When it comes to both one-time and recurring revenue transactions, your company’s billing engine is your system of record. It captures every data point on every purchase, from subscriptions to one-time purchases to prepaid transactions, and it’s a powerful resource for evaluating revenue performance.
So how can your team leverage that data to optimize not only the billing process but the way you work with clients?
According to Gotransverse CEO James Messer, “A good billing engine helps clients understand all aspects of recurring, one-time and usage revenue for both postpaid and prepaid products. This helps provide management, product, marketing, and sales with a comprehensive view into the movements that drive revenue growth, and growth trends over time.”
4 Ways Billing Data Can Drive Growth
1. Identify Cross-Sell and Upsell Opportunities
Have you ever added a product to an online shopping cart only to be hit with recommendations for other things you might like to purchase as well? This information is populated largely by data about what people who purchased the item you’ve chosen also purchased (or considered purchasing). Your organization can leverage similar data about which products and services are usually purchased together or consecutively to capture cross-sell and upsell opportunities with your own clients.
2. Enhance Offerings
You can also use this data to identify whether certain products and services simply aren’t resonating, and then make informed decisions as to how to improve them to better meet clients’ needs. Are most clients ignoring certain features of your core product? It might be time to make those add-on purchases instead of core components. Are they hacking together functionalities they need by combining several different add-ons? You might increase sales by bundling them into a seamless offering.
Today’s customers have a key advantage in that, no matter what they’re buying, they have nearly limitless options. The more effectively you can leverage the data your billing platform collects to anticipate and meet those customers’ needs, the more likely they’ll be to remain loyal — and to spread the word.
3. Reengage At-Risk Clients
Have regular clients’ purchasing frequency or quantity started to dwindle? Behavior data from your billing platform can help flag “at-risk customers” to give your client success team the opportunity to reach out to them to answer questions, alleviate concerns, or solve problems before the clients disengage for good. When you know a client is unhappy for whatever reason, you can work to bring them back into the fold, increasing customer lifetime value and building even stronger relationships.
4. Track Trends Stay Ahead of the Curve
Finally, by tracking historical data, you can start to recognize and prepare for trends such as seasonal demand for products and services or customer reactions to external events and prepare accordingly. You may offer discounts during traditionally slow periods or offer certain features in bundles when you know they’ll be in high demand. By looking to historical data for insights, you can eliminate the guesswork from promotional pricing efforts and optimize revenue by making informed decisions about how to anticipate trends and waves in customer behavior.
While, in your organization’s early days, when offerings were simple and transaction quantity was low, tracking user trends and historical data may have been simple enough. But, says Messer, “as your services grows and your product catalog becomes more sophisticated, your reporting needs generally evolve. A good analytics or reporting engine can offer product, service, and usage-level filtering to better understand user adoption, retention, and price elasticity, along with many other variables across your portfolio.”
And all of these insights, when harnessed and used to power informed decision making, have the potential to significantly improve your organization’s customer relationships and your bottom line. If you’re ready to leverage deep insights and powerful analytics within your billing platform, contact us today to learn how Gotransverse’s built-in reporting engine can power your business’ growth.