount size, placement, or SKU selection.

Base Case~$19.8K15% activation | 191 subscribers

4,247 cohort → ~1,274 eligible (30%) → 191 subscribers. Net ROI per user $103.89 → cohort total $19,826.

Upside Case~$33K20% activation | 255 subscribers

Strong product-market fit. Validates scaling Autoship to a broader SKU catalogue and potentially increasing the discount in A/B iteration.

All figures are Revenue LTV, not Profit LTV. Margin impact of the 10% discount and cannibalization must be modelled against actual category gross margin data before final go/no-go.

07.

Key Risks

Risk Assessment

Five key risks ranked by combined probability × impact -- with mitigation strategies

Cannibalization
Critical

Customers who would have purchased anyway receive a 10% discount -- pure margin destruction. Must be isolated via A/B test with a clean control group. Treat incremental orders, not total subscriber orders, as the numerator.

High Cancellation Rate
Warning

Even eligible products (repurchase 20–54%) still have 46–80% of customers who don't return regularly. Track cancellation rate by delivery cycle -- a spike at cycle #2 signals frequency mismatch.

Low Activation Risk
Low

10% may be insufficient if users distrust auto-billing. Mitigate with: prominent "Cancel/Skip anytime" copy, A/B test on discount size (0% vs 5% vs 10%).

OOS on Delivery Day
Low

Autoship creates predictable demand but requires predictable supply. Mitigate with proactive email 5 days before if SKU is at risk of OOS.

DE Regulatory
Low

German law may restrict auto-billing for certain near-prescription categories. Mitigate with legal review before launch; start with clearly non-regulated SKUs.

08.

Experiment Design

A/B Test Structure

Three-cell design to isolate the mechanism effect from the discount effect | Min. 8 weeks | 2 delivery cycles

Control34%
Standard Checkout

No Autoship option shown. Establishes the true repeat-purchase baseline without any intervention. All uplift in test cells is measured relative to this group.

Test A33%
Autoship -- 0% Discount

Autoship mechanic with no financial incentive. Tests whether convenience alone drives subscription adoption and what frequency uplift it produces.

Test B33%
Autoship -- 10% Discount

Full offer: convenience + 10% discount. Tests whether the financial incentive provides incremental activation lift above convenience alone.

PopulationRepeat buyers of qualifying SKUs, ≥2 orders in last 90 days
Randomisation unitUser ID -- prevents cross-group contamination
Duration8 weeks minimum (covers 2 full delivery cycles)
Traffic split34% / 33% / 33%
Expected cohort~2,000–4,000 new eligible users/month
Significance thresholdp < 0.05 for primary metrics
PM Test Task -- Retention Initiative for Liki24.de | Author: Yevhenii Holovei | Initiative: Autoship & Save | Scope: Web + Mobile App | Financial projections are based on provided cohort data. All LTV figures represent Revenue LTV.