Subscriptions

Overview

The Subscriptions feature allows merchants to offer recurring billing for goods or services. With subscriptions, customers agree to be charged automatically at set intervals (e.g., weekly, monthly, annually) in exchange for ongoing access to merchant's product or service.

Use Cases

Merchants offering recurring services such as SaaS platforms, memberships, subscription boxes, or digital content.

• SaaS Platforms: Monthly or annual software subscriptions.

• Membership Services: Gym memberships, online courses, clubs.

• Subscription Boxes: Recurring physical product delivery.

• Digital Content Access: Streaming services, e-book libraries.

• Maintenance Plans: Recurring service agreements.

Key Benefits

• Automated Billing: Charges occur automatically at predefined intervals.

• Customer Self-Service: Customers can manage their subscriptions, payment methods, and billing details via the dedicated Subscriber Portal.

• Flexible Management: Merchants can view, update, or cancel subscriptions directly via API or CRM.

• Reduced Churn:

• Reusable Payment Methods: Secure storage of customer cards for future billing.

• Configure Retry Rules: Automated retries for failed payments help retain customers. Merchant can set retries (e.g., 4 retries every 7 days) to reduce churn from failed payments.

• Use Upcoming Renewal Emails: Remind customers 7 days before renewal to reduce disputes.

• Monitor Past-Due Subscriptions: Act quickly to recover failed payments.

How it Works

Subscription Lifecycle

1. Creation

   • Customer selects a subscription plan on merchant's website.

   • Provides payment details and authorizes recurring charges.

   • The first payment is processed; subscription becomes Active.

2. Renewals

   • At each billing cycle, the system automatically generates an invoice and attempts payment.

   • On successful payment, the subscription remains Active.

   • Receipt is sent to customer's email.

3. Failed Payments

   • If payment fails, the subscription moves to Past-Due status.

   • The system retries payment according to pre-determined retry schedule.

   • If retries fail, the subscription may be marked Unpaid or Cancelled depending on the settings.

4. Cancellation

   • A subscription can be cancelled by the merchant, the customer (via dedicated Subscriber Portal), or automatically after failed payments if configured.

   • No further billing occurs.

5. Completion

   • Subscriptions with a set end date automatically move to Completed status at the end of the term.

Subscription Status Overview

Status	Description
Incomplete	Initial payment pending or failed.
Incomplete-Expired	Subscription never activated within allowed time (24 hours).
Active	Payment successful; subscription running.
Past-Due	Renewal payment failed; retry attempts in progress.
Unpaid	All retries failed; invoice uncollectible.
Cancelled	Ended by customer, merchant, or system rules.
Completed	Ended as scheduled; no more billing.

Invoice Status Overview

Status	Description
Open	Invoice created and awaiting payment. For subscriptions, invoices are automatically finalized at the start of the billing cycle. If automatic payment fails or no payment method is available, the invoice remains open.
Paid	Payment succeeded; invoice closed. Subscription continues normally.
Uncollectible	All payment retries failed; dunning process ended. Invoice is marked as uncollectible. Subscription transitions to Unpaid.
Void	Invoice was canceled (voided) (e.g., if the subscription was canceled before the billing period began).

Flow Diagram

Customer Email Notifications

1. Default Email Events

• When a subscription is started – Email will be triggered as soon as a new subscription starts.

• When a subscription is finished – Email will be triggered when a subscription's end date is reached.

2. Customizable Email Events

• Upcoming Renewals – Email will be sent 7 days before renewal if the billing period is longer than 7 days.

• Expiring Cards – Email will be sent 1 month before the card expiration date. – If a new card is added within the expiration month, the email will be sent within 24 hours.

• Failed Card Payment Updates – Email will be sent every time a payment attempt fails, including retries.

• When an Invoice is Paid – Email with Receipt will be sent as soon as an invoice is successfully paid.

FAQ

❓Can customers change their payment method?

Yes. Customers can update payment details via the Subscriber Portal.

❓What happens if a payment fails?

The system retries payment per predefined retry settings. If unsuccessful, the subscription moves to Unpaid or Canceled depending on the configuration.

❓Can I set different billing intervals?

Yes. Subscriptions can be billed daily, weekly, monthly, or annually, with customizable interval counts.

❓Can I cancel a subscription immediately?

Yes. You can cancel via CRM or API, and customers can cancel from the Subscriber Portal.

❓What payment processors are supported?

Any PSP configured in your account that supports:

• Merchant-Initiated Transactions (MIT)

• Zero-Amount Authorization

• Gateway-Side Tokenization