Trends and Deployment Scenarios for Subscription Services
Global companies are shifting to subscription services as it allows them to showcase their potential offerings in a much more feasible manner. For as long as the customers can visibly find and experience the value of the services, they would engage and continue to pay for the same.
What accelerates the shift to subscriptions?
- Volatile markets demand flexible models that can adapt to innovations.
- Employees of any organization seek a purposeful workplace.
- Consumers require exceptional experiences.
- Society demands companies that are responsible and efficient in the services.
Subscription services with SAP
Subscription services offered by SAP leverages the SAP BRIM and SAP S/4 HANA solutions to streamline the entire subscription order and billing cycle. It adopts intelligent services that help to reimagine the customer and employee experiences.
SAP is best known for the customer-centric approach that facilitates business model adoption to fit what works best for their customers. These models include pricing packages, navigation scenarios, offers, recommendations, and delivery means. Such transparency in the business model nudges the one-off customers to long-term engagers. In addition, the digital transition to SAP subscriptions provides enterprises with value-added and software-based offerings, including recurring and usage-based billing.
SAP Subscription Deployment Scenarios
Companies can leverage SAP offerings for subscription services – SAP BRIM, SAP Subscription Billing, and SAP S/4 HANA to provide distinct and bundles service offerings. These bundled products and services are configurable and personalized according to the unique demands.
BRIM is a niche offering by SAP that aids companies in recognizing potential and suspicious contracts for proper subscription processing. The current version of BRIM implementation includes payment assignment for unallocated cash contracts, predicting invoices that could lead to issues, and optimal collections and settlements operations.
SAP BRIM is not just a module for subscription service but an entire end-to-end solution to handle integrations, service offerings, contracts, order management, invoicing, billing, maintenance, and settlements.
SAP Subscription Billing
SAP Subscription Billing supports customers with the subscription and solution billing business, right from the definition of the products, rate planning, subscription lifecycle management, and billing, including real-time pay-per-use price models. In addition, the Solution Profitability Dashboard delivers visualization of the business performance through analytics and tracking. In addition, it allocates potential KPIs for proper determination of profitability of solution orders by drilling down on segments.
SAP S/4 HANA
The S/4 HANA solution uses intelligent solutions such as machine learning, RPA, AI, and effective situation handling and management of integrations and subscription billing solutions. It also helps process financing through automated and intelligent accounting capabilities. In addition, the current SAP S/4 HANA facilitates innovative capabilities tightly integrated with its core technology.
SAP Subscription solutions help improve the entirety of the Order-to-Cash lifecycle without compromising on the ROI. The agile and extensible service offerings build up good customer retention and recurring revenue chances.