Revenue Recovery Is an Outcome. Judge the Software on the Work.
"Revenue recovery" is the phrase vendors put on the slide, because it names the thing buyers want: money that was slipping away, back in the account. But software does not recover revenue in the abstract. It does specific work — retrying a failed charge at a better moment, reading a decline code correctly, getting a new card from a subscriber before the grace period ends — and it is that work,…
Revenue recovery is the phrase vendors use to describe the ability to recover lost payments. However, the software's effectiveness is determined by the work it performs, not just the recovery outcome. Break down the recovery numbers provided by the vendor, as they encompass various events. Some recoveries are due to simple retry attempts, while others involve card replacements, timely billing, or clear notices.
Evaluate the vendor's solution by decomposing the headline recovery figure into specific categories. This helps you understand which aspects of the software are actually working and which are merely contributing to the overall recovery. It also ensures that you can track any declines in revenue recovery after purchasing the software.
When assessing the software's performance, ask several key questions: how are retries scheduled based on decline reasons, and do they adapt to changing circumstances? What happens when a subscriber replaces their card during a recovery sequence? Request a complete timeline of a single subscriber's recovery process, including all attempts and notices, as it provides a more accurate picture than a generalized approach.
Inquire about the software's pricing behavior as recovery rates improve, as a percentage fee can indirectly impact the recovery outcome. Use this information to create a checklist for evaluating any demo or existing tool you may have. The software should provide a timeline view of each subscriber's recovery journey and a monthly breakdown of failures, attempts, recoveries, and the survival rate of recovered subscribers.
If the vendor cannot provide this data, the effectiveness of the software cannot be accurately assessed. Consider the software as a supplement to your existing platform rather than a replacement. If the platform already covers some aspects of recovery, focus on evaluating the marginal improvements offered by the software. For example, Swipe Again is priced competitively and focuses on the specific marginal improvements that your platform may be lacking, such as decline-aware timing, notice crafting, and handling of replaced cards.
When comparing tools in this category, judge them based on the specific work they perform that your current stack is unable to accomplish.
Written by urgent.news from Dev.to's reporting — not their text. Machine-written — may contain errors; check the original before relying on it.