Subscription Billing and Payments
Charge thru is an online community of professionals engaged in recurring billing of their customers through various methods including fixed rate subscriptions, utility based subscriptions and virtual currencies. The scope of the site is intended to cover all aspects of billing from pricing through to collections.
Also see related links to other subscription sites.
A/B testing is straightforward, you split your prospects and see which group converts best, its easy, right? WRONG! In this article we explore some of the hidden challenges that make reaching the real answer with A/B testing more complex in a subscription environment. The value of a subscription product lies, not just in the initial purchase, but in the ongoing loyalty of the customers. A change that increases initial sign-up but also increases churn, for example, might not be a benefit overall. In this article we present an example of an innocuous-looking A/B test that would take a year to properly evaluate.
A/B testing is a fabulous tool…Continue
June 4, 2013: 10:00 AM ET
FORTUNE -- Michael Dubin's next big idea is 5-inches by 7-inches, infused with ingredients like aloe and marshmallow herb, and slightly moist to the touch. Dubin, founder and CEO of Dollar Shave Club, is betting the company's newest product -- bathroom towelettes for guys -- will help the two-year-old startup expand beyond shaving materials.…Continue
Online payments is a complex mess that fails to meet the needs of customers, vendors or developers. BitCoin may be the first viable digital currency and could provide simpler and more straight forward ways to solve this problem. In this article we look at the shortcomings of the existing payment solutions and look at the benefits and drawbacks of BitCoin as the basis for alternatives.
Let's start by defining the problem. Most people who use the Internet have probably not thought much about how payments work. If you trust a site you give it your credit card number these days and mostly things work, but for anyone who has actually lifted the lid there is a can of worms underneath that apparently straightforward functionality.
Most companies spend a lot of resources on driving traffic to their site, and relatively few on optimizing the conversion of that traffic into customers. Everyone knows that the right thing to do is to use A/B testing to try different variations of your site, but what do you change? In this article we outline a six point framework for improving your conversion rates by applying industry best practices to purchase flow design.
A couple of weeks ago I posted an article which surveyed the purchase flows of 15 different cloud storage providers. In this article we outline six the …Continue
This article is a short survey of the purchase flows from fifteen cloud storage provider websites to review the different models, tricks and techniques used to entice their customers to buy. In a future post we will outline some hints for purchase flow optimization.
Cloud storage solutions are increasingly commodity offerings from a feature point of view, so pricing and pricing models are critically important differentiators. In order to constrain the exercise, we did not look at comparing features or price points. This article is simply a review of the actual purchase flows and how they presented their offering to the customer. You can see a feature/price comparison of these companies at …Continue
In Tools of the Trade: 8 Different Ways to Charge Subscribers, Martin illustrated the many different ways one can bill customers in a subscription business model. This article drills down into the first one, recurring payment, which Martin described as, “the bread and butter of subscription billing.”
When it comes to recurring payments, vendors typically choose between automatic and manual renewals. Both types of billing methods come with their own advantages and disadvantages.
Automatic Subscription Renewal
With automatic renewals, a customer provides payment information, receives the product and is billed again at fixed dates in the future. As long as the customer pays the bill, they continue to have access to the…Continue
We have all heard about the shift to the subscription model and the rapid growth of subscription service providers, but how big is the Subscription Economy? We did some back of the envelope calculations based on published studies. The closest we could get to is a guesstimate of $100-$200B market by 2015. This discussion…Continue