Cloud Billing to Continue Steady Growth in 2023

The cloud billing market is increasing in popularity today for businesses across the globe. In addition to benefits such as improved security and mobility, users are using the services to meet compliance requirements and have access to modern business tools not offered with traditional billing software. 

According to the latest research findings, the cloud billing market is expected to reach  $23100 million USD by the end of 2023. This represents a CAGR of 23.9% from 2017. 

We won’t go into too much depth about how businesses can easily cut costs and simplify processes with cloud billing since we cover it in- depth in most of our blog posts, but we wanted to specifically cover the key features offered from Subscription DNA that provide a competitive advantage for businesses looking to make the move to the cloud. 

Our Subscription Cloud Billing Platform is designed specifically for the unique needs of subscription-based businesses. 

We understand that many of these are new start-up and small or growing businesses so we offer different package options to meet those needs. Factors including the number of subscribers, how much the subscription costs and other transaction agreements are used to ensure you’re getting the best cost for services. 

The great benefit of the cloud of course is that as you grow, your billing services can too.

We offer so much more than just a platform to process billing. You also get automation tools for sign-up, subscribing and expiring users of your services, you can set-up recurring billing, and have secure token payment options. 

You’ll also gain access to our reporting tools to quickly mine and analyze data, send out email auto responses, and more.

Want to learn more? We’d be happy to chat with you about all the benefits cloud billing can bring to your business model. Give us a call today! 

The Importance of Subscription Revenue in the Internet of Things

While the phrase “Internet of Things,” or IoT, tends to give non-tech people something of a headache, one way to think of IoT is all the connected devices in the world. Consumers might have Amazon Alexa and Google’s Nest in their homes, Siri on their iPhones, Amazon’s Dash in their laundry rooms and IBM’s Watson in their connected cars. All these devices add up to be “the Internet of Things.” They represent more than consumer convenience, however.

The IoT Subscription Revenue Model

Once upon a time, it was enough for a company that made carbon monoxide alarms to consumers. Once the sale was finished, the company had no further opportunities with that customer until they needed a new alarm. As devices become smarter, however, there are more opportunities for companies to build more regular revenue streams. The true value for companies today is in software, data and digital services, according to Eric Free of Flexera Software writing for Tech Target.

“Many traditional hardware companies are re-evaluating their monetization strategies,” he wrote. “Software-based services enable IoT producers to bundle product offerings, services and feature sets in new and creative ways that generate incremental new revenue streams in the form of subscription or pay-per-use models.”

Internet of Things

Recent research confirms this shift is happening. A study by IDC and underwritten by Flexera found that 38 percent of device companies are currently half (or more) of their revenue from hardware, but that will soon change. In the next two years, this amount will decrease to 33 percent. At the same time, while 32 percent of respondents to IDC study’s report that they derive half or more of their revenue from services, that figure is expected to increase to 38 percent in the next two years.

The Importance of Cloud-based IoT Subscription Service

IoT systems and device makers will need a way to grow and manage subscription revenue. Software-as-a-service-based platforms such as SubscriptionDNA are the answer. Not only do customized subscription solutions help companies keep track of customers and their subscriptions, but they can also help manage customer lifecycles and even automate notification and marketing activities.

SubscriptionDNA can even make it easy for IoT companies to build different tiers of subscriptions so they can offer the right services at the right price points to accommodate every budget. As devices become more connected, so too must device makers and end users. Choose a subscription management solution that keeps you in touch with your customers to get the most out of your subscription relationship.

Connect with us today to get started!