The SaaS market is experiencing an unprecedented shift in subscription services. There are a plethora of subscription billing models that drive higher subscriber retention. This shift is quite a buzz across the globe. SaaS players find that subscriber retention drives business scalability and acts as a catalyst for building a new growth strategy. It’s hence imperative to build robust monetization models and transform the ecosystem.
Defining an Agile Monetization Platform - MGI Research
The concept of agile monetization was defined by MGI research five years ago. An agile monetization platform enables subscription providers to sell Anything-as-a-Service (XaaS). It unifies the idea of selling services and products alike. Services selling creates experiences that are equivalent to owning products. For example, jet engine suppliers are now selling flight hours instead of jet engines. Even car manufacturers see a similar trend – Europe is seeing the adoption of subscription-based car usage take off. Agile monetization enables a quick launch of new products and services and builds innovative revenue models. This global desire exposes weaknesses in the existing processes and functional gaps of legacy enterprise applications, as MGI Research explains. Watch this video by Andrey Dailey – Managing Director, MGI Research.
What can Agile Monetization do for your Business?
A defining aspect of an agile and modern monetization platform is its ability to remove the hurdles for launching new products and services. This could be encouraging for progressive companies that are flexible and scalable but may not be for organizations with legacy billing systems. Legacy systems lack flexibility and delay the launch of subscription-based products and services. On the contrary, API-driven ecosystems significantly enable agility and flexibility, reduce time-to-market, and push products to new market territories. In simple terms, cloud billing enables flexibility and reduces time-to-market, thereby improving efficiency. They transform billing systems by bringing agility and enabling in-depth functionalities and features. Comparatively, the historically expensive systems could not support configuration and integration. Additionally, change management in these systems was slow and costly. As of late, small and medium-sized organizations can also leverage tools at competitive prices as large enterprises.
The era of cloud and agile-based solutions is gaining ground and favorability with those that previously relied on legacy systems. This is because they promise and deliver agile, quick-to-configure solutions that can rapidly implement solutions for companies of any size.
Agile monetization can effectively drive high subscriber retention and offer superior customer experiences. Want to learn more? Watch this video outlining how agile-based solutions can cater to your customer happiness index.
Want to learn more? Let's discuss agile monetization and how Evergent can help you reach your goals.