Electing to accept subscription payments for your small business or club paves the way for both advantages and challenges. When all goes well, you gain predictability, increased cash flow and an enhanced and enriched relationship with your members. 

Integrate the following tips into your business model to minimize problems and optimize the benefits of recurring billing.

1. Focus on your customers’ experiences.

Whether you run a small gym, a daycare center or some other type of subscription operation, one fact remains consistently true: providing an optimal customer experience is vital. When people are happy with your products or services, they are more likely to submit their payments in full and on time.

Transparency and regular, clear communications make all the difference. Subscribers need to understand all aspects of their plan, including your late payments and termination policies, to ensure that there are no surprises. 

You also should clearly describe what actions you will take in the event of card expirations or customer account terminations.

2. Offer several ways to pay.

The point of sale system furnished by your payment provider contains a rich storehouse of tools that you can leverage to make the most of your business in general and your subscription model in particular. 

One of the most often overlooked is the mechanism that enables you to configure multiple payment types into your menu of customer choices.

Of course, your system will allow people to have withdrawals taken from their credit or debit card or bank account. However, you can also give customers additional choices, including paying with Apple Pay, Google Pay or other digital wallet-based services. 

Another relatively new option that is gaining popularity in recent years is the payment link. This is an URL or QR code that can be provided to the subscriber via email or text message or on your website. 

When the user activates the link, they are taken to your secure, branded payments page where the process can be completed, usually in a matter of a minute or two.

3. Reward loyalty.

As we stated above, satisfied customers tend to pay more and stay longer. Increased profits and greater retention are two of the biggest secrets of subscription business success.

Make it worth your client's while to submit their payments on time and to renew their monthly subscription plans. The sky's the limit when it comes to incentives. Consider, for example, offering a 10 percent ongoing discount to your long-term members. 

Alternatively, incentivize clients with a flawless payment history with free products or deep discounts on accessories that are compatible with the goods and services they are already receiving in their subscription packages.

The stronger your communications are, the more likely it is that monthly dues and subscription payments will be submitted on time and as requested. 

When the doors of dialogue are open, customers can come to you with concerns or any difficulties that suddenly arise well in advance of their due date, giving both of you time to work out any kinks to ensure that the flow of funds and services remains uninterrupted.

The subscription model furnishes everyone involved with a host of advantages. 

Use a strong combination of POS technology and good old-fashioned customer service to form the foundation of your program, and you will be rewarded with happy customers who are loyal to your brand, and are eager to refer your store to their social contacts.