How To Maintain a Recurring Revenue Business

Hello, this is Hall T. Martin with the Startup Funding Espresso -- your daily shot of startup funding and investing.

After setting up a recurring revenue business model, one must maintain the business.

Here are some key steps:

Most customers typically start with the basic service or product.

It’s important to make available higher-priced services.

Follow the good-better-best strategy of three-tiered pricing so you can upsell customers who need more.

For those who need less, you can keep them as a customer by selling them a lower-priced version.

One can also create a loyalty program.

By rewarding customers who use your service, they tend to stay longer and use more of it.

Remove the friction in payment.

Move from manual payments to automated payments if you haven’t already.

Build stickiness with the product by capturing data from the customer’s usage and making it a part of the product you offer.

Customers who come to rely on that data will stay with the product longer.

Finally, set up a customer service program that can fix problems as soon as they occur.

Resolving problems quickly will reduce churn.

Consider these steps in building your recurring revenue business ongoing.

Thank you for joining us for the Startup Funding Espresso where we help startups and investors connect for funding.

Let’s go startup something today.

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In this episode of Investor Connect, we delve into the entrepreneurial journey of two innovative companies breaking new ground in their respective markets. The first part of the discussion revolves around a pet product currently in a powder form that enhances hydration and electrolytes for dogs. The conversation addresses common concerns regarding hydration, dosage, and the potential market impact of the product, especially as it transitions to platforms like Amazon. The speaker also shares insights from beta sales and the business's projections, highlighting the effectiveness of customer retention models and strategies to ensure product safety and appeal.

The episode then transitions to an intriguing segment on a transformative technology aimed at alleviating chronic pain. The entrepreneur presents a pain relief device based on micro points, initially developed for wound closure but discovered to be highly effective in treating severe, chronic pain. The story includes impressive results from clinical trials and a compelling explanation of the device's mechanism.

The discussion also covers the various health conditions the device addresses and the significant market potential, supported by strong sales metrics and strategic distribution channels. Listeners will gain insights into the challenges and opportunities faced by startups in the pet product and healthcare technology sectors. Through detailed explanations of safety protocols, market testing, and strategic planning, the episode provides a comprehensive look at what it takes to innovate and succeed.

The speakers share their experiences with product development, market entry strategies, and the importance of clinical validation, offering valuable lessons for aspiring entrepreneurs and investors alike. Hall T. Martin, host of Investor Connect, brings his signature tone and humor, engaging with the speakers in a lively conversation that not only highlights their innovative products but also underscores the broader market trends and investment opportunities in these dynamic fields. Don't miss out on this enlightening episode filled with actionable insights and inspiring entrepreneurial stories.

Thank you for joining us for the Startup Funding Espresso where we help startups and investors connect for funding.

Let’s go startup something today.

_______________________________________________________

For more episodes from Investor Connect, please visit the site at: http://investorconnect.org

Check out our other podcasts here: https://investorconnect.org/
For Investors check out: https://tencapital.group/investor-landing/
For Startups check out: https://tencapital.group/company-landing/
For eGuides check out: https://tencapital.group/education/
For upcoming Events, check out https://tencapital.group/events/

For Feedback please contact info@tencapital.group

Please follow, share, and leave a review.

Music courtesy of Bensound.

Types of Recurring Revenue

Hello, this is Hall T. Martin with the Startup Funding Espresso -- your daily shot of startup funding and investing.

Recurring revenue can be implemented in many ways.

Here’s a list of the different types of recurring revenue:

Charge based on time -- this form of recurring revenue charges based on a period of time say a month or a year.

It’s simple and can be applied to all customers equally.

Perpetual use -- this type of recurring revenue charges for continual access to a service through which one can buy specific goods or services.

The perpetual model creates a customer base that can be upsold to other products.

Product usage-based -- this form of recurring revenue charges based on the usage of the product.

Storage is an example of paying for the amount of storage used on a recurring basis.

Per seat usage -- this type of recurring revenue charge based on how many users access the platform.

This works for enterprise applications which can have varying numbers of users.

Price tiers -- this type of recurring revenue offers several price levels based on the usage and number of features used.

Freemium models -- this type of recurring revenue uses a free product for onboarding customers and then charges a recurring fee for the use of premium features.

Consider these variations of recurring revenue for your business.

Thank you for joining us for the Startup Funding Espresso where we help startups and investors connect for funding.

Let’s go startup something today.

_______________________________________________________

For more episodes from Investor Connect, please visit the site at: http://investorconnect.org

Check out our other podcasts here: https://investorconnect.org/
For Investors check out: https://tencapital.group/investor-landing/
For Startups check out: https://tencapital.group/company-landing/
For eGuides check out: https://tencapital.group/education/
For upcoming Events, check out https://tencapital.group/events/

For Feedback please contact info@tencapital.group

Please follow, share, and leave a review.

Music courtesy of Bensound.