How Recurly Can Help Your Subscription Business with Involuntary Churn

1. How Recurly Can Help Your Subscription Business with Involuntary Churn

2. How Recurly Can Help Your Subscription Business with Involuntary Churn If you have a subscription-based business, you are probably familiar with “churn.” Churn tells you the rate at which your business is losing subscribers over a certain period of time. It can be separated into two categories: voluntary churn and involuntary churn. Voluntary churn happens when customers choose to cancel their subscription, while involuntary churn means a subscription ends due to unintentional or unforeseen circumstances, such as declined or expired payment options. If you’re looking to combat involuntary churn, Recurly is the subscription management and billing platformthat can help. Here’s why. What Is Involuntary Churn? When you perform a churn rate formula calculation and see the results, you may think you need to change important aspects of your business to improve your churn numbers. However, the good part about involuntary churn is that much of it can be avoided entirely. Involuntary churn is caused by factors seemingly out of your control, like expired credit cards and bank accounts declining payment. The truth is, these problems can be solved without having to change your business model. Recurly has refined their strategies and tools over the last decade.

3. As a result, they’ve helped some customers reduce their involuntary churn to 1%, and you can be next. Preventing Involuntary Churn with Recurly Recurly can help you implement many of their prevention techniques to improve your involuntary churn numbers. Firstly, Recurly has a built-in account updater that works with your recurring billing system. It works with major credit card companies to automatically update changes to a customer’s card. Secondly, Recurly uses proprietary logic to manage expired cards before their expiration date. These two tools work together to help prevent involuntary churn before it happens. Plus, if a customer still manages to slip through the cracks and their subscription gets involuntarily canceled, Recurly can still help. Recurly Can Help Recover Subscriptions Prevention isn’t the only means of improving your involuntary churn numbers. Recurly also has an intelligent retry system that utilizes the subscription data and expertise they have acquired over the past decade. This tool uses machine learning to decide when and how to retry transactions when you encounter a failed payment. If this renewal attempt still fails, Recurly can help you recover subscriptions with their dunning management features. A tailored dunning strategy can help you close your books faster and mitigate involuntary churn. When you have a subscription-based business, your involuntary churn rate can occupy a lot of your focus. You always want to test different pricing systems and add more value for subscribers where you can. So, while you are focusing on the big picture of managing your business, let Recurly help take care of the details in the background. Recurly can help make it easier to retain subscribers so you can turn your attention to what matters most. See how Recurly can help you optimize your involuntary churn rate at https://recurly.com/ Original Source: https://bit.ly/36GVjaf