Coined in 1996, cloud computing’s history goes back a few decades. As it continues to evolve, this virtual environment has become the technology that tech-savvy businesses and industry leaders rely on. Although this is true for many internal processes, billing and more specifically subscription management are beginning to embrace cloud-based subscription management and its many benefits.
At the center of the customer lifecycle, subscription management is a multi-faceted operation that if handled efficiently and accurately produces long-term customer loyalty. When poorly managed, customers lose trust and will churn, resulting in revenue loss. Getting it right requires time, effort and resources, which for many companies is in short supply.
Essentially, businesses have two choices – keep everything local or move one of their most essential processes to the cloud. BillingPlatform believes that cloud-based subscription management is the best choice for this complex business-critical application. This sentiment is echoed by data cited by Forbes which revealed that 94% of enterprises already use a cloud service.
Save Money with Cloud-Based Subscription Management
While there are many cost-cutting benefits of moving subscription management to the cloud, we’re going to focus on the top five.
- Hardware optimization: Since the servers are located off premise, you won’t incur hardware costs. In addition, hardware usage fluctuates, which typically requires redundant in-house servers. By transitioning subscription management to the cloud, you receive scalable services to meet fluctuating capacity demands – without the added expense.
- Set-up and ongoing expenses: Companies that keep subscription management in-house encounter initial costs associated with purchasing equipment and setting up their internal IT infrastructure. Over time, you can expect planned and unexpected expenses resulting from ongoing maintenance, operations and upgrades. Conversely, the cloud provides a cost-effective alternative, with maintenance typically handled at a minimal cost. This enables you to reduce capital expenditures.
- Internal IT expense: Keeping on-premise systems operational requires a team of highly skilled IT professionals. This can result in a sizable outlay of cash when you consider the expense of hiring, training and salaries. On the other hand, shifting to the cloud reduces the need for a team of IT specialists. Software updates are implemented and tested remotely, and hardware maintenance is routinely performed. When it comes to savings, historically 50% of cloud adopters required fewer internal IT resources.
- Enhanced security: What once was a barrier to cloud adoption has become a benefit. Affecting enterprises and small and medium-sized businesses (SMBs) alike, data breaches and other cybercrimes are on the rise, which can result in paying massive amounts in ransomware. Cloud computing offers advanced security to help keep your data secure. In addition, if a data breach occurs, disaster recovery typically happens faster for cloud-based applications than for applications that remain on premise, enabling you to get back to business faster.
- Energy costs: It comes as no surprise that in-house conventional servers consume massive amounts of energy. When you move subscription management to the cloud you gain efficiencies that are unavailable with in-house systems – ultimately saving you a considerable amount of money on energy bills.
Seize Business Benefits with Cloud-Based Subscription Management
Financial benefits aren’t the only advantages of moving subscription management to the cloud. While the cost savings you’ll receive from migrating to the cloud ultimately help boost your profitability, there are other considerations that are equally as tangible. Let’s take a look at four leading business benefits.
Gain competitive advantage
With its growing popularity, you want to be a leader and not a laggard when it comes to moving subscription management to the cloud. With the ability to quickly implement changes, your company will stand out in a crowded marketplace.
Reduce system downtime
Who hasn’t been working relentlessly to meet a deadline, when just as you’re about to cross the finish line the system goes down? For subscription management, downtime can have devastating effects on your customers and their satisfaction. With cloud-based subscription management, you not only get improved uptime, but it saves money on the costs associated with fixing issues related to downtime.
Going green requires more effort than it did even just a few short years ago, as it touches nearly every aspect of your business. With cloud-based subscription management you’ll be reducing your carbon footprint, improving energy efficiency, and decreasing paper waste. A report by Pike Research predicted that the adoption of cloud computing and other virtual data options will help decrease data center energy consumption by 31%.
Collaboration is the key to efficient and effective teamwork. While collaboration is possible with in-house systems, it’s not nearly as effective or secure for the sharing of information. Cloud-based subscription management allows your teams to easily work together and get the job done.
The Power of Cloud-Based Subscription Management
To stay ahead you need to run your business efficiently, deliver exceptional customer service, and improve profit margins. With cloud-based subscription management you’re able to alleviate a lot of the issues that plague companies that maintain on-premise IT infrastructures.
Are you ready to reap the benefits of cloud-based subscription management? BillingPlatform delivers a cloud-based platform that easily adapts to any billing need or business requirement – giving you total control. With our cloud-based solution, you’re able to reduce the costs of managing and maintaining your IT systems. This allows your team to focus on what’s really important – your core business. Our team is ready to show you more, reach out to talk to our experts now.