In this fast-paced era, the subscription economy is flourishing unprecedentedly. Today, where convenience is paramount, businesses increasingly turn to subscription models to forge a lasting relationship with their potential customers. But, here comes the major question – How can businesses effectively manage and optimize the burgeoning revenue stream generated from subscription-based models? As a result, the demand to build a subscription management app comes into the picture.

Did you know that as of 2022, the subscription market had grown by a staggering 437% in just a decade? With millions of subscribers worldwide, the demand for efficient subscription management apps has never been more pressing. So, why not take advantage of this rising opportunity and discover ‘How to make a subscription app’ that will manage all your revenue streams in a go? Impressive, isn’t it?

Well, if you are considering subscription management app development, there is no better guide than this blog. It will help you know everything from ‘What is a subscription management software?’ to ‘How to build a subscription management app?’ and ‘How much does subscription management app development cost?’

So, let’s get started…

 

Subscription App Market Stats And Facts – An Overview

As per Statista, the anticipated expenditure on mobile apps from the Apple App Store and Google Play is set to reach approximately $186 billion in 2027.

It represents a substantial surge, exceeding 50% compared to the combined consumer spending on these platforms in 2022.

 

• In 2021, revenues from subscription apps globally surged to $18.3 billion, marking an impressive growth of nearly 41% from the preceding year.
• In the United States, primary subscription apps available on the Apple App Store recorded a substantial user spending of $6 billion in 2021. Concurrently, subscription apps accessible on the Google Play Store contributed $2.5 billion in revenue during the same period.
• From SVOD entertainment platforms to mobile fitness and health applications, subscription models have become a ubiquitous pricing strategy for digital acquisitions.
• Consumers are progressively embracing the idea of recurring payments and even lifetime subscriptions. Projections indicate a robust growth in subscription revenues for media and digital content between 2021 and 2025, with an anticipated increase of over 13.5%.
• Statista reports state that, by the end of 2025, consumers are expected to contribute around $1.26 trillion to services utilizing recurring billings and the financial significance of subscription-based offerings in the digital landscape.

 

What is Subscription Management Software?

Subscription management software is a platform or tool that enables businesses to manage and automate subscription-based services efficiently. Subscription apps facilitates the process of creating, modifying, and cancelling subscriptions while managing billing cycles and customer accounts.

 

 

With the best membership apps, businesses can streamline all of their subscription-related tasks, including invoicing, payment processing, and renewal notifications. It results in enhanced operational efficiency and better customer experience. Overall, subscription management app development or similar financial app development is crucial for companies offering subscription-based products or services.

“For Example – Zora is a very popular subscription management software. Its comprehensive platform enable businesses to manage their subscription-based business models effectively. Zora has exclusive such as flexible pricing, automated billing, revenue recognition, and analytics to optimize subscription performance. Businesses can build a subscription management app like Zuora to enhance their subscription operations, reduce manual efforts, and gain valuable insights into their subscription-based revenue streams.”

 

How Does Subscription Management Software Work?

Businesses that are planning to develop a mobile app or software for subscription management must know how it works. So, here is a step-by-step explanation reflecting ‘How subscription management software works?’

 

1. Customer Onboarding

Businesses input customer information into their subscription management system during the onboarding process. Meanwhile, customers can subscribe to a product or service by choosing any plan and billing cycle.

 

2. Billing and Invoicing

The subscription management software automates the billing processes based on predefined subscription plans, intervals, and pricing structures and sends them to the customers.

 

3. Payment Processing

Subscription software has secure payment gateway integration so that customers can make payments securely using any payment method.

 

4. Auto Renewals

The software automatically tracks subscription expiration dates and renews subscriptions based on customer preferences. Customers can modify their subscription plans or upgrade/downgrade their services anytime.

 

 

5. Communication and Notifications

Automated communication, such as renewal reminders, payment confirmations, or notifications about plan changes, keeps customers informed. Also, businesses can customize push notifications to enhance the customer experience.

 

6. Customer Support

The software often includes customer support features, enabling businesses to address customer inquiries, troubleshoot issues, and provide assistance related to subscriptions.

