Global Cloud Billing Services Market Continues to Take Off

Posted by admin, December 6, 2016

It has been exciting seeing resellers adopting cloud billing as of late to achieve more targeted and profitable sales, increase revenue assurance and enhance selling strategies using data integration and process automation. In fact, according to a recent study from Infonetics, one of the top reasons why resellers are investing in data analytics is to better understand their subscribers and in effect reduce customer churn.

Taking a look back, to the end of 2013 the North American cloud billing market—which was at the time still in a stage of early adoption—reached an impressive $1.6 billion in revenue. Furthermore, during that same time, industry pundits had slated the market to more than triple in growth to reach $5.4 billion by 2018, representing a compound annual growth rate (CAGR) of 27.7 percent.

Now fast forward to the present where a brand new market research report from Technavio has confirmed  that the global cloud billing services market is set to continue growing at a CAGR of nearly 30 percent between 2014 and 2019. Some of the top benefits of investing in a cloud billing solution, listed by Technavio respondents, include the ability to seamlessly manage end-to-end billing-related disputes and more accurately generate reports using automated data analytics.

Here are a few other competitive reasons why resellers have been progressively moving to an advanced cloud billing platform:

Quickly identify and launch new products: Ninety-two percent of communication service providers (CSPs) surveyed by Accenture admitted that their existing billing systems prevent them from identifying innovative new product launch opportunities and from delivering new products and services to customers. A cloud billing system that can automatically integrate data collected from customer relationship management systems (i.e. Salesforce, SugarCRM, ConnectWise) can help resellers hone in on their customers’ service usage patterns and preferences in order to create new product bundles that better cater to their needs.

Improve revenue assurance; increase profits: Resellers working across several disparate systems (i.e. ERP, billing, CRM) can leverage a data-driven cloud billing platform to integrate all systems and produce accurate data to ensure their costs align with those of their upstream provider’s. In doing so, they can more quickly compare costs from their upstream provider to identify revenue leakage, improving their profit margins, as well as to adjust their service approaches as needed to increase profits.

Decrease time to value: Moving seamlessly across the entire supply chain—that is, from manufacturers, resellers to customers—is critical for getting products to market quicker and for ensuring a smooth revenue flow. But this process becomes much more difficult when relying on legacy platforms that are siloed and can’t efficiently communicate with one another. A fully automated, easily integrated cloud billing solution can accelerate the workflow process so that services can be provisioned and brought to market faster for sale.