Top subscription billing solutions for recurring payments in 2025

Subscription billing solutions are tools that automate the recurring payment processes for businesses, confirming transactions and efficient revenue management. In today's market, the adoption of subscription-based models is rapidly increasing across various industries. 

Notably, the global subscription billing management market was valued at approximately USD 7.15 billion in 2024 and is projected to grow 16.9% from 2025 to 2030. 

In this article, you'll learn:

• The definition and role of subscription billing solutions
• The importance of these solutions in managing recurring payments
• Key features to look for in effective subscription billing solutions.
• Advantages of implementing subscription billing solutions.
• An overview of leading subscription billing platforms

Let’s get started by providing a more in-depth explanation of what subscription billing solutions are. 

What is a subscription billing solution?

A core component of recurring revenue models is the subscription billing solution. These solutions automate the entire recurring billing process, from subscription setup and payment processing to revenue recognition and reporting. 

Why are they so important?

Subscription billing solutions handle the complexities of recurring billing, allowing businesses to focus on growth and customer relationships. They manage subscriptions, handle different pricing models (like usage-based billing), and automate recurring invoices. 

They also manage payment gateways, ensuring secure and timely transactions. Beyond that, they often provide insights into key metrics like churn rate and monthly recurring revenue (MRR).

What industries benefit from subscription billing software?

Many industries find value in subscription billing software. Here are just a few examples:

• Software as a Service (SaaS): SaaS companies were early adopters of the subscription model and heavily rely on these solutions.
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• Media and publishing: From online news subscriptions to streaming services, subscription billing is essential in this sector.
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• E-commerce: Businesses offering subscription boxes or recurring product deliveries use these systems.
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• Telecommunications: Phone and internet service providers have long used recurring billing models.
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• Healthcare: Subscription-based healthcare services and wellness programs are becoming more common.
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• Membership organizations: Clubs and associations rely on recurring payments from members.
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• Financial services: Subscription-based financial planning tools and investment platforms use subscription billing.

Essentially, any business that offers a product or service on a recurring basis can benefit from well-chosen SaaS subscription billing solutions. They simplify operations, improve cash flow predictability, and enhance the customer experience.

Key features of effective subscription billing solutions

Choosing the right subscription billing solution is crucial for any business embracing recurring revenue. Here are some key features to look for:

• Automated billing processes: Look for features like automated recurring invoices, automated payment processing, and automated dunning management. A good system will also automate notifications for upcoming renewals, failed payments, and successful transactions, reducing manual intervention.
  
  
• Flexible pricing models: Your chosen solution should handle tiered pricing, usage-based billing, per-seat pricing, volume discounts, and promotional offers with ease. It should also allow for easy adjustments to pricing plans as you evolve.
  
  
• Customer management: The system should provide a 360-degree view of each customer, including their subscription details, payment history, communication logs, and any support interactions. Self-service portals help users manage their own subscriptions, reducing support requests.
  
  
• Revenue recognition and reporting: The solution should automate revenue recognition in compliance with accounting standards. It should also provide detailed reports on key metrics like MRR, churn rate, and customer lifetime value (CLTV).
  
  
• Integration capabilities: Subscription billing solutions need to integrate smoothly with other business systems, such as CRM, accounting software, payment gateways, and marketing automation platforms. 

Benefits of implementing subscription billing solutions

Implementing auto-billing solutions offers a range of advantages for businesses. Here's a closer look at some key benefits:

• Boosting operational efficiency through automation: Automation is a major driver of efficiency. These solutions automate recurring billing, payment processing, and even dunning management, reducing manual work and freeing up staff for higher-value tasks. 
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• Creating a better customer experience with self-service tools: Self-service portals allow customers to manage their own subscriptions, update payment details, and access billing history, improving their experience. Automated notifications about renewals, failed payments, and successful transactions keep customers informed and engaged.
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• Scaling your business smoothly with a flexible platform: Subscription billing solutions are designed to handle increasing transaction volumes and customer numbers without requiring significant changes to your infrastructure.
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• Guaranteeing compliance and security for sensitive data: Reputable subscription billing providers often comply with PCI DSS standards for secure payment processing and GDPR for data privacy. This helps businesses protect sensitive customer data and avoid costly penalties. 

How do I choose the right subscription billing solution for my business?

Here are five key factors to consider.

Key factor 1: Aligning with your business requirements

Start by clearly defining your specific needs. What pricing models do you require (tiered, usage-based, etc.)? What are your customer management needs? Do you need advanced features like automated upselling or cross-selling? 

Consider your current processes and how a new system can improve them. A clear understanding of your requirements will guide your search and ensure you choose a solution that truly fits your business.

Key factor 2: Scalability for future growth

Select a system that can scale with your business. Consider factors like transaction volume, customer growth, and the potential for expanding into new markets or offering new products/services. 

Remember: A scalable solution will save you time and money in the long run by avoiding costly migrations later on.

Key factor 3: Integration with existing systems

Subscription billing solutions need to integrate with your existing tech stack, including your CRM, accounting software, payment gateways, and other business applications. Check for pre-built integrations or open APIs that allow for custom integrations. A smooth integration process ensures data consistency and prevents manual data entry.

Key factor 4: Costs and features

Evaluate the pricing structure of different subscription billing solutions. Consider not just the monthly subscription fee, but also transaction fees, setup costs, and any potential add-on expenses. Balance the features offered with your budget. 

Prioritize the features that are most important to your business and choose a solution that provides the best value for your money.

Key factor 5: User experience for your team and customers

The user experience is crucial for both your team and your customers. For your team, the system should be intuitive and easy to use, reducing the learning curve and improving productivity. 

For your customers, a smooth and user-friendly billing experience is essential for customer satisfaction. Look for solutions with self-service portals that empower customers to manage their own accounts and subscriptions. 

