Subscriptions Glossary

Browse 9 subscriptions terms defined in plain English, from the cultural dictionary of computing.

9 Subscriptions Terms

Annual Plan
A subscription plan billed yearly rather than monthly, often with discounting in exchange for longer commitment and better cash collection. Annual plans can...
B2B SaaS
Subscription software sold to businesses, usually with recurring revenue, account-based sales, and ongoing support or expansion opportunities. It is one of the...
Billing Cycle
The recurring time interval at which customers are invoiced or charged, such as monthly, quarterly, or annually. Billing cycle design affects cash flow,...
Billing Platform
The system or vendor responsible for pricing logic, invoices, subscriptions, usage measurement, collections, and related revenue operations. In SaaS businesses...
Pay-As-You-Go
A pricing model where customers pay based on actual usage or consumption rather than committing to a large fixed upfront contract. It lowers entry friction but...
Recurring Revenue
Revenue expected to repeat predictably over time through subscriptions, renewals, or contractual repeat billing. Recurring revenue is especially valuable...
Renewal Rate
The percentage of customers or contracts that renew at the end of a term rather than churn. Renewal rate is especially important in subscription businesses...
Subscription Economy
The broader business environment in which more products and services are sold through recurring subscription relationships rather than one-time purchases. The...
Subscription Revenue
Revenue generated from recurring subscription payments rather than one-time transactions. Subscription revenue is highly valued because it creates visibility...

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