3 Benefits of Platform Architecture for Billing Systems
The days of rigid, heavy back-office billing systems are coming to an end. In the current digital age, organizations need to quickly adapt to rapidly changing consumer preferences and disruptive payment models. Rather than using out-of-the-box billing products, many are turning to flexible, cloud-based platform solutions. True software platforms allow you to integrate seamlessly with other core enterprise functions.
When used effectively, billing management platforms help organizations differentiate themselves from the rest of the market. We’ve evolved beyond stringent point solutions and no longer face a false choice between simplicity and customization when it comes to billing. You need both to succeed in today’s ecosystem.
Here are three reasons why platforms clobber out-of-the-box billing systems.
1. Billing Management Platforms Adapt to Market Demands
Although out-of-the-box systems can execute basic billing activities effectively, they don’t offer the flexibility needed in today’s fast-paced global economy. More and more, consumers are demanding uniquely tailored payment models that are intuitive and easy to use. Billing has become a competitive differentiator and value-add. Organizations that can’t adapt to these shifts will continue to lose to their more tech-savvy competitors.
Contrary to out-of-the-box billing systems, billing systems built as true software platforms are highly customizable and can be modified to support any kind of payment model, regardless of complexity. Without any prior coding knowledge or experience, platforms enable users to quickly and easily create new applications and establish innovative workflows that support business processes that were either done manually or with point solutions. Flexible billing architectures can automate high-volume metered offerings and support a vast array of operations that are all tied to revenue recognition. This kind of elasticity is essential for organizations that want to remain relevant over the long term.
2. Billing Management Platforms Increase Speed to Market
Out-of-the-box systems are also far less agile than billing platforms. Often, custom IT intervention or software development is required in order to make changes to pre-packaged solutions. Organizations can’t afford to waste time and money updating their billing function when change occurs so rapidly.
With cloud-based billing platform, organizations can launch new product offerings or payment models in hours or days rather than months or years. Going to market quickly and efficiently is increasingly important as many companies are exploring new ways to attract customers. Today’s consumers want a wide variety of options when it comes to paying for services, and they move swiftly between offerings that don’t meet their needs. With agile billing platforms, organizations can successfully navigate this customer-centric world and deliver highly tailored pricing models with relative ease.
3. Billing Management Platforms Extend the Financial Ecosystem
In most cases, out-of-the-box billing systems require significant IT support in order fully integrate with other enterprise functions. Billing is no longer a strictly back-office process that sits in isolation. It must coordinate with other areas, such as marketing, financial reporting, and sales, to support the level of fluidity and interconnectedness necessary in today’s tech-enabled world.
Cloud-based billing platforms are highly extensible and can easily connect to new usage feeds, external applications, and other internal systems. Through the use of APIs, billing platforms ensure that the entire financial ecosystem is in sync at all times. Application extensions enable billing to automate critical processes and connect with tax, ERP, and CRM platforms, such as Salesforce. As a result, organizations have the ability to deliver one truly complete, end-to-end billing experience.
Billing Platforms, Not Systems, Are The Way Of The Future
As Platform-as-a-Service (PaaS) providers (e.g. Salesforce) have grown more sophisticated, organizations have access to highly configurable and scalable solutions that enhance generic business functions. In the billing space, BillingPlatform is the only company to offer a highly flexible, agile, and extensible cloud-based billing management platform that can adapt to meet any need.
Read this whitepaper to learn how an agile platform transforms billing from an afterthought, isolated to the back-office, to a powerful tool for modeling and capturing new business.