With the commencement of subscription and usage-based business models, there has been a radical change in the way businesses perform. As you run a subscription business, it is imperative to invoice subscribers regularly, configure new pricing plans, and handle churn. In this new, complex business environment, along came the involvement of mass data and other challenges.
The challenges faced by companies when implementating subscription-based pricing model follow:
High-volume data
As companies and customers starts to respond to the new business pricing model, the incoming data sources multiplies, and it becomes hard to manage and organize all the data in a meaningful manner. In the long run, this could result in a disorganized business process.
Increased Complexity
With the increasing number of online scenarios, the maintenance and expansion of business became complex targets to attain. These targets would affect the time-to-market and block the path for new business strategies and market possibilities.
Increased Billing
The major challenge for organizations was the high-volume billing. This challenge required an ultimate standardization for management.
How does SAP Convergent Mediation identify and overcome these challenges?
SAP Convergent Mediation is integrated into the SAP BRIM landscape to obtain all the data regarding the order, contract, kind of contract, and so on from different sources and aggregate them according to the consumption and then passed on to charging and invoicing.
Convergent mediation is an imperative component for a high-volume order-to-cash lifecycle. It incorporates the functions such as data acquisition from various sources, perform data enrichment, data sequencing, duplicate checking, aggregation, and data coordination. In addition to this, SAP CM manages the data acquired on a centralized platform in real-time and analyses them.
Business benefits of integrating SAP Convergent Mediation:
Accelerated Time-to-Market
The effective management of data will substantially improve the time-to-market which is the product-to-market period. This will eventually make way for new business strategies and advancements on the go.
Steady Order-to-Cash flow
The O2C flow becomes more stable and ramped up starting from order management, order fulfillment, mediation, charging, invoicing, to cash settlements corresponding to the type of contract.
Stronger Customer relationship
SAP CM adds value to customers with speedy deliveries and services. This helps in boosting the customer relationship and guarantees their retention to obtain future services.
Nurture your SAP BRIM platform by providing a strong surround of order-to-cash business process with SAP Convergent Mediation. This will allocate a single connection between the upstream systems and your BRIM landscape. Broaden your futuristic scope for market opportunities by integrating this flexible, efficient, and scalable component into your subscription and usage-based business pricing model.