The transition to a subscription-based business model has been desirable well before coronavirus and the economic downturn. Consumers, whether under shelter-in-place orders or not, have significantly ramped up their subscription spend.
The primary draw for organizations to transition to a subscription-based business model is to protect themselves with a steady, recurring revenue stream while meeting the growing demands of their market amidst uncertainty. Although some organizations are seeing a dip in sales across physical products or ad revenue, they are seeing their subscription-based business make up for those declines.
Many organizations are using the current environment to accelerate their transition to a subscription-based business model. From tech companies to professional services organizations, we are seeing an increase in creativity, openness to transform, and an "all hands on deck" approach to driving this transition from the C-Level on down. Microsoft's CEO stated, "…we have seen two years' worth of digital transformation in two months."
The true test of the subscription-based business model will come as restrictions are lifted, life establishes a new "normal", and consumers begin to feel more comfortable leaving their homes. As that process slowly begins to take place, organizations must be prepared with the right information and business processes to adapt, keep a close track on renewals, and prepare to engage these customers in a different way.
This transition, however, happens across people, process, and technology. At Neocol, we help subscription businesses scale and grow. This has been our focus and we bring 16 years of best-practices, thought-leadership, and technology "know-how" to enable the success of transitions to subscription-based business models.
From unifying Sales & Finance through zero-touch contract management to reusable templates and repeatable integration techniques, Neocol has successfully partnered with Sales, Finance, and IT functions. Through functional domain expertise and best-in-class subscription management systems implementation (Salesforce CPQ & Billing) and integrations, this transition is more than possible.
To hear how we've helped companies scale and grow through this transition, before and since coronavirus, please reach out. We'd be happy to share more.