Essential Tech Tools Every Subscription Business Needs to Thrive

From tech startups to multinational enterprises, recurring revenue models such as subscriptions are fast becoming the preferred revenue model for many businesses. While this model can be advantageous for both company and consumer, effective subscription management is vital to making things work. 

Let’s deep dive into some technologies that market leaders are using to streamline their subscription management and unlock higher user acquisition rates, all while maintaining a great user experience!

Automated Finances
Billing and invoicing can be a tedious, time consuming task for subscription businesses. You can use digital tools to manage recurring billing cycles, automatically generate invoices with just a click of a button! Not only does automation save on time and effort, but it also reduces the risk of human error on such a critical function, especially if you are using a complex pricing model.

Tailored Products and Flexible Subscription Options
One of the drivers behind a consumer’s preference towards subscribing instead of buying is the modularity of what they’re spending money on. Instead of paying full price for a one-size-fits-all product upfront, consumers can now tailor the product or service to best fit their needs, and then pay for access only as long as they need it.

To accomplish that for users, businesses need a user-friendly product/service building tool and flexible subscription plans. Successful subscription businesses don’t just give users control of WHEN they can pay, but also WHAT and HOW they pay as well. Can the user opt for some features and opt out of others? Does the user pay a standard monthly fee or do you incorporate different pricing models such as Tiered or Metered Pricing? Do you have a family plan for users to bundle themselves together, or a referral program with incentives?

Data Analytics and Reporting
Thriving tech companies are data driven. Fortunately, subscription-based businesses have access to a continuous stream of user data to help them unlock major growth. 

Using tools and software for data collection and analysis can help you understand user needs and expectations and isolate and tackle challenges before they escalate. Generating valuable performance reports from the data you’re collecting will give you an accurate perspective on how you’re doing and help you strategize for the future.

Tech-Enabled Localization
Running a subscription-based business not only makes your products more cost-effective and flexible, it also increases your product’s accessibility. If you’re a software or tech business, this could mean a growing user base in a different part of the world. Successful tech businesses are experts at localization, and are using tech to make users from around the world feel that their product talks their language and adapts to their market conditions.

Examples of tech-enabled localization are:

• AI-Powered Translation: Going well beyond word for word translation by using artificial intelligence to interpret dialect, jargon, and colloquial terms instantly.
• Local Payment Methods and Portals: Users from different parts of the world can have access to different types of payment methods such as mobile wallets, credit cards, cash POS devices, and more. Integrating the preferred payment method along with the most popular payment portals guarantees higher accessibility.
• Tax System Integration: Transactions always come with taxes, and each market operates their own regulations, systems, and platforms for managing taxes for businesses. Integrating with local governmental tax platforms and e-invoicing platforms completely eliminates a laborious task for your subscribers.