Did you know that over 30 percent of credit card numbers change or expire every year? That’s why hosting companies are constantly chasing after clients for updated credit card information. Luckily, you can put an end to this cycle.
Look at your credit cards: do you see that expiration-date? Do you know what typically happens when a recurring service provider tries to authorize your card after the expiration date? Well, in the case of a hosting company, once the transaction doesn’t go through they will automatically start sending you emails, calling you and trying eagerly to get the updated information from you. All this takes time and resources, and is an expense which can be easily avoided.
The reality is that many hosting relationships are set up on behalf of the business owner and so the email address on file is all too often that of an independent service provider who may no longer be in contact with the owner. As hosters expend energy requesting updated credit card information through various avenues, they inadvertently create one or several of these scenarios:
• Irate customers tying up hosters’ customer support lines
• Negative feedback from online forums and social media
• Lost revenue from potential customers who are influenced by the negative reviews
• Potential lawsuits for alleged lost revenue while sites are down
• Stressed employees who have to deal with all the negative feedback
• Overall brand damage for hosters and their clients
The solution: Auto Account Updater
For hosting companies who have recurring billing arrangements with their customers, keeping cardholder information up-to-date is important in order to avoid authorization declines. The good news is there is a simple way to ensure the information on file remains accurate and that any changes are updated automatically.
Auto Account Updater is a seamless process through which your customers’ credit card information is updated in a timely, efficient and cost effective way.
Does your processor offer Auto Account Updater? It’s almost universally worth it for hosters to switch to one who does.
Finding a payment processor who offers Auto Account Updater could save you money and peace of mind down the line. While the infrastructure that supports Auto Account Updater is complex and calls for multiple players, your processor simplifies the process for you. The outcome is a seamless process that ensures customer information is up to date, making for a more pleasant customer experience.
Don’t lose your customers to attrition or provide continuous inflection-points where they ponder on cancelling or start shopping around for a better deal. Ensure that “card on file” information remains accurate, because every declined transaction represents lost revenue and possibly a lost customer too. Subscription revenues are critical to many businesses, and preventing any disruption to the payments cycle is paramount to improving revenue, customer satisfaction and loyalty.
Benefits of Auto Account Updater
• Minimize declined transactions and ensure a steady flow of income
• Reduce opportunities for consumers to cancel the service whenever account information changes
• Improved operational efficiency
• Save time and cost by eliminating the tedious process of contacting each customer for updated information
• Create a seamless process that does not disrupt you or your customers in any way, thus fostering a positive bill payment experience
• Mitigate brand-damage, forum posts, liability threats
• Confidently forecasted revenue & improve potential valuation
I can personally testify to the benefits of Auto Account Updater and have seen it work to turn frustration and inefficiencies into increased revenue and improved customer-satisfaction. In fact, I wouldn’t suggest any payment solution without Auto Account Updater.
Yours in hosting,
Jude Augusta, Esq/MBA is the AVP for Global Acquiring for Hosting & Internet Services at GlobalOne, a division of Pivotal Payments. Jude has been in the hosting and domain registration community for the past decade, bringing industry-peers solutions including ecommerce, cloud infrastructures, and supporting services.