“The customer is always right”.
This familiar quote could be the oldest known to the business world. And in today’s consumer-focused business environment, there are many ways it has never been more true.
What do customers expect from your business when they shop with you? And more importantly, are they getting it?
From beginning to end, consumers expect a streamlined experience when they do business with you. That’s not too much to ask. They have money to spend and they want to spend it on the best possible products and services, and in the easiest, most convenient ways possible.
For these reasons, business owners are evaluating their operations and automating wherever possible, specifically when it comes to payments. If you want to make it easy for customers to pay, you’ll want to consider automated, recurring billing options.
There’s nothing more convenient for a customer than setting a payment schedule and forgetting it. But how can recurring billing solutions benefit your business and your bottom line? In more ways than one, that’s for sure.
3 Benefits of Recurring Billing You Can’t Afford To Miss
1. Increase customer retention and loyalty
When you present customers with options, you will often be met with gratitude. That is especially true when you can offer your customers recurring billing options. The option to pay for a balance due over time has the dual benefit of improving customer retention and loyalty. When you can set it and forget it, and payments are hardly a thought in their mind, customers become “stickier”–if they don’t have to think about making payments they don’t have to think about cancelling them either.
2. Improve the checkout experience
Customers like to feel like they are the driver of their shopping experience. Whether that experience is selecting new eyeglasses or purchasing a massage package, convenience plays a huge role in converting sales. If the payment process is confusing, time-consuming, or even worst, manual, you run the risk of losing a sale right off the bat.
A streamlined checkout experience is a win-win for everyone. If they’ve made it to checkout, it’s safe to say they’ve made up their minds that they want to purchase whatever it is you’re selling. The benefit of recurring billing is a checkout experience that is virtually non-existent. Customers reap the rewards of purchasing your product or service without the hassle of waiting in line or entering their card number every time they want to make another purchase.
Again, set it and forget it to improve the checkout experience and keep customers coming back.
3. Improve cashflow and business forecasting
This benefit is solely for the merchant. With recurring billing, business owners have more cash on hand and can better predict their monthly earning projections. If you know you have x amount of customers on a recurring bill plan, and you know on average what that amount is for each customer, you can predict the projected cashflow for that month, the next, and so on.
The benefit to this level of transparency should go without mentioning. Having insights into your bottom line allows you to better predict where you can spend or save in the future. A huge business driver and asset to your future growth.
Recurring bill payment can be applied to many industries, products, and services. Think about how this financial option could benefit your business and your customers. Would customers appreciate the convenience that recurring bill payment allows? Would it be beneficial for you to have insights into projected earnings from recurring bill payments? We think that’s a “yes” and “yes”. Learn about how a recurring bill payment plan can fit into your business. Get in touch with a Banctek specialist for a brief consultation.