There’s so much more to successfully engaging and retaining customers beyond the initial payment, and a subscription management system can help you every step of the way.
Subscription business models help businesses capture more predictable recurring revenue by charging for products and services on an incremental repeat basis rather than a single lump payment. In addition, a subscription management system can help interpret subscriber activity and intent using rich analytics, expanding opportunities for upselling and cross-selling.
If your subscription management system is not helping to streamline these efforts, you’re not only missing an opportunity to alleviate your sales team’s workload—you’re missing an opportunity to build confidence with your customers.
Additionally, simplifying financial processes can help your team save time and money. Automating previously manual billing processes can help expedite customer payments and offer them a more convenient payment system.
Configure, Price, Quote (CPQ) is a solution that guides sellers through the step-by-step process of creating a customized purchase order for a customer’s specific needs. By streamlining and automating key steps in the pricing and quoting process, CPQ can help reduce errors, increase seller productivity, and boost sales performance.
CPQ software also allows you to collaborate across departments—sales, legal, customer success, and finance—to deliver your customers the best and most accurate quote possible. By integrating CPQ with subscription management, you enable your front- and back-office teams to communicate, share data, and provide more prompt and personalized service to your customers.
Through all customer touchpoints like pricing, delivery, and billing, subscription management business functions must be intertwined. A guided selling process helps sales teams to accurately guide their customers through all touchpoints of the buying process—all while ensuring the buyer receives a solution that suits their needs.
Subscriptions are inherently complex business models that require proper oversight to ensure that orders are fulfilled and billed correctly, revenue is appropriately recognized, and customers are satisfied. A subscription management platform should help your business connect, track, and manage all these variables more efficiently.
For businesses already utilizing CRM or ERP, subscription management software can be seamlessly integrated into existing systems to gain insight into a customer’s order history so your team can track buying behavior.
A fully integrated subscription management solution gives teams insight into the entire customer lifecycle through all touchpoints: sales, service, marketing, and ecommerce. A lack of integration between your ERP and CRM and subscription management system can result in data and forecasting inaccuracies, as well as improperly recorded revenue.
In addition to recognizing the key components to successful subscription management, it’s important to understand their impact.
Here are a few standard KPIs to monitor and questions to ask yourself when evaluating the effectiveness of a subscription management system.
Subscription selling offers numerous benefits to B2B businesses and buyers alike, and a robust subscription management system is key to facilitating efficient processes and generating a real impact.
Read our Essential Strategies for Subscription Business Models in B2B to discover how you can drive recurring revenue and offer customers flexibility with subscription products and services.
As a Sr. Product Marketing Manager for Oracle Advertising and CX, Reanna is responsible for developing product messaging and positioning with a focus on Oracle’s Configure, Price, Quote (CPQ) and Subscription Management solutions.