How Can Recurring Payment Software Help Expand Your SaaS Company Globally?

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Perhaps you’ve decided to expand your new SaaS business globally. However, competing with the leading tech providers in the SaaS landscape can be tough. According to Statista, the SaaS market is expected to reach two hundred and thirty-two billion USD this year, proving its competitiveness.

That’s why you’re looking for the right software to help you with the localization and market research processes. You need a scalable infrastructure capable of following regulatory compliance while ensuring continuous integration. 

Enter—recurring payment software. With this software, you can expand your SaaS company internationally through efficient subscription management to access your services. The market for this technology will have a 16.8% CAGR and reach USD 13.9 billion by 2030. 

In this blog post, we’ll discuss everything a new SaaS business owner needs to know about this technology for global expansion.

Why Should You Think About Going Global With Your SaaS Business?

There was a 9.10% revenue uptick in the SaaS market in 2024. Do you know what that means? It proves the worldwide increase in SaaS product usage. According to EnterpriseAppsToday, companies using SaaS products will centralize their management by 2027.

If you want to tap into this, you must promote your brand internationally. Global expansion can safeguard your SaaS company against geopolitical risks and market fluctuations in your country. Other reasons to do this would include the following:

  • You’ll access growth opportunities for your SaaS brand by unlocking market potential beyond domestic constraints.
  • You don’t have to depend on a single economy and region to diversify your business or gain revenue.
  • Your company will establish itself as an authority in the global landscape to gain a competitive advantage against local and international competitors.
  • You can scale your business by tapping into various revenue streams and diverse markets.
  • Your SaaS company will gain an increase in brand recognition and visibility, leading to an expansion of your customer base.

Apart from these, going global with your SaaS business will help you access a larger talent pool to help recruit inclusive and diverse employees. Moreover, you can strategically partner with local businesses in your targeted countries to future-proof your organization.

How Can Recurring Payment Software Help With This?

You’ll need to bill your global customer base regularly to access your SaaS product. That’s where a subscription model comes in.

According to PayPro Global, recurring payment software is an ideal solution that gives SaaS companies the tools needed to drive business growth in a global and local setting. Yuri A., the SEO of a small business, mentions how selling software online becomes easy with such user-friendly tools. 

Research suggests that the recurring payment software industry will achieve seventeen percent market growth by 2027. This proves that such platforms can truly help SaaS businesses expand their international reach. Most of the indispensable global features include the following:

  • Automates billing to reduce the manual workload for your local employees and international clients.
  • Access to multi-currency support to ensure seamless management for every customer.
  • Ensures customizable billing cycles to meet the diverse international demand across borders.
  • Offers customer support to foster trust and loyalty among your global employees and clientele.

5 Benefits of Recurring Payments for Global Expansion

Felix Rose-Collins, the CMO of Ranktracker, used subscription billing software to market their services in the international industry. Their company had over 25,000 weekly visitors and needed a dedicated, global payment platform that was tax-compliant. Hence, they selected recurring billing software to unlock their potential through innovative payment infrastructures. 

Do you want your SaaS company to use this software to meet your future and present business needs? In that case, you can check out the following advantages of using recurring payment software for global expansion:

1. Access to Global Online Payments

Industry leaders highlight how global payments can help companies send and receive cash flow in different currencies. Organizations often use a payment processing tool to help with conversion rates, payment methods, etc. 

But did you know that subscription billing tools come equipped with such a feature? Yes, SaaS companies that want to go global can benefit from the international online payment feature in the following ways:

  • It helps extend the product’s reach.
  • There are multiple currency options.
  • It increases conversion rates.
  • You can have access to location-specific payment methods and local languages.

With these benefits, you can promote your business in various countries. All you have to do is check whether your recurring billing platform offers the local currency, payment methods, language, etc. 

2. Complete Handling of Sales and Tax

The next thing SaaS businesses wanting to go global should look into is international sales and tax regulations. 

But first, you must check whether your potential global clients are included in the sanctions list presented by the U.S. Treasury Department. It lists the foreign countries that American companies or merchants are prohibited from dealing with. You’ll also need to keep an eye out for local laws, work permits, and other specific government-related challenges.

When it comes to regulations and taxes, recurring payment software has got you covered. It comes with a reseller model, meaning you’re free from any tax and VAT liability. Moreover, the benefits include the following:

  • SaaS business owners need not worry about heavy fines or taxes.
  • The platform will handle all tax obligations.
  • They’ll take full responsibility for online SaaS product sales in different countries.

