What Is Subscription Management Software?
Subscription management software is designed for businesses whose services are rendered on a subscription basis. The software enables users to create unique subscription plans, manage recurring payments, billing, invoices, new sign ups, free trials, and more. Subscription software collects user data enabling businesses to track the number of customers subscribed, subscription type, or any special offers included in their contracts.
How Does Subscription Management Platform Work?
Subscription management systems integrate with payment gateways and accounting tools to cater to the requirements of subscription-based services. It collects and maintains all the information related to the user's subscription plans and billing details.
Moreover, subscription billing software integrates with multiple other software such as payment, accounting, and taxation software to address the ever-changing demand of subscription-based businesses.
Why Use Subscription Management System?
Subscription management systems can help businesses in multiple ways, such as:
- Store payment data
- Automate billing and invoicing
- Manage cancellations and refunds
- Create unique pricing plans
- Automate payment reminders
- Create discount coupons
- Monitor subscriber accounts
- Track subscription plans renewal
Key Features of Subscription Management Software
Here are some common features you get in subscription management systems:
- Conversion Tracking: Conversion tracking makes it easy for businesses to track new signs ups and purchases and measure the efficacy of marketing campaigns. The data can be used to improve inbound and outbound marketing campaigns and enhance sales conversions.
- Subscription Plans Management: Subscription management platforms have plan management modules to create customized subscription plans for customers. It allows businesses to create subscription plans for different contract tenure, price plans, features, payment methods, etc.
- Plans Lifecycle Management: The solution makes it easy for businesses to manage different subscription plans within a single platform. It enables them to make necessary updates to the user's subscription account, including plan renewals, cancellations, pricing, payment methods, etc.
- Invoicing and Billing: Subscription billing platforms enable enterprises to send automated invoices to customers every time they subscribe, renew or cancel their services. It eliminates any need for manual invoicing.
- Customer Management: Organizations can create separate portals for every customer to manage their subscription plan. It helps them maintain every customer database, check for outstanding payment, track cancellation, etc., at a single platform.
- Automated Emails: Subscription management software allows businesses to send automated emails and messages every time a payment is made or canceled by customers.
- Dunning Management: Businesses can easily notify customers if the payment fails and can also charge a minimal amount in case of the decline of user’s credit card. Moreover, they can notify customers about outstanding payments as well.
- Customization: Customization feature enables users to customize and personalize emails and invoices with multiple templates. It helps in maintaining brand consistency and improving customer experience.
Benefits of Using Subscription Management Software
Subscription management tools can prove to be beneficial for subscription-based businesses in multiple ways:
- Access to Subscribers Information: Businesses can easily access subscribers' information with the software. The demographic and personal information can be used to analyze your subscription model and ways to improve it.
- Easily Generate Discount Coupons: With membership subscription software, businesses can easily generate discount coupons and other offers. Loyalty programs help lure new customers and retain the existing ones.
- Faster Payment Collection: SaaS subscription management software facilitates faster payment collection for organizations. It enables them to send emails to customers for outstanding payments, therefore, reducing the chances of late payment collection.
- Multiple Payment Gateway Options: The system offers businesses the flexibility to your customers to choose the most affordable payment option. This enables them to save transaction costs by selecting the option that offers them lower transaction rates. Moreover, it enhances the customer experience as they can choose from multiple payment options.
- Faster Reporting: This software provides businesses with real-time reports about churn rate, monthly recurring revenue, average revenue per user, newly registered accounts, unregistered accounts, revenue generation, etc.
- Ensure Data Security with PCI Compliance: Data security becomes a prime concern while handling customer’s card details. Therefore, most subscription software solutions are PCI compliant to develop a safe payment platform for subscribers and avoid data breach.
Factors to Consider While Buying Subscription Management Software
- Users need to consider the following factors to buy the right subscription management system for their business.
- Its features must keep up with present and future demands of businesses.
- The system must be PCI compliant.
- It must provide multiple payment gateways options for customers.
- The pricing of subscription management solution must be within the budget of the users.
- Ensure the system can be integrated with other software such as accounting and taxation to streamline the overall workflow.
- It must have several templates to customize emails, messages, and invoices.
- Generate reports for churn rate, monthly recurring revenue, average revenue per user to improve business models.
- Self-service portals for customers to upgrade personal information.
Latest Trends Related to Subscription Management Software
Here are some of the popular trends related to subscription management software
- Integration with Other Gateways: Subscription management solutions can also be integrated with other gateways such as PayPal to streamline the payment process and improve customer experience.
- Mobile Accessibility: Users can access subscription apps from their smartphones and manage the complete lifecycle of their customers.
- Users Card Information: Subscribers can now make payments easily after the payment fails as the system can store all their essential information. This eliminates the need to re-enter card details to make payments and saves their valuable time.