 

Example of Popular Subscription Management Software in 2024

Currently, there is a massive list of the best subscription management software on the market. Among all, here are the 5 most popular subscription management software that will rule in 2024 and beyond as mentioned by the leading mobile app development company experts. 

 

 

1. Chargebee

Chargebee is a popular subscription management and recurring billing solution that helps businesses handle their subscription billing needs. Companies can easily integrate Chargebe with the tech stack and make it the heart of their revenue operations.

 

Key Features of Chargebee

• Subscription billing and invoicing
• Revenue recognition
• Analytics and Reporting
• CRM Integration and accounting systems

 

2. Zuora

Zuora is a comprehensive subscription management platform designed to handle subscription billing, revenue recognition, and subscription metrics. It caters to a variety of industries, including SaaS, media, and telecommunications.

 

Key Features of Zuora

• Recurring billing and invoicing
• Subscription lifecycle management
• Revenue recognition
• Payment Gateway Integration

 

3. Chargify

Chargify is a subscription management platform or web based subscription services provider that helps businesses manage their recurring billing needs. It stands as the sole billing and revenue management platform specifically tailored for the exclusive use of rapidly expanding B2B and SaaS enterprises.

 

Key Features of Chargify

• Subscription management
• Billing automation
• Revenue recognition
• Customizable invoicing

 

4. Stripe Connect

Stripe Connect is part of the Stripe payment processing platform and provides subscription billing services. It enables businesses to handle recurring payments, invoice creation, and subscription analytics.

 

Key Features of Stripe Connect

• Subscription and usage-based billing
• Invoicing and dunning management
• Global payment support
• Integration with Stripe’s other products

 

5. Braintree

Braintree, a PayPal service, offers subscription and recurring billing capabilities. It is known for its easy integration and supports various payment methods.

 

Key Features of Braintree

• Advanced Payment Protection
• Mobile SDKs for in-app Payments
• Recurring Billing and Subscriptions
• Payment Gateway Integration

 

Why Should Businesses Invest in Subscription Management App Development?

The invention of subscription management app development has made it easier to streamline operations, enhance customer experience, and optimize revenue streams. Such apps enable efficient tracking and management of subscription services, ensuring timely renewals and preventing revenue leakage.

 

 

Still, 50 out of 100 business owners are confused regarding whether they should build a subscription management app or not. They keep wondering about the benefits of investing in subscription software development. Are you too among them? If yes, then you should read this.

 

• Revenue Stability: Subscription models provide a predictable income stream, enhancing financial stability and allowing businesses to plan more effectively.
• Personalized Experiences: With a subscription management app, businesses can deliver tailored content, promotions, and recommendations while enhancing customer engagement and satisfaction.
• Customer Retention: Subscription management apps foster long-term relationships by automating renewals, reducing customer churn, and providing a seamless user experience.
• Data Insights: Subscription management apps generate valuable data on customer behaviour, preferences, and usage patterns, enabling businesses to make data-driven decisions for targeted marketing.
• Operational Efficiency: Automation of billing, invoicing, and subscription tracking streamlines internal processes, saving time and resources while minimizing errors.
• Global Reach: Subscription models facilitate global expansion by offering services or products to customers worldwide, breaking down geographical barriers.
• Scalability: Subscription models are easily scalable, accommodating growth in customer base and transaction volume without major overhauls to the business model.
• Enhanced Customer Loyalty: Subscription apps build a sense of loyalty through convenience, exclusive benefits, and a continuous value proposition, fostering a stronger connection between the brand and the customer.

 

7 Steps Process to Build A Subscription Management App

If you are planning for subscription management app development and wondering, ‘How do you create a subscription app that will automate all your subscription-based activities and streamline revenue management? Stop right here. The following are the seven simple steps that will help you build subscription management software like a pro.

 

 

#Step 1 – Define Requirements & Objectives

Before you create a subscription-based software, identify the core features and functionalities you want in your subscription management app. Determine your potential target audience and their needs. Set specific goals for the app, such as simplifying subscription tracking, automating billing processes, or improving user engagement.

 

#Step 2 – Conduct Market Research

As there are so many popular and the best subscription management apps available in the market, you must know about them. Therefore, analyze existing subscription management apps to understand their strengths and weaknesses. Identify potential competitors and determine what sets your subscription software apart.

