Global Subscription & Billing Management Market (2021-2027) by Type, Solution, Deployment, Organization Size, Industry Vertical, and Geography, IGR Competitive Analysis, Impact of Covid-19, Ansoff Analysis

Global Subscription & Billing Management Market (2021-2027) by Type, Solution, Deployment, Organization Size, Industry Vertical, and Geography, IGR Competitive Analysis, Impact of Covid-19, Ansoff Analysis

Introduction

The Global Subscription & Billing Management Market is estimated to be USD 7.3 Bn in 2021 and is expected to reach USD 16.45 Bn by 2027, growing at a CAGR of 14.5%.

Key factors such as an increasing number of customers preferring subscription-based models in different industries are promoting the growth of the Global Subscription & Billing Management market. Today, businesses face difficulties in identifying higher customer churn rates, i.e., tapping new customers vis-à-vis existing ones. The adoption of subscription & billing management solutions helps the enterprises offer benefits and further enhance the service delivery to their customers, making it more personalized, which can help retain the existing customers. This aids in reducing the subscriber churn rate, and therefore these solutions are being adopted by different enterprises for their billing and subscription requirements. This has aided the growth of the market.

The complexities involved in data synchronization with existing IT infrastructure and the costs involved in upgrading these solutions can be a deterrent to market growth.

Market Dynamics

Drivers

• Rising Adoption of Subscription Business Models
• Increasing Need for Upgrading Legacy Systems
• Need for Reduction in Complex Monetization Models and Reducing Billing Errors
• Increasing Demand for Improvising Customer Retention by Reducing Subscriber Churn rate

Restraints

• Data Synchronization Complexities
• Costs associated with up-gradation and deployment

Opportunities

• Rising adoption to SaaS Business Models
• Need for Paperless Billing & invoicing
• Adoption of Machine Learning (ML) Technology to Further Optimize Subscription Billing Processes

Challenges

• Cloud Data Security and Privacy Concerns
• In-House Subscription Billing Practice
• Lack of Consistent Recurring Payment Infrastructure

Segments Covered

By Type, Software segment holds the highest market share. There are various types of subscription models being offered based on different industry requirements. The software used in different industry sectors stores data related to payments and processing charges to automate the payment mechanisms. This further facilitates a better customer experience and lowers the need for the enterprises to set up a workforce for assuring proper payment processing. Additionally, the software solution can integrate effectively with various e-commerce platforms, payment gateways, and other catalog management software. This has resulted in higher segmental growth of the software solution segment.

By Solution, the Subscription Order Management holds the highest market share. It is because there’s increasing popularity towards the adoption of subscription-based services with payment issued in the form of a usage-based, recurring, and one-time payment for the service consumption. The deployment of subscription order management software can manage the entire subscription lifecycle for an enterprise. This can help the enterprises engaged in managing the subscription lifecycle and payment processes efficiently.

By Deployment, the market can be classified as Cloud-based and on-premise. Amongst the two, the Cloud-based deployment holds the highest market share. This is mainly attributed to the increasing adoption of cloud-based deployment by the Software as a Service (SaaS) enterprises. Since they provide fast accessibility to the required billing information even from different locations and are agile by nature, they are being deployed for meeting customer subscription services. Moreover, their cost advantages are one of the prominent reasons for higher adoption rates leading to higher market segmental growth.

By Organization Size, the market is classified as large enterprises and small and medium-sized enterprises. Amongst the two, the Large Enterprises hold the highest market share. Since these enterprises are financially sound to make solid investments, they are investing in such software to provide and manage an efficient subscription service with their customers. With a wide operational base and a large number of clients, they are integrating these software solutions to manage customers’ critical data. With the rise in the adoption of subscription-based services, the vendors are increasingly focussing on the SMEs to provide customized subscription & billing software to enhance customer engagement through their services.

By Industry Vertical, the market is classified as BFSI, Retail and E-Commerce, IT, Telecom, Media and Entertainment, Public Sector and Utilities, Transportation and Logistics, and Others. Amongst all, the Media And The Entertainment vertical holds the highest market share due to the increasing consumption of digital media amongst the customers on a subscription basis. This has led to a vast customer base opting for subscription-based models, and the market players are, therefore, coming up with different subscription models to suit the needs of customers. To ensure the payment systems for different subscription systems are thoroughly managed, a subscription & billing management software can be supportive to such vendors. This software not only automates the payment procedures but manages the overall billing systems, thereby enhancing efficiency.

By Geography, North America is anticipated to lead the market. The factors attributed to the market's growth are the high presence of subscription & billing management vendors such as Oracle Corporation, SAP SE, etc., along with the high availability of cloud-based services. Moreover, increased spending on this software for automation of billing procedures for enhancing customer service delivery has led to wider adoption of subscription billing software aiding market growth further. Additionally, factors such as Bring Your Own Device (BYOD) and high utilization of mobile devices facilitate further growth of this region.

The Global Subscription & Billing Management Market is segmented further based on Type, Solution, Deployment, Organization Size, Industry Vertical, and Geography.

Global Subscription & Billing Management Market, By Type

• Introduction
• Software
• Services
• Consulting
• Implementation
• Support and Maintenance

Global Subscription & Billing Management Market, By Solution

• Introduction
• Subscription Order Management
• Billing Mediation
• Pricing & Quote Management
• Financial Customer Care & Dispute Management
• Others

Global Subscription & Billing Management Market, By Deployment

• Introduction
• Cloud
• On-premises

Global Subscription & Billing Management Market, By Organization Size

• Introduction
• Small and Medium-sized Enterprises
• Large enterprises

Global Subscription & Billing Management Market, By Industry vertical

• Introduction
• BFSI
• Retail and E-Commerce
• IT
• Telecom
• Media and Entertainment
• Public Sector and Utilities
• Transportation and Logistics
• Others

Global Subscription & Billing Management Market, By Geography

• Introduction
• North America
• South America
• Europe
• Asia Pacific
• Rest of the World

Company Profiles

Some of the companies covered in this report are Zuora Inc., Oracle Corporation, SAP SE, NetSuite, Inc., Cleverbridge AG, Cerillion Technologies Limited, Avangate, Inc., Apttus Corporation, Aria Systems, Inc., Transverse, etc.

IGR Competitive Quadrant

The report includes IGR Competitive Quadrant, a proprietary tool to analyze and evaluate the position of companies based on their Industry Position score and Market Performance score. The tool uses various factors for categorizing the players into four categories. Some of these factors considered for analysis are financial performance over the last 3 years, growth strategies, innovation score, new product launches, investments, growth in market share, etc.

Why buy this report?

The report offers a comprehensive evaluation of the Global Subscription & Billing Management Market. The report includes in-depth qualitative analysis, verifiable data from authentic sources, and projections about market size. The projections are calculated using proven research methodologies.
The report has been compiled through extensive primary and secondary research. The primary research is done through interviews, surveys, and observation of renowned personnel in the industry.
The report includes in-depth market analysis using Porter’s 5 force model and the Ansoff Matrix. The impact of Covid-19 on the market is also featured in the report.
The report also contains the competitive analysis using IGR Competitive Quadrant, Infogence’s Proprietary competitive positioning tool.

Report Highlights:

• A complete analysis of the market including parent industry
• Important market dynamics and trends
• Market segmentation
• Historical, current, and projected size of the market based on value and volume
• Market shares and strategies of key players
• Recommendations to companies for strengthening their foothold in the market