This article discusses how to set up pricing, billing frequency, and other options for subscriptions.
This article discusses how to set up pricing, billing frequency, and other options for subscriptions. Using the FastSpring App, you can access the Pricing dialog for a subscription by clicking the Edit button in the Pricing section of the subscription's details.
The Subscription Type section of the window lets you configure options regarding the subscription duration and frequency of billings.
- The Standard option at the top of the section is selected by default. Standard is the correct setting to use for all subscriptions that have automatic billings. If you select Managed, the subscription billings will not occur automatically. Instead, you will have the option of triggering each charge manually or via an API call. For more information about managed subscriptions, please see Managed Subscriptions and Usage-Based Billing.
- Charge Interval only appears when the Subscription Type is Standard. It lets you control how often billings will occur. Click the drop-down and select how often FastSpring will bill the customer.
- In the Free Trial Days field, you can optionally enter the number of days the free trial period should last, if any. For the specified number of days following the transaction date, FastSpring will not charge the customer for the subscription. If you enter a value here, the customer will have to enter payment information (e.g., a credit card) even though no charge will occur initially. The transaction will initially be free to the purchaser, and a charge will only occur after the specified duration has passed.
- In the Length section, specify whether the subscription billings will continue indefinitely (i.e., until cancellation or a failed billing has occurred), or only for a pre-defined number of billings. Rebill indefinitely is selected by default, but if you select Rebill for X periods, you can enter a number to specify the total number of charges that will occur (including the first charge).
When would you use a fixed number of Rebill periods?Suppose you offer a product with a payment plan. Customers are allowed to make several payments instead of paying a single price upfront. Then, once they have made the pre-defined number of payments, the product or license is theirs perpetually, and no more payments are required. For example, if you wanted to collect 12 monthly payments of $19.95 each rather than a single payment for $199.95, you could make it easier for customers to afford the product. At the same time, you would earn more revenue in the longer-term from customers who choose this option compared to those who buy the license outright.
You could set this up by specifying a Standard subscription with a Monthly Charge Interval, any number of optional Free Trial Days, and the Rebill for X periods field set to 12.
However, please bear in mind that the customer can cancel any subscription at any time via the Customer-Facing Account Management site. You should consider this when designing a payment plan.
- If FastSpring Support has enabled the Advanced Subscription Scheduling feature for your Store, selecting Rebill for X periods presents you with a drop-down selector to let you control what happens after the final billing.
- If you want the subscription to end and be deactivated after the final billing, leave the default value of Deactivate subscription selected.
- If you want the subscription to renew into a different subscription product automatically (e.g., with a different price, charge interval, or number of billings), select then renew into different product. The Renew Into field appears, and you can specify the subscription product into which subscriptions will renew following the final billing period. For more details about this feature, please see Advanced Subscription Scheduling.
In the Unit Price field, enter the amount to be billed in each transaction. Provide a price in at least the field of the base currency for your Store (usually USD).
- The currency fields available here are based on the configuration for your Store (not a Storefront).
- Prices entered in USD will have applicable VAT or GST added to them where appropriate, based on the customer's location. Customers in the United States will see the product's base USD price, but FastSpring will add any applicable sales tax to the order total.
- By default, prices entered in non-USD currencies will have VAT or GST deducted from them where appropriate, based on the customer's location. Therefore, be sure to enter a price large enough to offset the expected average VAT or GST amounts. Customers in countries with VAT or GST will pay only the price specified; FastSpring will not add VAT or GST to the customer's order subtotal. Instead, the VAT or GST amount will be deducted from the amount your account earns for the transaction. This is called gross pricing mode. However, if you would prefer to enter non-USD prices exclusive of VAT or GST--and have applicable taxes added to the prices shown to customers--please see our article about net pricing mode.
- Any currency field left blank here will still be available to customers in the corresponding countries, via automatic currency conversion.
- See Currencies, Conversions and Taxes for more information about currencies, automatic conversions, and VAT and other taxes.
The One-Time Setup Fee field lets you charge customers a separate flat fee in addition to the Unit Price, on the initial transaction only. If you want to charge a setup fee, select Collect a one-time setup fee. The setup fee specified here will appear as a separate, required item on Web Storefronts and in the optional Popup Storefront cart when a customer adds this subscription to the order. This optional one-time setup fee will not be included in future subscription rebills.
You can enter a description for the one-time setup fee to meet your needs; this text will appear on Web Storefronts and in the optional Popup Storefront cart. If you leave this blank, the display name will appear as One-time Setup Fee by default. You can optionally click the language selector and enter the description in as many other languages as desired.
As with the Unit Price, you can specify the amount of the one-time setup fee in each currency enabled for your Store. If you leave any currency set to its default value of "Auto", FastSpring will automatically convert the amount entered here from your base currency to the customer's local currency as needed.
Here are examples of what the customer sees when the one-time setup fee is enabled.
In the Default Quantity field, enter the quantity to be added to the cart when a customer selects this item. Depending on the option you select to the right, the customer may be able to change the quantity before purchasing. FastSpring will charge the customer for the same quantity each time a recurring billing occurs.
- The Editable radio button is selected by default. If you leave this selected, customers can change the quantity they are purchasing during the initial transaction.
- Selecting the Locked radio button prevents customers from changing the quantity at purchase time. They could only purchase the Default Quantity in each transaction. The total price paid by customers for this product at the initial purchase and all subsequent billings would be equal to the Default Quantity multiplied by the Unit Price.
- Selecting the Hidden radio button removes the Quantity field from the checkout process entirely, so it will not even be visible (or changeable) for customers.
When you have finished with all fields in the Pricing popup window, click SAVE at the bottom right-hand corner to save your changes.