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Why Is Subscription Billing So 2020

Mar 11, 2021 3:15:00 PM

Out with the old and in with the new. Subscription billing has changed our business models forever. But after the turmoil in 2020, the as-a-service economy is moving into pay-per-use and bespoke propositions to better align with client needs.

How can you provide flexibility to your clients and maintain the recurring revenue? In this blog, we discuss the limitations of subscription billing and what to do going forward.

More than just subscription billing

Why subscription billing has not fully met expectations in B2B

Subscription billing has taken our economy by storm. It might be a great way to bill straightforward propositions, but in B2B demand is less predictable and typically more complex than a simple subscription. In B2B, contracts need to facilitate that complexity. This why we see pay-per-use and hybrid subscription billing models with our clients.

2020 taught us that agility is the key - it applies to billing too

Fluctuating demand cannot be met by rigid billing systems. As your clients strive to become more agile, their needs will change.

You will want to facilitate your clients with flexible offerings beyond plain subscription billing. If you can facilitate flexible demand, customer-specific pricing, and possibly data-driven usage-based pricing, you can maintain a sustainable and profitable client relationship.

In short: your billing system will need to cope with the new normal, where agility is the key.

Agile billing: flexible billing to fit your needs when it matters

How can you keep and optimize your recurring revenue beyond subscription billing? By adopting a future-proof agile billing system.

Agile billing means that, no matter what happens, you can apply the business models you need, to meet the future demand of your clients. Sounds complex? Not for us. This is what Good Sign has been doing since it was founded. Helping clients deal with contracts to meet the most demanding situations. As a result, we now have one of the most agile billing software on the market.

A keen eye For contract profitability

Fluctuations in demand are the new normal. The flexibility will need to be managed. Is this client and this contract profitable in the long run?

Agile billing provides for agile monetization, creating a perfect balance between long-term fees and short-term demand flexibility. In Good Sign, you can track your monetization as your contract evolves. Keeping your KPI’s in check.

Download A Quick Guide To Recurring Revenue Business Models:

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Good Sign

Good Sign Software helps businesses solve existing pain points in monetizing service contracts and managing subscriptions and pay-per-use services. We help companies freely grow scalable services.

Feel free to contact us and let’s have a chat on how we can support your company.

 

Petri Takala
Written by Petri Takala

Petri is the Vice President of Sales and Marketing. He also leads Good Sign’s solution evolution for selected industries. Petri is an experienced business leader with a strong background in business management systems within several industries.

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