The year 2021 is not going to be ordinary. It will carry the baggage of an active pandemic, a permanent change in consumer spending, and a massive boom in subscription-based businesses. While the former two are beyond control, the latter has opened the stage for cut-throat competition in the subscription billing industry. Because it’s not about winning a customer, it’s about winning loyalty while outmaneuvering uncertainties.
To help you understand where your business stands in the post-COVID-19 era and if your subscription billing strategy is steady enough to handle the cross-current that is bound to strike in 2021, read on to know what you need to ensure on your platform’s front.
Do You have a Dedicated Subscription Billing Engine?
Unless you set your subscription rules yourself, know that you are in flawed hands. Innumerable enterprises are claiming to provide subscription billing solutions but, in reality, curtail the potential of innovative SaaS billing as you scale. And the sad part is that the psychological battle with migration hassles may keep you on the back foot when you start to think otherwise. The year 2021 will have no place for late adopters. Automation of subscription billing, freedom to set billing frequency, unsuccessful transaction management, actionable analytics for unique billing possibilities is the need of the hour.
Are You able to Gauge the KPIs of Your Subscription Business?
The purpose of advanced subscription analytics is to help you know how your subscription revenue KPIs are performing. Go back to your existing billing dashboard and calculate the below.
Suggested Read How to grow your subscription business in the pandemic?
How Agile is Your Subscription Billing System?
Upgrades, add-ons, downgrades, suspends, resumes, etc., are common instances throughout a subscription lifecycle. Categorized under operational challenges, these have a direct impact on your business’s YoY growth. Ensure your current vendor allows you to manage such processes seamlessly with a clear view of your subscription health.
Simplifying your subscription business largely depends on the customizability of your billing environment. The following factors directly indicate the customizability of your existing subscription management platform.
Auto-invoicing in subscription billing is the process of scheduling and issuing invoices in advance to a specific date and time. As simple as it sounds, check if you can do it now on your existing billing engine.
Allowing a customer to pay her bills in native currency with a preferred mode of payment is the first step towards customer retention in the subscription business. If you live in Canada and are asked to pay your bill in Dinar, do not forget the conversion fees; think about how long you can stick to that service.
Your billing engine should offer you a multi-currency feature that would let you create plans that support multiple currencies, thus allowing your customers to pay in their local currency.
Remember, enabling should be a cake-walk without any coding effort.
Mode of Payment
Credit card, debit card, electronic transfer, digital wallets, bank-based payment – you need to ensure you can bill your customers by these methods mandatorily.
Check Revenue Leakages
Get a robust notification system to notify your customers with multiple timely notifications. Bill each account on the given date and never miss a payment. Ensure follow up and payment confirmation alerts pop the notification bell on the right date at the right time.
Yearly, quarterly, monthly, fortnights, on-demand, and the list does not end here. Your billing engine must allow you to unlock all possible monetization options as the subscription will be the go-to business model for enterprises and service providers. From running promotional bundles to vouchers and coupons, ensure you have a fresh perspective of your customers and their buying potential.
Sailing the Ship during Uncertainties
- Everybody is weathering the storm. Actively listen to customers. Be patient, but don’t the distractors fool you or your subscribers.
- Ensure the resilience of your subscription payment system and get your skeleton crew ready for any unprecedented situations and market shifts.
- Track transaction response codes and stay proactive to address issues faster.
- Set short-term priorities and reallocate staff and expenses to short-term needs.
- Over-communicate and intimate your business intentions early to customers. Don’t let operational hiccups sabotage your subscriber ecosystem.
- Understand that subscription businesses are ever-evolving. So, your vendor’s product roadmap needs to evolve as per industry trends, consumer buying behavior, technological advancement, and more. Gauge if your subscription billing partner can progress and scale as you. Else, the road to achieving success in 2021 will be bumpy.
Muvi Billing is the go-to billing solution for enterprises of all sizes globally and is available for a 14-Day Free Trial. See how the subscription landscape is changing.