 

#Step 3 – Design App’s UX/UI Design

Now that you have a better understanding of subscription management applications, after in-depth research, create wireframes and mockups to visualize the app’s layout and flow. Design an intuitive and user-friendly interface to enhance the overall user experience. But make sure the subscription software design aligns with your brand and business app development goals.

 

#Step 4 – Choose Popular Features & Tech Stacks

Select the appropriate technology stack based on your app’s requirements, considering factors like scalability, security, and platform compatibility. Choose a development framework and programming languages that align with your team’s expertise. Also, remember to integrate unique features when you build a subscription management app.

 

 

#Step 5 – Subscription Management App Development

Finally, you can begin the process of subscription management app development. Here, you can use all the useful information gathered in the previous stages. Start by dividing the development process into sprints and use an agile methodology for better project management.

Do not forget to integrate secure payment gateways for handling subscription transactions securely. You can also connect with banking app development company professionals if you are not sure about how to create a service app.

 

#Step 6 – App Testing & Launch

Once you successfully create a subscription software, conduct thorough testing, including unit testing, integration testing, and user acceptance testing, to identify and fix bugs promptly.

Test the app’s performance, security, and compatibility across different devices and platforms to make sure it runs across all devices seamlessly. Always remember that your app will never be able to grab users’ attention if it contains lots of bugs and errors, so perform app testing carefully.

 

#Step 7 – Subscription Software Maintenance

Deploy the app to the chosen hosting environment. Monitor the app’s performance post-launch and address any issues promptly. Plan for regular mobile app support and maintenance services to keep the app running seamlessly.

If you follow all the seven steps mentioned above, no one can step you from developing subscription management app like Chargebee or any popular subscription software. Besides this, if you lack technical expertise and find the process difficult, it is advisable to connect with a well-known subscription management app development company.

 

7 Key Features of A Subscription Management App

If you are developing subscription management software from scratch, you must know the key features to create the best app for subscription management. So, to help you with the same, the banking app development company professionals have compiled a list of the must-have features of subscription management software development. Do not miss them!

 

 

1. Automated Recurring Billing

Managing your cash flow efficiently requires a smooth subscription management or billing process. The implementation of automated recurring billing not only saves significant hours of manual work but also acts as a crucial safeguard against potential revenue losses in your subscription processes.

 

2. Automated Invoicing

Billing and invoicing are closely intertwined aspects. Your subscription management app should streamline the generation of recurring invoices, automatically synchronizing invoice details from your accounting platforms, such as Quickbooks or Xero.

 

3. Smooth Checkout

Achieving a seamless user experience during the checkout process is paramount. Any impediment at this stage may lead to customer loss through the discouraging realm of abandoned carts. So, make sure when you build a subscription management app it should facilitate the delivery of a frictionless checkout experience, offering support for multiple payment gateways and secure payment gateway integration.

 

4. Automated Invoice Reminders

As your company expands, handling numerous subscriptions becomes a necessity. Therefore, subscription software that automatically dispatches invoices to customers upon payment of subscription fees is crucial. This process is typically automated, similar to the payment procedures.

 

5. Product Catalog Management

Managing the packaging and billing for multiple products or product lines is crucial for your business. Each product may come with its unique pricing plan, add-ons, and recurring/non-recurring charges, introducing an additional layer of complexity when you build a subscription management app. A product catalog consolidates the management of all product lines and plans under a unified roof.

 

6. Efficient Collections

The ultimate goal for any business is efficient collections. Your billing software should simplify the collection process by offering multiple payment options for users to choose from, reducing the time spent on manual efforts to chase late payments. So, create a subscription service that streamlines the entire workflow from purchase to payment, proactively engaging with customers to anticipate payment failures.

 

7. Subscription Metrics Analytics

In every subscription-based enterprise, essential metrics like Monthly Recurring Revenue (MRR), Churn Rate, and Customer Acquisition Cost (CAC) are closely tracked. The data from your subscriptions provides valuable insights, serving as a valuable resource for optimizing business growth.

Subscription analytics offer a comprehensive 360° perspective on your revenue. So, do not forget to add this feature when you build a subscription management app like Chargebee.