3 leading subscription billing platforms

1. Orb

Orb is a billing platform designed to empower SaaS and GenAI companies to unlock the potential of their usage data. It allows for flexible pricing, smooth billing, and faster growth by removing the limitations of rigid billing systems. 

Key features:

• Agile pricing: Define and implement any pricing model, including usage-based, tiered, hybrid, and volume discounts. Easily test and iterate on pricing strategies without engineering involvement. Progressive rollout capabilities and automated price changes.
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• Precise billing: Ingest and process all raw event data for accurate, granular billing. Complete the audit trail for every calculation. Real-time usage monitoring and detailed invoice breakdowns. Support for proration and complex discounting scenarios.
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• Extensible platform: Robust API for high-scale data ingestion and seamless integration with existing systems. Orb SQL Editor for custom querying and analysis of billing data. Built-in revenue analytics and customer usage dashboards.
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• Partnership approach: Dedicated implementation support, industry expertise, and ongoing optimization support. Proven migration pathways and regular business reviews.

Why choose Orb? 

Orb helps you move faster and smarter, decoupling usage data from pricing metrics. This means you can easily experiment with pricing, fine-tune your monetization strategy, and drive growth without missing events, losing revenue, or dealing with billing inaccuracies.

2. Recurly

Recurly is a subscription billing platform designed to make recurring payment management easier for businesses, particularly those offering subscription-based products or services. It handles billing, pricing, and customer management. 

Recurly is a good fit for companies with more straightforward subscription models, but it may not be ideal for those with complex usage-based billing needs.

Key features:

• Automated recurring billing and invoicing: Recurly offers automated recurring invoices, payment processing, and dunning management. Support is available for various payment methods and currencies.
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• Subscription management: Get tools for managing customer subscriptions, including upgrades, downgrades, cancellations, and renewals. Proration and coupon management.
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• Trial management: They have configurable free or paid trials with automated conversion to paid plans.
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• Payment gateway integrations: Integrates with various payment gateways for global reach.
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• Dunning management: Get automated email reminders for overdue payments.
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• Customer self-service portal: Allows customers to manage their own subscriptions and payment information.

Potential drawbacks: 

Recurly has been criticized for limited reporting and analytics, unclear invoices for usage-based billing, and unresponsive customer service. Its interface may also be less intuitive, and it may have limited flexibility for highly complex pricing models.

3. Chargebee

Chargebee is a SaaS subscription management platform that helps companies manage everything from billing and invoicing to tracking trials and resolving overdue payments. It's a one-stop shop for subscription-based businesses. 

Chargebee suits businesses with recurring billing models that are expanding internationally and need a wide array of integrations.

Key features:

• Subscription lifecycle automation: Automates recurring invoices, payment processing, and dunning management. Supports multiple currencies and tax calculations.
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• Product catalog and pricing configuration: Offers tools for managing subscriptions, including plan changes, cancellations, and proration. Offers a product catalog to manage different plans and pricing, including complex pricing structures.
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• Revenue recognition and analytics: Provides revenue recognition features, detailed reporting, and analytics to track key subscription metrics and gain insights into revenue performance.
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• Global payments and integrations: Integrates with numerous payment gateways for global reach and offers a broad range of integrations with other business applications, including CRM and accounting systems.
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• Churn prevention and recovery: Get automated email reminders and payment retries for failed payments, along with other churn reduction tools and strategies.
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• Customer self-service and API: Lets customers manage their subscriptions and payment details. Offers a robust API for custom integrations and workflows.

Potential drawbacks: 

Chargebee has been known to have issues with reliability and bugs, and many users have voiced frustrations with customer support responsiveness. Some users also find the interface complicated and not intuitive, and some have reported unexpected fees and confusing billing practices.

FAQs

Can subscription billing solutions support different pricing models? 

Yes, good subscription billing solutions support various pricing models like tiered, usage-based, and volume discounts.

How does subscription billing handle failed payments? 

Subscription billing solutions automate dunning management, which includes sending reminders and retrying payments.

Does subscription billing improve customer retention? 

Yes, by offering self-service options and automated communication, subscription billing can improve the customer experience and boost retention.

Orb offers the simplest subscription billing solutions for SaaS companies

Tired of billing headaches slowing down your SaaS growth? What if you could implement a pricing model as effective as the best in the business? Orb offers the simplest subscription billing solutions while still offering top-shelf service.

Orb is a done-for-you billing platform. It allows you to design and manage sophisticated pricing models used by leading SaaS companies, as seen in our case studies. We support a wide range of pricing strategies, giving you the tools to build a model that scales with your business.

Let's explore how Orb can help you:

• Accurate usage tracking: Monitor and measure any billable metric. Track API calls, monthly active users, storage, or custom events. Orb guarantees precise billing based on actual consumption.
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• Flexible pricing for every customer: Implement per-user pricing, volume discounts, or flat subscriptions. Orb gives you the freedom to design a pricing strategy and use pricing models that meet your specific goals.
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• Data-driven pricing decisions: Analyze usage patterns and revenue trends with Orb's reporting and analytics. Gain insights to refine your pricing and grow revenue.
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• Automated billing operations: Automate invoices, manage subscriptions, and process payments. Orb integrates with your existing systems, including payment gateways, accounting software, and data warehouses.
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• Easy price changes: Manage price changes quickly and easily, whether for one customer or thousands. Schedule changes in advance, backdate migrations, and manage different plan versions—all in one place.
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• AI-powered billing: Built for the unique challenges of AI product billing. Implement threshold billing to prevent fraud and offer prepaid credits for flexible consumption.

Ready to see the difference? Explore how Orb and check out our flexible pricing options and find the perfect plan for your business.