Setting up Recurring Billing
Recurring Billing is when you charge on a regular schedule for a product or service, such as subscriptions or offering a payment plan. On BigCommerce, an app or specific payment gateway are required to add this functionality. Having an option to schedule payments can help you entice shoppers to buy higher priced items.
If you are looking for information on billing for your BigCommerce plan, see Paying Your BigCommerce Invoice.
What is Recurring Billing?
Charging a customer at regular intervals is considered recurring billing. There are a couple models that are common for recurring billing.
Subscription — a product or service that is purchased on a repeated schedule. For example, a shopper may set up a schedule to purchase pet food every two weeks or sign up for a monthly gift box of pet treats.
Layaway or Pay by Credit — a shopper pays for one item or order over a period of time. For example, a shopper may pay $25 for a $100 item and continues to pay the $75 difference over two months.
If you sell higher priced items or services, offering a form of financing by allowing a customer to buy now but pay later helps with conversion. It makes high priced items more accessible to more shoppers who may not feel comfortable spending a large sum of money at one time. To learn more, see Why You Should Use a Subscription Business Model (entrepreneur.com) and Offering Layaways (ftc.gov).
Recurring Billing with BigCommerce
To offer recurring billing in BigCommerce, there are apps in our App Marketplace that allow you to add this functionality to your store. For example:
- Paywhirl — subscriptions, payment plans, layaway plans, pre-orders and more
- Rebillia — subscriptions, recurring billing and credit card saving
- MiniBC — automated recurring billing & credit card vaulting
Some payment gateways offered on BigCommerce have features that allow merchants to offer a buy now, pay later model for products. In both offers, the payment gateway assumes responsibility for collecting the funds, but the merchant receives the full payment when the order comes in.