 

How Much Does It Cost to Build A Subscription Management App?

What is the average cost required to build a subscription management app? It is the foremost question that strikes every business owner’s mind when they plan for the subscription management app development process. Well, the basic cost to develop subscription software begins at $5,000 and might go beyond $25,000 and more. The final mobile app development cost depends on the type of app developed.

 

Feature	Basic	Average	Complex
Development Cost	$5,000 – $10,000	$10,000 – $20,000	$20,000+
Development Platform	iOS or Android	iOS & Android	iOS, Android, & Web app
Development Team	Freelancers/Offshore	App Development Company	In-house Team
Design	Pre-built Template	Custom Design	Custom Design with Animations
Additional Features	Payment Processing	Multi-tier Plans	User Management, Analytics & Reporting

 

Also, there are some major factors influencing the cost to build a subscription management app model, as listed below.

• Features Complexity – More advanced features, such as integrated payment processing, multi-tier plans, and user management, will significantly increase the subscription management app development cost.
• Development Platform – Developing native apps for both iOS and Android will be more expensive than building a single cross-platform app. So, decide on the platform to launch subscription management software.
• UX/UI Design – The design of your subscription management software will influence the cost to develop a mobile app. So, try to keep the user interface and user experience simple and effective.
• Development Team – Hiring experienced developers from established mobile app development companies will help you get the best business solutions as per your budget. So, do not go freelance; instead, hire dedicated developers from a well-known firm.
• Third-Party Integrations – The more integrations you will add to your subscription management app, the higher the cost to build a subscription management app, so make your decision wisely.

 

 

How Much Does Subscription Management App Maintenance Cost?

The cost to maintain a subscription management app can vary widely depending on multiple factors, including the app’s complexity, features, platform (iOS, Android, web), and ongoing updates.

On average, subscription management app maintenance costs are approximately 15 to 25% of the overall subscription software development cost. It includes expenses related to bug fixes, security updates, server maintenance, and compatibility adjustments.

 

Additionally, the progressive web app development cost and other cost to build a subscription management app may increase if the app requires frequent feature enhancements or if there are specialized compliance requirements. It’s crucial to budget for regular maintenance to ensure the app’s optimal performance, user satisfaction, and compliance with industry standards.

 

Ready to Build A Subscription Management App? Let’s Connect

The world is increasingly reliant on subscription-based services, and creating a streamlined, user-friendly mobile app to manage these subscriptions is not just a business opportunity but a solution to a growing need. Therefore, investing in subscription management app development can be the best bet for your business.

So, if you are planning to build a subscription management app, connecting with a reliable mobile app development company like Dev Technosys can help you ensure success.

With a team of dedicated developers for hire, we always ensure the delivery of exceptional subscription management app development services. Let’s create something remarkable together — a subscription model that not only simplifies the lives of users but also contributes to the evolving landscape of digital solutions.

To date, we have developed similar and the best subscription management apps like Zuora and Chargebee. Book a consultation with us or request a free quote.

 

Frequently Asked Questions

 

Q1. What is Subscription Management Software?

Subscription management software helps businesses handle and automate the processes related to subscription-based services, including billing, customer management, and renewals.

 

Q2. Why Should I Create A Subscription Management App?

Creating a Subscription Management App streamlines billing, improves customer experience, automates renewals, and enhances overall efficiency, leading to better customer retention and increased revenue.

 

Q3. How Much Does Subscription Management App Development Cost?

Development costs vary based on features, complexity, and developer rates. A basic subscription management app costs somewhere between $8,000 to $25,000 and more, while more complex solutions cost more than $25,000.

 

Q4. How to Increase Profit from My Subscription Management Software?

Increase profits by optimizing pricing models, offering tiered plans, leveraging upsells, improving customer engagement, and reducing churn through enhanced service and features.

 

Q5. What Are the Key Features Required to Build A Subscription Management App?

The essential features required for subscription management app development are – 

• Subscription plans configuration
• Payment gateway integration
• Push notifications
• User authentication & authorization
• Cancellation and refund management
• Multi-platform support
• Security measures
• Automated billing and invoicing