The scenario is common to new, startup businesses. A customer wants to sign up for a recurring service or products. You’re left wondering what the best solution would be to ensure they get charged in a timely, reliable manner. Like many small business owners, you don’t have the time to set a calendar remind to ask for payment.
Instead, services like auto-recurring billing can be your best friend. With auto-recurring billing, you can automate your subscription reordering process so you never forget to bill customers again.
To provide you more importation on auto-recurring billing, we’ve turned to one of our online payment partners, Simplify Commerce about the basics of auto-recurring billing for online stores and how to set up auto-recurring billing using their free online payment module.
Why would I choose auto-recurring billing?
Auto-recurring billing or subscription billing allows online merchants to automatically charge customers on a monthly basis for products or services. It’s a great win-win: customers regularly receive products or services; merchants never forget to bill their customers.
Some online merchants who’ve used auto-recurring billing include:
- Subscriptions boxes
- Grocery delivery services
- Cleaning services
- Rent collection
- Gym memberships
- Pest control services
- Book club subscriptions
How is auto-recurring billing different from up-front billing?
Auto-recurring billing is great for merchants that provide a recurring service or have recurring shipments. Once auto-recurring billing is configured and scheduled, it practically runs by itself.
Up-front billing is great for merchants providing an on-and-done service or product. Products that fall into this category include furniture, clothing and digital goods. However, with the popularity of subscription boxes and services any online store can leverage auto-recurring billing.
How can online merchants prevent subscription cancellations?
Although everything is automated, it’s important for business owners to engage with their customers. Use each order as a way to get in touch with your customers. Try sending emails to customers about the service or product they just received. Ask for reviews or encourage them to engage with you on social media. Is there a special holiday coming up? Surprise customers with a little treat to thank them for their continued subscription.
Want another tip for more sales? Increase conversions by including discount coupons in email newsletters.
How to get started today
Setting up and managing auto-recurring billing is easy with Simplify Commerce. Set up in 5 simple steps:
- Download Simplify Commerce from your PrestaShop Back office
- Configure your Simplify Commerce module
- Log into your Simplify platform
- Click "+New Plan"
- Enter the plan name, cost and the frequency, then click “Add Subscription.”
Sponsored by: Simplify Commerce
Simplify Commerce, backed by MasterCard (a global leader in the payment industry for decades) is an all-in-one payment solution that enables businesses and non-profits to accept all major credit and debit cards. Their turnkey secure payments solution offers a simple, flat 2.85% + 30₵ rate with no extra fees. They also offer two business day funding and the highest Level 1 PCI Certification.