Best Subscription Billing Software

More and more businesses are embracing the subscription billing payment model. It allows businesses to expand their market share by offering flexible and affordable payment options to their customers. It creates predictable cash flow. It is also one of the most effective ways to control customer churn.

While this payment model does have its inherent benefits, subscription management can be complex and challenging. Payment collection must be quick, efficient and highly secure. It must be supplemented with a seamless experience during the customer journey. More often than not, businesses tend to struggle with tracking payments and managing multiple billing cycles, and also making any changes to them. For the success of this payment model, an effective subscription management system is important.

Subscription billing software can automate and streamline the entire process of subscription billing and management. Not only do subscription management software collect payments through a host of payment options, but they also manage all your subscriptions and your customers. A good subscription management solution will take over a variety of operational tasks such as activating and canceling subscriptions, making any changes to them, carrying out billing and invoicing, tracking payments and sending payment reminders, while also managing credits, discounts, promotions and even trial periods.

Most businesses just use a payment gateway as opposed to subscription billing software. Some payment gateways also have recurring billing capabilities. However, they are only a means to collect payment. Subscription billing software, on the other hand, can manage your subscriptions and your customers. This, in turn, enhances the customer experience and fosters strong relationships with them. Subscription management software allow you to focus on your product or service, rather than generating bills and tracking payments.

Features of Subscription Billing Software

Subscription billing platforms come packed with features that make the subscription payment model a successful proposition for businesses. Most effective subscription management solutions contain the following features,

1. Subscription Management: Subscription management software manages all new enrolments, cancellations, renewals, trials, add-ons, upgrades and also downgrades. They do not just act solely as a subscription billing platform, but a comprehensive subscription management solution.
2. Customer Self-Service Solutions: Subscription billing software provide self-service solutions usually in the form of customer portals that let customers manage their subscription on their own.
3. Billing Management: Most subscription management systems can handle daily, weekly, monthly, quarterly, biannual and even annual billing cycles, or any other frequency of billing that you require. Subscription billing software can also handle prorated billing, manage credits and refunds, and other such complex and off-cycle adjustments.
4. Invoice Management: Subscription management software can automatically send accurate invoices to customers in a timely manner.
5. Pricing Plan Management: They allow you to add new plans or modify existing ones. Subscription billing software even allow you to create new add-ons. Subscription management solutions do this easily while keeping the service for the existing customers uninterrupted and unaffected.
6. Dunning and Transaction Management: Subscription billing platforms can track all kinds of failed payments and follow up with customers about them. Subscription billing software also rules out any fraudulent or expired credit cards.
7. Discounts and Promotions: They facilitate discounts and promotions. Subscription billing software can generate coupons, validate them and keep track of any redemptions.
8. Multiple Payment Gateways and Methods: Subscription management software allows you to offer your customers a host of options to make payments.
9. User Roles and Access: User roles in the subscription management system can be defined for various team members and levels of access can be granted accordingly so that they can carry out their individual tasks in an accountable manner.
10. Third-Party Integration: Subscription billing software can integrate with third-party applications that may already be in use or those that you may be planning to use. They typically come with APIs that allow them to easily integrate with existing platforms and software.
11. Notifications: Subscription management software issue automatic notifications when specific events occur. This may include new subscriptions or cancellations, card expirations, etc.
12. Automated Email Communication: Subscription management software also allows you to create and customize emails that can be sent to customers automatically.
13. Checkout Page: Subscription management systems allow you to create a customer-friendly and customizable checkout experience.
14. Reporting and Analytics: Subscription management software record all kinds of data pertaining to their interactions and transactions with the customer. They can analyze all this data and present it in an insightful manner.

Benefits of Subscription Billing Platforms

Choosing the right subscription billing software can help your business immensely. Let’s take a look at some of their benefits,

1. Operational Efficiency: Subscription management software automate repetitive tasks. Human intervention is minimal. The scope of error is much less. It allows you to provide efficient, accurate and timely service to customers.
2. Cost Savings: While a manual subscription management system may seem like a cheaper option, they may end up costing more in terms of time and human resources in the long run. They may also cost you in terms of manual errors. An automated subscription management solution may be a more beneficial investment in the long run.
3. Security: They are highly secure and minimize any susceptibility to fraudulent activities while dealing with sensitive payment information and customer data. Subscription management systems are PCI compliant as is required of any system that transmits, stores or processes credit card information.
4. Improved Decision-Making: Subscription management software give you real-time access to key metrics like number of signups, periodic revenue information, and also outstanding accounts. They can provide insightful reports within minutes and facilitate decision-making.
5. Improved Cash Flow: A good subscription management system will ensure that no payment is missed. Payment reminders are sent so that timely payments are received. When transactions are declined, subscription billing platforms note it immediately and customers are contacted automatically to ensure immediate payment.
6. More Flexibility and Scalability: They give you complete control over the billing cycle and processes. You can decide when, how and why you will charge your customers. Subscription management systems also scale easily to meet growing customer demand.
7. Enhanced Marketing Efforts: We have discussed how subscription management software allow you to implement and manage discounts, promotions, and trials, easily and quickly. This, in turn, improves the efficiency of marketing efforts.
8. Improved Customer Conversion Rate: A seamless customer journey is a key to ensuring that a customer completes a purchase. With a variety of payment options and a quick, secure and efficient payment process, customers are more likely to complete payment. The automated and regular emails and reminders regarding promotions, upcoming payments, and renewals also ensure a higher conversion rate. Therefore, an efficient subscription management system can be a very profitable proposition.
9. Improved Customer Retention and Profitability: It is common knowledge that retaining customers costs much less than acquiring new ones. A loyal customer base is crucial to the survival and long-term profitability of the business. A customer-friendly subscription management system that communicates with them in a timely and effective manner can go a long way in securing customer loyalty.

Gone are the days when businesses could simply rely on a good product or service. They must provide a superior customer experience. Managing your customers well is non-negotiable. If your business follows a subscription billing payment model, a subscription management solution can go a long way in helping you build strong and lasting customer relationships.