With limited time and energy to expend, convenience has become a highly valued benefit and a major driver in decision-making.
One model that businesses are adopting to create convenience for customers is the subscription business model where a business receives recurring payments over time from a customer base in return for a product or service on an ongoing basis.
This business model is preferential for some as consistent subscription payments make for better cash flow, revenue and planning. In addition, subscription business models allow for more upselling and cross-selling opportunities as you strengthen the relationships with your customers through repeat transactions.
Right now, your business may already be offering products and services regularly purchased by repeat customers - or even offering basic subscriptions. However, are you employing best business practices for a successful subscription-based business?
For a subscription to entice a customer, you’ll need to add additional value to attract them to subscribe (instead of merely making a one-off payment). Remember, there must be a reason why your customer would sign up for a payment plan and ongoing service, rather than make a once-off purchase.
Discover Ezypay’s 5 steps to a successful subscription business model below.
For a subscription to entice a customer, you’ll need to add additional value to attract them to subscribe (instead of merely making a one-off payment). Remember, there must be a reason why your customer would sign up for a payment plan and ongoing service, rather than make a once-off purchase.
Your subscription payment system may be running sufficiently now… however manual processing and tracking payments in and out of your business doesn’t leave much time to think about expansion as your customer base grows. Automating these key processes using tools like a CRM can help you save time and money and make expansion dreams possible.
When a customer creates an order, your business reacts by delivering services or shipping products. If you cannot utilise this historical order data to inform future planning, then fulfilment, resourcing, and revenue can be unpredictable. Your subscription business should be powered by a subscription platform that can readily scale up or down as demand requires.
The data that shapes your business should be accurate, relevant and timely. Your business should use tools to track the financial performance of your business over time so you can make all your decisions fueled with the confidence that accurate, reliable information brings.
The ability for your subscription business to grow comes down to the strategies you roll out today. Adopting an automated payments platform to manage these 5 steps will put your business in a better position to manage cash flow, ensuring more money is available to cover expenses and invest in new projects.
Ezypay can help you roll out these best practices in your business and set you up on the right path to building a successful subscription business model. Automating essential processes like customer sign-ups, onboarding, and failed payment handling means your subscription business is set up for success from the start – and robust enough to survive the ebbs and flows associated with any startup or mature business embracing a new model. In addition, Ezypay’s vast offering of popular, secure and compliant payment methods will never leave you (or your customer) short when making a subscription payment.