E-commerce Billing and Revenue Management Solutions

Revenue management is selling your product to the right customer at the right time, at the right price. Revenue management is most effective for organizations whose products or services are suitable for price changes or fluctuations.

Importance of Revenue Management

Revenue management helps industries like telecom lower costs and improve return on investment (ROI). Having a revenue management strategy helps determine the best rate to sell packages at, and enables planning ahead.

Revenue Management Benefits

    • Increased revenue and profits:
      Better understanding of customer demands and pricing strategies will maximize revenue
    • Meet or exceed customer expectations and increase customer satisfaction:
      Better matching of customer demand with available products or services
    • Improve demand forecasting:
      Predict times throughout the year when customer demand rises and falls
    • Centralized revenue streams:
      Building a brand identity and move away from a single location
    • Automated revenue calculations:
      Analyze market data, trends, and calculate the optimized best price for products or services

A Revenue Management System Should Include

    • Extensible data models:
      Revenue management systems need flexible data models that determine pricing changes for products and services
    • Data collection and recording:
      Ability to track demand and understand habits and predicted volume
    • Historical data analysis:
      Compare historical demands on products or services and predict future changes
    • Competitor research:
      Being able to research competitor data is crucial to stay competitive
    • Limitless integration capabilities:
      Revenue management systems need to be able to connect to custom-built connectors, powerful APIs or a mix of the two
    • Open architecture:
      To be in total control, you need a system capable of creating custom objects, fields, and relationships that capture and organize data
    • Constant innovation:
      To stay ahead of market trends requires fresh ideas. AI and machine learning will improve customer retention and increase revenue

Revenue Management KPI’s

  • Customer lifetime value (CLTV):
    CLTV = average revenue per account / net monthly recurring revenue churn * 100
  • Average cost per acquisition (ACPA)
  • Monthly and annual recurring revenue (MRR/ARR):
    MRR = monthly total customer revenue
    ARR = MRR * 12
  • Customer and revenue churn rate (CRR/RCR):
    CCR = difference between number of users at the start and end of a period / number of users at the start of the period
    RCR = net revenue lost from customers within a period / total revenue at start of period

How Commerx Can Help Your Business

Commerx has experience with integrations such as CIBC, Equifax, Siebel, PeopleSoft, SAP, Moneris, Verisign, Address Verification Software, Multiple Data Warehouses, and Convergent Billing Systems. With understanding in billing, convergent charging, customer care, and provisioning solutions Commerx is confident we can build you a Revenue Management solution that will increase profits and increase return on investment (ROI).