4 Signs it’s Time to Implement a Subscription Management System
So, you’ve established a thriving B2B enterprise providing subscription-based services to clients within your target market – good job! At the same time, success inevitably brings problems of progress to light. When your company relies on a subscription-based business model, an expanding client base can rapidly ramp up the complexity of your day-to-day operations.
It’s a good problem, no doubt, but a problem nonetheless. Thankfully, there are innovative solutions available that can make subscription management a breeze. But how can you be sure that you need this kind of service?
Well, if any of the experiences below sound familiar, there’s a good chance you do. Here are four signs it’s time to implement a subscription management system.
- You struggle to find all of your company’s subscriber’s statuses
- You have more than a dozen subscription types
- You frequently make changes to your plans and offers
- You find it hard to track your customer lifecycle
1. You struggle to find all of your company’s subscribers’ statuses
When you’re in the business of providing software as a service, you must be able to keep your finger on the pulse of your client community so that you can cater appropriately to their needs. That means you should be able to quickly and easily get your hands on information regarding the status of your subscribers whenever you need it. If this is proving difficult, you likely need a subscription management system that can give you more control over your subscription stack.
Among a variety of other features, these systems include an impressive and useful lookup function that allows you to access a subscriber’s information in a couple of clicks. This will save you a lot of headaches and potentially an embarrassing moment or two when dealing with clients.
2. You have more than a dozen subscription types
Does your business offer a variety of different subscription types, each at its own price point and with its own unique set of features? With subscription-based pricing models, it’s easy to get lost in the weeds when trying to manage clients because you’re dealing with a large volume of data with a high level of variance. If your company offers tier-based subscriptions with different levels of service, then upselling is likely an important part of your overall business model.
However, doing this effect on any significant scale becomes close to impossible without appropriate software. Subscription management systems help you understand exactly where clients are within your framework. This enables you to upsell effectively, which can greatly benefit the growth of your enterprise, both in the long term and the short term.
3. You frequently make changes to your plans and offers
Many companies utilize a more fluid approach to SaaS by making frequent changes to subscription plans and offers. If yours is one such company, you’ve probably learned the hard way just how tough it can be to manage and predict your revenue from one subscription cycle to the next. Subscription management systems offer a solution to this issue, however, as they can optimize bundles, implement pre-determined pricing rules, control discounts, and much more.
They also boast reporting and analytics tools, making it much simpler to monitor and forecast recurring revenue. By embracing a subscription management system, your business can easily maintain a high turnover of fresh plans and offers that appeal to new customers.
4. You find it hard to track your customer lifecycle
Subscription services can play an important role in increasing brand connection, but that necessitates keeping a close eye on your customer lifecycle. From the moment a client first subscribes to your service, from trial through to cancellation and eventually resubscription, they are a part of an important cycle, and the potential gains for you vary from stage to stage. You want to stay in the loop concerning where exactly each client fits within this framework, but this is exceedingly difficult to do manually when you consider all of the other information that needs to be taken into account.
Subscription management systems can relieve you of that burden as they allow you to see clearly what stage clients are at. This enables you to gain insights into the mindset of customers so that you can make informed decisions about how you handle their subscriptions. From this perspective, subscription management systems play a significant role in reducing churn rates and preventing revenue leakage.
Subscription-based models are a great way to generate monthly recurring revenue for B2-B enterprises. In fact, 70% of businesses believe that subscription and membership models are central to commercial growth. However, there are a variety of pitfalls associated with a subscription-based business that you want to avoid. A subscription management system can provide an elegant solution that helps you deal with the difficulties of handling SaaS subscriptions, allowing you to effortlessly make your business more efficient and scalable to achieve your long-term goals.