Customization Challenges in Subscription Billing Systems

Kuppusamy Gopalsamy, Technical Manager – Subscription Billing at Synthesis Systems Inc

Subscription billing can pose several customization challenges, especially for businesses seeking to tailor their offerings to specific customer needs or market demands. Here are some common challenges and strategies to address them.

 

Pricing Models

Subscription billing systems offer diverse options for configuring complex pricing models. Customizing the pricing model for unique customer requirements can be challenging due to the extensive computation required during rating and billing. In such cases, it is advisable to opt for a flexible subscription billing platform that supports custom pricing models and allows users to define and modify pricing rules easily.

Subscription Models

Managing personalized subscription plans for individual customer needs at scale requires dynamic plan creation and various override options. Utilize subscription management platforms that enable customization based on criteria such as usage patterns, demographics, or customer segments.

System Integrations

Customizing integrations with different CRM applications, tax engines, and payment systems can be challenging due to the synchronization of numerous objects and field mapping. Leverage subscription billing systems with native integration capabilities to integrate various systems based on business needs seamlessly.

Invoice and Notification Templates

Customizing invoice and notification templates is complex due to the variety of pricing and subscription models offered. Look for subscription billing systems with easy customization options to design templates tailored to each customer.

Consumption-Based Billing

Customers are shifting towards usage-based billing, which presents numerous challenges for subscription billing. Customizing the mediation and rating of specific usage types demands significant computation power due to the large volume of usage records needing processing in shorter timeframes. When opting for consumption-based billing, users should select a subscription billing system that supports multiple in-house rate plan configurations.

Upgrades and Downgrades

In the modern world, upgrading or downgrading subscriptions involves extensive business rule configuration to validate eligibility. Customizing these business rules for upgrades/downgrades introduces complexity, and inaccurate customization can result in significant revenue losses.

Customer Portal

Many businesses necessitate customers to manage their subscriptions, payments, etc., independently to mitigate customer service costs. A robust customer portal is essential for facilitating subscription management. However, customizing self-care according to end-users needs adds complexity due to the multitude of services offered and the volume of concurrent requests needing serviced.

By addressing these customization challenges with the right tools and strategies, businesses can effectively manage subscription billing while meeting their customers’ diverse needs.