Subscription management is a very powerful tool to power the business growth of modern business from start-ups to established enterprise companies across the world.
With Payabbhi’s Subscription management platform, you can automatically generate bills and collect payments from your subscribers at every billing cycle. All complexities of the subscription management will be taken care by Payabbhi, so that you can just focus on your core business offering and customer satisfaction.
Payabbhi offers three core billing models at present. However, the platform also supports the flexibility to offer new evolving billing model as per the evolving market demand.
The billing models are described below:
In the fixed recurring model, bills or invoices of a fixed amount are generated on a recurring basis as per the billing cycle of the plan. The pricing of the plan is mentioned as part of the invoice. This is typically charged at the beginning of the billing cycle.
Some examples :
In seat-based model, you may charge your subscribers based on the number of seats or users.
There is a base plan of a fixed amount and you have to set the quantity of the product while creating subscription in Payabbhi. Bills or invoices will be generated considering the quantity and the base plan amount, on a recurring basis.
Some examples :
In usage-based model, you may charge your subscribers for only what they use.
You may add the variable amount based on the usage of the product by adding the
Add-Onsfor your subscription.
Add-Ons can be added in any billing cycle of the subscription .
So the billing amount is variable as per the usage of the Add-Ons.
Payabbhi supports the subscription management workflow right from the creation, management and collection of recurring payment in each billing cycle from the customer.
Here are the steps in short for creating subscriptions in Payabbhi:
Create a product. Refer to Product Creation for more details.
Associate a plan with the product. Refer to Pricing Plan Creation for more details. You may also refer to an exiting product with a pricing plan.
Create a customer who will be subscribing to the plan. Refer to Customer Creation for more details. You may also refer to an exiting customer.
Create a subscription of the plan for the customer. Refer to Subscription Creation for more details.
You may have to request the customer to authorise the automatic recurring payment facilitated by Payabbhi. Alternatively, your customers may also pay the recurring invoices manually by Payabbhi payment gateway.
Payabbhi will automatically generate invoices for each billing cycle and attempt for payment if the customer chose the automatic payment mode.
Otherwise, the invoice will be shared with the customer via the registered email id. The Customer needs to pay the invoice by the due date mentioned in the invoice. Refer to Payment Collection for more details.
Lifecycle of a subscription is described in the table below:
||The first state of a subscription after creation. This state is applicable for subscription with
||If the subscription is offered as a trial to the customer, then it remains in this state after creation.|
||If the subscription is not authorized within the trial period, it gets
||The billing cycle of a subscription is applicable when a subscription is in
||If an invoice for any billing cycle is not paid, the subscription is marked as
||If the subscription is not paid in any billing cycle in spite of retry, it is marked as
||When a subscription is explicitly cancelled by the Merchant, it is marked as
||When a subscription reaches the end of the last billing cycle, it becomes
Your customers don’t need to pay anything for subscribing to a plan in the trial period. So, no invoice is generated when a subscription is in
Customers are intimated via email certain days prior to the trial end date, about the end of the trial period.
If you have configured webhook endpoints, you will receive a subscription.trial_will_end event when the trial period is going to end soon.
billing_method of the subscription is set as
automatic, then the authorization for automatic payment should be provided by the customer before the trail end date.
Otherwise the subscription will be transitioned into
No invoice is generated for this subscription in future.
This is the final state of a subscription.
The billing cycle of a subscription gets started when a subscription is in
Active state. Recurring invoices are generated at each billing cycle of an
active subscription. The subscription remains in this state till the end of the last billing cycle.
manual, then the subscription is
Active from the moment the subscription was created.
But, when the
automatic, then the subscription becomes
Active, only after receiving successful authorization from the customer for automatic recurring payment. Otherwise the subscription remains in the
If a subscription is in trial, then the subscription becomes
Active only after the end of the trial period.
automatic, then the payment is automatically attempted by the platform. But, if the payment is unsuccessful, then the subscription is transitioned to
Past Due state.
This state indicates that Payabbhi will retry the payment attempt as per the platform configuration.
If the payment attempt is successful after the retry, then the subscription moves to the
But, in case all attempts have been unsuccessful, the subscription moves to the
This state is not relevant if
manual. In this case, the subscription is directly transitioned into
On-Hold state if the invoice is not paid by the
due date mentioned in the invoice.
A subscription with
On-Hold, only when all the payment attempts have failed on
Past Due state.
A subscription with
manual, if the invoice is not paid by the
due date mentioned in the invoice, it is transitioned into
When a subscription moves to the
On_Hold state, Payabhhi stops automatic payment attempt for the subscription.
You may wish to continue offering the subscription services to your customers as per your business policy.
On_Hold subscription can become
Active, only when the last invoice for the subscription is paid successfully by the customer.
On-Hold subscription reaches the last billing cycle, it is marked as
Completed.Hence, the due amount of the subscription should be collected out of the system from the customer.
You may cancel a subscription, in some situations as mentioned below :
On_Holdstate for quite a long time.
This subscription is still maintained in Payabbhi platform and you may look up that at any point of time. This is the end state of any subscription.
A subscription is completed at the end of the billing cycle.
If you wish to renew the subscription with the customer, you need to create a new subscription with the same set of information for customer, product and plan.