contact

intan achieves 18% response rate with dsb payment widget

Case Study on Subscription Shelf Life & Migration to Recurring Payment Types

Download Case Study as PDF >>

Initial situation

For over 30 years, the intan group has been supporting well-known publishing houses and companies as an independent partner. With around 2 million subscribers, it is one of the leading media sales companies in Germany, Austria and Switzerland. intan works with over 50 publishers and has a total of around 520 magazines in its portfolio. For its customers, the group takes care of subscription management, marketing and customer care. The experts at the subsidiary intan service plus take care of reader service in the company's own customer center, manage outbound campaigns to win back subscribers or launch cross-selling projects.

intan service plus was looking for ways to increase subscription retention. Since every time subscription invoices are sent out, cancellations are also made, this was where the company wanted to start.

Goals

The solution

intan has long relied on the dsb group for subscription management and e-commerce. Processes related to reader service and billing are handled automatically by the customer care and billing platform ccb by dsb® and, most recently, by dsb fly®. dsb fly® is the strategic and modular further development of the dsb platform for mapping digital business processes in real time.

By integrating the payment widget dsb fly® pay, developed by dsb, intan service plus can run campaigns to increase subscriber loyalty through customer-specific service offers. 

The payment widget is an express payment page where users can change their payment method or trigger an instant payment with a single mouse click. Jörg Markmeyer, Head of IT and Process Management at intan service plus, is the project manager responsible for the deployment of the tool and has tested it extensively over the past few months.

The result

The dsb fly pay has now been in use at intan for 10 weeks. The subscription professionals from Osnabrück use it for addressing To this end, they are integrating the express payment page into various marketing campaigns in a targeted manner and are constantly optimizing their response rate.

Paymentwidget Bezahlung v2

Direct payment link in invoice emails

intan sends links to the dsb payment widget directly in invoice e-mails. In the mailing text, readers are informed that they can conveniently and directly pay the invoice in the attachment by clicking on the link.

Depending on the target group, 3% to 5% of mail recipients pay their invoices directly via the link. The majority pay on the same day. 

dsb infografik liniendiagram 1024x724

Of the "fresh subscribers" who receive their bills exclusively by email, an average of 5% paid immediately. Long-term existing customers who receive paper bills were sent an "advice email" by intan announcing the paper bill to subscribers and also integrated the link. For this target group, the instant payment rate was 3%.

Alternative for paper bills - imprinted QR codes.

On the paper bills, there is an info text about the dsb payment widget. Here, an imprinted link and a QR code enable fast digital payment.

Up to 18% of existing customers switch directly to recurring payment methods

In addition to instant payment, the mini payment page also offers a payment method switch to durable, recurring payment methods such as SEPA direct debit and PayPal. Depending on the target group, between 13% and 18% of emailing addressees changed payment methods, with the vast majority choosing PayPal (78%). "This is probably due to the convenience of users. Many already have PayPal Express and know that all they have to do here is tick a box, whereas for SEPA they have to enter more data," Markmeyer surmises. Here, too, the most willing readers to switch were among the new subscribers.

dsb infografik balkendiagram 1024x724

Payment processes are a matter of trust

In various campaigns, Markmeyer's team had once offered payment method switching with and without incentives. "We were surprised that vouchers had hardly any effect on payment method switching. The switching rate in the test group without incentive was almost as high as that in the other group with incentive. We find the high response rate impressive. After all, payment processes are a matter of trust. The fact that our subscribers express this trust in us is a very good sign," says a pleased Daniel Beljan, Managing Director of intan service plus. 

dsb infografik tortendiagram 1024x724

Change of payment method directly upon order confirmation amounts to 18%

This is where intan achieves the highest response rate: 18% of email recipients changed their payment method immediately. "This is also where we see the greatest benefit for us. These fresh subscribers otherwise often jump ship after the minimum term. In this respect, the payment widget has a direct impact on the return on our subscriptions, because this grows with their shelf life," finds Markmeyer. "The low-threshold, convenient payment method change pays off directly on subscription durability."

De-escalating dunning processes

intan successfully uses the dsb payment widget to de-escalate dunning processes. "By sending customers a payment reminder a few days before sending the reminder, we pick up customers who have simply forgotten to pay. It's friendlier than sending reminders directly," says Markmeyer, explaining his motivation for the process change. In various tests, 5% to 10% of customers paid their bills immediately via the link. The reminders themselves are now also provided with links to the dsb payment widget.

dsb payment widget becomes a fixed part of service center activities

In the near future, intan service agents will be informed directly in the customer care and billing platform on incoming phone calls if an invoice is still open. The agent can then kindly point out the open item to the subscriber and immediately send them an automatically generated link to the dsb payment widget. "We will soon see if our findings from the dunning process can be transferred, that a large proportion of readers settle an invoice immediately after being addressed directly by customer service," says Markmeyer.

Fully automated processes

Generating the links and personalizing and sending the emails is fully automated and takes just a few minutes. The payment widget campaigns are stored in the workflows of the ccb by dsb customer care and billing platform. There, all actions can be tracked at any time and subsequent steps are triggered automatically. "The greater the number of e-mails, the greater our economies of scale, because the effort required to generate a campaign is the same. The fully digitized processes allow us to further optimize our costs. At the same time, personal customer service and sales are an essential pillar of our company philosophy. However, we see the dsb payment widget as an important addition here," says Gisbert Komlossy, CEO and founder of the intan group, explaining the strategic direction of his company.

Liquidity increase

intan service plus increases its liquidity through payment method migration and direct payments. This is because value-added tax is due when invoices are issued. By getting more readers to pay on time, this has an immediate positive impact on the company's cash flow.

Evaluation

"We are highly satisfied with the dsb payment widget. Especially with the high rate of payment method changers. Overall, our maxim continues to be test and fine-tune. Because we only achieve these high response rates because we put a lot of time into campaign preparation and follow-up and act in a target group-specific way," Markmeyer knows "You can't expect these results with technically loveless campaigns."

Markmeyer intan

 

"The dsb payment widget has extremely high usability. Readers can use it to pay their bill in a few seconds and prevent further manual bill payments with one click. That's why it's so popular. It offers users a way to complete their tasks in a convenient way. According to the motto one less to-do in my mails," adds Daniel Beljan. 

Beljan intan

"The dsb payment widget has extremely high usability. Readers can use it to pay their bill in a few seconds and prevent further manual bill payments with one click. That's why it's so popular. It offers users a way to complete their tasks in a convenient way. According to the motto one less to-do in my mails," adds Daniel Beljan. 

Komlossy intan

Conclusion: The direct marketing professionals at intan will continue to rely on the dsb payment widget in the future, because for them it has literally paid off.

Back to the overview