3. Management of Global Subscriptions

In America, there are 9,100 SaaS companies with 15 billion worldwide customers. Similarly, the U.K. has 1,500 businesses selling software with 293 million global clients. With such a huge consumer base around the world, your clientele will likely grow exponentially when you start catering to an international audience. 

When that happens, how can you effectively manage each of their subscriptions to your SaaS product? One way to do that is by using recurring billing software to simplify the entire process and propel your company forward. 

You can create a billing mechanism that’s personalized for your international clients while meeting your brand requirements. With this, you get to offer customized and localized options when billing each subscriber to increase customer loyalty and enhance the experience. Moreover, SaaS companies can use this software to: 

  • Secure positive revenue streams throughout the world.
  • Drive down churn by growing lifetime value.
  • Access to real-time reports to help recapture lost revenue.
  • Engage different customer profiles based on demographics.

4. Most Platforms Are Compliant With Global Standards

Reports suggest that eighty percent of all industry leaders have a recurring revenue stream. Among them, sixty-three percent operate in multiple countries and regions. According to Marina Turea, a content project manager at Digital Authority Partners, most SaaS companies face data privacy and unique security issues. 

It’ll be especially problematic when you cannot meet global tax, marketing, and privacy standards while using a third-party payment gateway. Thankfully, you don’t have to worry about making your recurring payment models compliant with international standards. Most platforms are compliant with:

  • Payment Card Industry Data Security Standard (PCI DSS) 
  • General Data Protection Regulation (GDPR)

As a result, you need not worry about meeting the region-based rules and regulations with your subscription billing software. Instead, you can consider the important global standards you must meet for your SaaS products. These encompass meeting the regulatory guidelines to ensure security, reliability, and privacy.

5. Get Help With Reporting and Analysis

Reporting and analytics should be at the core of your business strategy when you’re looking to expand globally. Market research should also be your priority. Did you know the market research industry is valued at eighty-four billion USD, proving its popularity in the business landscape?

With the right reports, you can easily understand, research, and predict your SaaS product’s future success. The recurring payment software will offer you reporting and analysis tools. With these, you can internationally expand your business because of the following benefits:

  • Analyze past payment performances.
  • Optimize current business operations.
  • Design data-driven strategies to gain new clients.

Can Subscription Billing Software Help With Marketing?

HubSpot reports that ninety-four percent of marketers believe that personalization helps boost sales. One thing SaaS companies shouldn’t compromise on when going global is their marketing tactics. 

But what if you can use recurring billing software to aid your strategies? From automated invoicing and lead generation to customer support—a recurring payment platform does it all. Here’s how:

  • These platforms help you recognize sales opportunities across various channels to promote your business.
  • Analytics and reporting features help you assess the real-time customer acquisition cost (CAC) and lifetime value (LTV).
  • Some platforms have a marketing toolkit that provides upselling and cross-selling features to make new SaaS sales.
  • You can customize the sales flow by personalizing the emails, invoices, layouts, and checkout pages for each of your global clients.
  • There won’t be any lost sales with the lead management system that focuses on incomplete payments.

Other than these, the customer support offered will help give your international clients assistance in multiple languages. It guarantees they will have an excellent experience to help build a long-lasting relationship with your SaaS brand.

4 Limitations of Recurring Payment Software

Even with such exceptional benefits, the subscription billing software is not devoid of certain operational challenges. As a SaaS company looking to go global, you might face the following limitations:

  • High subscription fees and transaction charges will impact profitability in the initial stages when you have limited resources.
  • Security risks and data breaches can happen even if the platform is regulated by the best firewalls.
  • Sometimes, you might find subscription management to be complex when you offer diverse plans across multiple global markets.
  • Compatibility issues with your existing SaaS product and other management tools can hinder progress.

What Are the Solutions?

To address these, you must:

  • Prioritize compatibility when selecting the software to align with your budget and business plans.
  • Evaluate the total cost of ownership (TCO) of the platforms before choosing. These include subscription fees, transaction charges, etc. 
  • As for security risks, you can request that the recurring billing partner perform regular audits and meet encryption protocols.

It’s also important to choose software that offers a wide range of payment methods and languages to meet the global market’s demand. Remember to invest in a comprehensive platform with flexible plan management and reporting features. 

Conclusion

In summary, using recurring payment software can help SaaS companies expand globally. You must harness its capabilities to navigate the competitive landscape. It’ll help you strategically use technology to meet the growing market demands of the SaaS industry.

With this, you can streamline processes and facilitate international expansion by enhancing revenue growth. All international SaaS business owners need to understand the power of this technology and leverage it for success. Embracing such platforms and implementing them in your business will help you thrive in the global SaaS landscape.

I'm Allison Dunn,

Your Business Executive Coach

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