30% of your churn is involuntary, stemming from failed payments. With GoCardless, maximise payment success and retain your customers for longer.
30% of your churn is involuntary
Churn is a concern for every subscription business. Every subscriber that churns is a source of recurring revenue lost, and acquiring a new customer is up to 25x more expensive than retaining an existing one. 30% of that churn is involuntary, typically caused by failed credit and debit card payments. It occurs when a card is lost or stolen, it expires, or the customer’s bank rejects the payment.
We didn’t want recurring card payments because as soon as the card expires, you lose that donor.
Charlotte Hillenbrand, Executive Director of Innovation & Digital, Comic Relief
Is it time to rethink your payment strategy?
On average, businesses with B2C revenue see 16-20% their failed payments turn into bad debt, while B2B businesses see 11%-15% turn into bad debt.
This startling statistic was uncovered in a Forrester Consulting survey of 700 payment decision-makers.
Read the new report to get all the insights, as well as recommendations for how to overcome your payment challenges.
Pull-based payment collection
GoCardless is built on bank debit, a pull-based, bank-to-bank payment method that allows businesses to pull payments directly from their customers’ bank accounts.
Low payment failure rates
With GoCardless, around 97.5% of payments will be collected successfully at the first time of asking. With real-time reporting, know instantly when a payment does fail so you can take action.
Sit back and let Success+ retry payments on the optimal day to collect from each customer. Recover up to 76% of any payments that do fail with Success+.
Optimise your payments with Success+
Success+ does all the heavy lifting, calculating the best time to retry a payment and tracking which payments have been successfully collected. 89% of businesses said Success+ saves them time.
Local payments, global reach
No matter where your customers are in the world, make paying your business quick and simple. With GoCardless, offer a trusted payment method and localise your payment pages for more than 30 countries including the UK, Eurozone countries, the USA and Australia.
We have a payment failure rate of only 0.4%, and many of those are rectified instantly upon retrying the payment.
Damian Clements, Finance Director, Yorkshire Energy
"Getting everything live was totally painless"
The British Journal of Photography is a renowned photography magazine with subscribers based all over the world. Using GoCardless, BJOP has been able to increase renewal rate from 60 to 90%, and transform its online offering into an end-to-end subscription model.