Merchants’ Attraction To The Recurring Subscription Model

Retailers and other companies want visible, dependable top lines – and growth – amid lower costs. One way to get there is to embrace a recurring subscription model. Recurring payments are worth hundreds of billions of dollars annually, as evidenced in the latest Global Recurring Payments Tracker. But payment acceptance and preferences must be carefully monitored – and SCA implementation looms, too.

Data:

$385B: Total value spent on recurring payment services in 2018.

5.6 percent: Share of estimated monthly churn rate for subscription businesses.

350 percent: Estimated retail sales growth in the subscription market from January 2012 to October 2019.

10 percent: Estimated minimum conversion losses subscription businesses will face in the wake of SCA.

8 percent: Estimated share of Malaysian commerce that takes place online.