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Use Case: Capture Customer Consent for a Subscription Renewal Price Increase

Important

Before you increase the price of a running subscription, you must communicate with your customers and meet all legal requirements. To avoid chargebacks and customer inquiries, it is also essential to coordinate all price increases with Client Experience.

Assumptions and Preconditions

  • The subscription has the status Active.
  • The price increase takes place at the time of the next billing interval.
  • A second subscription product was set up in the Commerce Assistant that is identical to the current subscription product, except for a higher price.

    Note

    The second product can be omitted from public-facing product catalogs.

  • The billing interval is the same for the current and new subscription product.

Description

  1. On December 20th, a subscription is automatically renewed for $15.95 for the new monthly billing interval.
  2. On January 1st, the client emails the customer the option to accept or decline an increase in the monthly renewal price.
  3. On January 5th, the customer clicks a link in the email that redirects the customer to the client's landing page. This landing page uses the Get Subscription API endpoint to obtain and display the next billing date and other details regarding the subscription. The landing page has check boxes for the following options:
    • Accept price increase
    • Decline price increase
  4. The customer clicks the check box to accept the price increase and clicks a button to submit the response. The client's landing page uses the Update Subscription Item API endpoint to replace the item in the subscription with the identical but higher-priced item.
  5. On January 20th, the cleverbridge platform automatically bills the customer $19.95, reflecting the price increase for which the customer consented.

Options

Although not utilized in this use case, the following options are also available:

  • Reduce the price of the Paid subscription by applying a discount coupon that was set up in the Commerce Assistant. This discount is applied to all future billings of the subscription.

Tip

Obtain the customer's consent for changes to subscriptions. For more information, see Best Practices: Obtaining Customer Consent.

Illustration

sub bill sub renewal customer consent