There’s no denying that the subscription economy is on the rise.
The year is 2020, and the Subscription Billing has changed a lot. While there were only a handful of Subscription Management Companies a few years ago, but now there are thousands of them, and the number is growing each day.
To keep track of existing, new, or lost customers and send payment invoices with accurate billing details, a subscription management system is a must for recurring based businesses.
How do you choose subscription management software for your recurring business that is reliable and can handle recurring payments with ease? There are certain things you need to look for while choosing subscription management software such as:
• Customer Data Management
• Billing Cycle
• Payment Gateway Options
• PCI-DSS Compliant
• Dunning Management
• Subscription Plans Migration
• Corporate Branding
• Trials, Promotions, and Discounts
• Fraud Prevention
• Customer Support
These are some of the features you should look for when selecting the right subscription management software. If you are searching for a subscription billing management system that handles all the necessary processes for you while you focus on crucial aspects of your business, Stripe Billing, aka Stripe Subscription is the best option.
Features of Stripe Subscription
Stripe Subscription is a robust & secure recurring payment processing platform. The best thing about Stripe Subscription is that you can instantly begin accepting payments once you've signed up as a merchant on Stripe. Companies who want to increase their customer base use Stripe as one of their subscription billing platforms. To use Stripe Subscription, you first need to create a product and a price. Items should represent different physical products or levels of service. One or more prices represent each product's pricing. To know more about Stripe, you can check our article A Beginners Guide on Stripe Payments.
Top Stripe Subscription Features:
1. Faster Integration: Whether you sell one-off products or subscriptions, you can integrate Stripe Subscription in minutes without writing a single line of code and start securely accepting recurring payments.
3. Responsive Design: The Stripe Subscription provides a faster and simpler experience payments flow across devices. The responsive design works well on all devices such as desktop, laptop, iPad, tablets, and mobile phones.
The Pros of Using Stripe Subscriptions for Businesses
Stripe Subscriptions make it easier for subscription businesses to accept recurring payments online. Not only do they allow merchants to sell their products online without worrying about payments and subscription transactions, but they also help them expand their business and enter the global market with their robust payment solutions available in more than 30 countries.
What’s impressive about Stripe Subscriptions is that it has taken all the monotonous efforts required to handle subscription payments and abstracted it all behind a single developer-friendly portal known as Stripe Billing.
The Advantages of Using Stripe Subscriptions
The main advantage of Stripe Subscriptions over other subscription management platforms is its ease of use and customization. Signing up on Stripe Subscription as a merchant and receiving recurring payment is pretty straightforward. All you need to do is to provide your valid business documents and copy a single line of code into your website or app to start receiving recurring payments from your customers.
2. Developer Friendly
With Stripe's exceptional API, developers find it very easy to set up, maintain and integrate subscription payments pages into their website, app, and even CRM's. Stripe additionally offers developers the ability to have control over how the entire payment procedure looks and feels.
3. Merchant Centric
Stripe focuses on creating a positive experience for merchants by easing the credit or debit card payment processing for subscription-based products or service offerings. Merchants who face issues can easily reach the Stripe Subscription support team via phone, chat, email, and even on social media platforms like Twitter, Reddit, and Facebook.
4. Subscription Plans
One can quickly create or update subscription plans using the Stripe Dashboard or the API. You can start receiving the subscription payment immediately and schedule it later on a weekly, monthly, or yearly basis. Stripe has third party apps and extensions that enable users to create subscription plans. Using an app such as Payvoice, you can create embeddable multi-plan subscription pages that you can customize quickly.
5. PCI-DSS Compliant
A subscription-based business requires a PCI DSS certificate to accept credit or debit card payments. Stripe Subscription is a PCI DSS compliant payment processing platform and takes care of receiving, processing, and storing credit card payments and data safely & securely.
6. Global Payments
A merchant can accept international subscription payments without having any separate payment contracts with Stripe. A subscription business can accept subscription & recurring payments from more than 30 countries. Stripe supports processing payments from 135+ countries allowing you to charge customers in their currencies while receiving funds in yours.
7. PSD2 Compliant
Payment Service Directive (PSD2) is an EU Directive to regulate payment gateway providers throughout the European Union (EU) and European Economic Area (EAA). This means your business needs to be PSD2 compliant and also PCI-DSS compliant to receive funds from any European Countries. Stripe is a PSD2 Compliant payment service provider. If you choose them as your subscription billing platform, your business doesn't require being a PSD2 compliant to accept payments from European customers.
8. Pricing Options
A subscription or SaaS business can choose from several pricing models to identify the optimum way to promote and sell products or services. Here are some of the popular subscription & recurring pricing models that Stripe Billing supports:
• Tiered pricing
• Flat rate
Stripe also supports other popular pricing models. You can check all the information about Stripe pricing models here "How to Model Subscriptions - Stripe Billing."
9. Fraud Prevention
Stripe uses several fraud prevention methods, including machine learning algorithms, to detect frauds and prevents disputes from happening. A subscription business can create fraudulent payment detection rules and avoid scams that are common in their industry.
These are some of the many advantages you'll have compared to other platforms if you choose Stripe Subscription as your primary recurring and subscription payment service provider. In the next section, we will take a look at some of the cons/disadvantages of using Stripe Subscriptions.
The Cons of Using Stripe Subscription for Businesses
Based on your use case, there may be some disadvantages using Stripe such as:
1. Consumer-Facing Support
Unless your merchant account is referring to thousands or millions of dollars in monthly transactions, you are not likely to get quick attention for payment related queries from Stripe. From a customer's perspective, the main problem one can have with Stripe Subscriptions is they don't have customer (consumer-facing) service. As a result, your customers may have issues with recurring payments and have a hard time dealing with declined payments. Remember, in this case, and you can't help your customers as they directly have to deal with it, Stripe's support.
2. Account Suspension
There is always a risk of account suspension or getting frozen mistakenly or for any wrong reasons while using Stripe. If Stripe sees that your business is riskier or detect any suspicious activity from your account, they reserve the right to hold your payments and shut it down entirely without giving any reasons. This one is not entirely applicable for every business except for those with a complicated business model or has a high rate of chargeback & disputes. These are the only two disadvantages of using Stripe Subscriptions for your business. Compared to other subscription management software, Stripe has fewer potential pitfalls.
Should you use Stripe Subscriptions?
We recommend Stripe Subscriptions for subscription or SaaS business to use it as their primary payment service provider. However, to make the most of it, use it along with one of the Stripe Partner’s Payvoice, a subscription management platform that integrates with Stripe in minutes without any coding.
With Payvoice, you can create embeddable multi-plan subscription pages, add as many users your team needs to help you manage subscription plan. You can check out the full features of Payvoice and learn more about our Stripe subscription management portal and how it can help you with your subscription payments.