Acquiring new and retaining current customers is crucial for any business. One relatively new and innovative strategy to increase the sustainability of your customer base is to use subscription services to create repeat buyers.
Subscription services create increased cash flow, simplify billing, and enhance customer relationships. Subscription services can also help your customers build loyalty and scale the number of services and products you offer. In case you need a little more convincing, we’ll break down this equation and the benefits of adding subscription services to your business.
Simplify Billing Processes
The hassle of sending invoices and bills to customers can be a daunting process. As is reconciling payments with customers that don’t have all their payment information integrated into your business’ payment processing tools. Recurring billing provides a consistent monthly collection of fees with real-time authorizations. Relying on subscription services is an efficient method for collecting payments because it automates the process. It also eliminates the hassle of having unnecessary chargebacks and declines that could cause costly delays.
Increase Cash Flow
There’s nothing worse than a late payment for a business. Cash flow is vital to ordering new inventory, keeping a business day-to-day operations functioning and paying employees. Late payments can significantly affect cash flow. Setting up a recurring billing program assures reliable cash flow, and maintains a positive customer relationship. Instead of worrying about collecting late payments or constantly billing customers for a recurring service, setting up a recurring payment can alleviate this hassle altogether.
Enhance Customer Relationships
The cost of acquiring new customers can be five times higher than retaining your current base. Recurring subscription services keep customers shopping at your business and enhance the overall connection they have with your brand. Subscription services also provide a convenient option for your most loyal customers to stay engaged with your community. Customers who register for subscription payments are far more likely to stay with a business long term since the payment process is automatic and seamless.
How goEmerchant Helps Business Grow with Subscription Services
Businesses today want faster, easier ways to integrate payments, enabling them to forget about the day-to-day nuances with maintaining payment and billing practices. Customers want easier ways to pay – methods that don’t involve constantly receiving a bill they have to settle manually. Subscription billing addresses both of these issues and provides a simpler path for customers to maintain their future payments, boosting the chance that customers will stay with your business long term.
Automating your business’ payment processing through subscription services allows you to focus on running your day-to-day operations instead of tracking down payments from your customers. With the ability to easily configure customized billing frequencies, payment amounts, and billing dates, the right recurring payment platform can provide your business the payment flexibility built into subscription services.
Relying on card-on-file business practices can bring about unnecessary headaches. This is where subscription billing services fill in the gap. Many businesses implement basic card-on-file payment processing abilities, which can create delays in the billing process. Those cards often expire without the customer updating the information, especially since they might be regularly replaced after being lost, stolen or reissued. Businesses should seek recurring billing tools with features like an account updater, which automatically maintains expiring and replacement card numbers for each card on file.
Subscription services reduce friction between customers and businesses and deliver businesses a more predictable path to scale. Here are six ways goEmerchant can help your business achieve that goal:
- Boost Revenue: Businesses can reduce declines and recover lost revenue by automatically keeping customer card information up-to-date.
- Benefit from Flexible Installment Plans: Easily configure custom frequencies, amounts & bill dates for customer convenience.
- Cost-Effective Recurring Billing: A recurring billing suite is included with the Payment Gateway and Virtual Terminal.
- Automate Payment Collection: Schedule future payments so you can focus on the bigger-picture items associated with growing your business.
- Offer Flexible Payment Plans: Attracts more customers by offering them a start and end date for added flexibility.
- Seamless Setup: goEmerchant offers flexible features for swift deployment to make scheduling payments easier than ever.
Want to learn more? Visit www.goemerchant.com/recurring-billing to see how your business can get started with subscription services today!
