8 Simple Ways To Save Money by Opting for A Subscription Management System
People adopt SaaS platforms because they want to automate all their business processes. The biggest attraction in the SaaS platforms remains:
- Speedy processing of various tasks
- Avoiding the man-made errors
- Money-saving solutions
And just like any other SaaS software, subscription-based businesses opt for the SaaS billing process automation platforms.
Like many other people, if you are also curious that how subscription billing management software to play role in making the SaaS subscription business community save money, then this article is for you.
There you go!
1. Automation of Recurring Processes
Businesses that are based on the subscription business model, need to deal with the same customer again and again because the customer needs their SaaS product or services recurrently. And when customers come recurrently with the same needs:
- They are billed recurrently
- Payments are to be processed against every invoice
- Payment recoveries need to be made
Automation itself is a money-saving option. It saves the time of the entire team. The time that you save can be spent on the core business activities that will help you earn more revenue.
Now just imagine, any mistake while billing is when managed manually needs so much energy and time. also, the chances are high that the retailer loses the customer. However, automated subscription management software saves you from all this. And your money is also not wasted.
2. Minimal Mistakes in Recurring Tasks
In the subscription businesses, processes like billing and payments are recurrent. The customers are billed recurrently. They are sent invoices every month or week, depending on the subscription plan of the customer. When such recurrent tasks are done manually, the chances of mistakes are high. And mistake while processing billing or payments mean that you are damaging your customer relations yourself. However, automated subscription management software offers the best solution to this issue. You can avoid customer churn (cancellation of subscriptions) as well as the revenue that would otherwise be gone with the customer.
3. Analytics & Reporting
The feature of analytics and reporting is very important for subscription businesses because they need to see what strategies helped them perform well in the past. According to that they plan for the future. Analytics and reporting show customer behavior. You can easily find customers who pay you regularly and timely. For instance, retailers offering subscriptions can analyze customer data and plan loyalty programs for those who pay on time. This strategy will help retailers to nurture their loyal customer base as well as encourage those who do not pay on time to pay their subscription charges on time.
4. Payment Recoveries
Just like any other business, subscription businesses also need to recover payments which can be a taxing task when done manually. Recovering payments from those who are still on board is not easy. Automated subscription business process management software offers a feature of dunning management. This feature allows users to communicate with the customer feasibly and encourage them to pay you ASAP.
Through dunning, emails or notifications are sent to the customer so that they will pay their subscription fee. The tone of the message or the emails matters the most. And these automated platforms take care of that. For humans, it is usually not possible to send all customers emails and messages and maintain a certain tone to recover payments.
5. Revenue Leak Management
Subscription businesses find it very difficult to deal with revenue leaks. The causes of the revenue leaks can be varying from late payments to customer churn rates. However, the point is to deal with these revenue leaks. And if you opt for an automated subscription management system, then it will be easier for you to fix varying revenue leaks. An automated platform offers the features of dunning management etc. These features make it easier to fix leaks in revenue and streamline the flow of recurring payments.
6. Payments Tracking
When you shift from a manual billing process to automated subscription handling, it becomes easier to track payments. And payment tracking is very crucial. Not only that you need it to improve visibility in your businesses but also to streamline payments. Many customers are out there who are involved in fraudulent activities. For instance, SaaS subscription businesses face the issue of chargebacks. Their subscribers file for chargebacks even if they are not liable to. Payment tracking helps in identifying such frauds, so revenue does not leak, and the business saves money from wasting.
7. Better Business Growth
Automated SaaS subscription management software play role in pushing business growth. If your business growth is compromised and you are still managing subscriptions from a substandard subscription management platform or not using one at all, then it is time to automate everything. For instance, the feature of analytics and reporting plays a huge role in business growth and increasing the money in the revenue stream. When business growth improves, the flow to the revenue stream automatically increases. This revenue can be saved and can be invested in other business activities.
8. Less Payment Failures
Customer churn means a leak in revenue and overall earning of a business. However, a SaaS subscription business management system can streamline everything. Payment gateways integrated with this system will minimize the chances of payment failures. How? When one multiple payment gateways are integrated and if one gateway is down, then the other can process payments and offer the best payment experience to the customers. Also, less payment failure means-maintained flow of the recurring revenue in the revenue stream and better customer retention rate.
If you want to save your money and increase the flow of payments in the revenue stream, then rather than manual billing process, opt for automated recurring billing processing.