Article summary


        The possibility of handling Subscriptions within the Buckaroo environment started a few years after the introduction of Credit Management. With Subscriptions the periodic invoicing can be outsourced completely to Buckaroo, including a chosen reminder scheme for the invoice. Buckaroo will take care of the bill run and the invoice timing. Mutation messages are only needed in case anything changes to the subscription. E.g.: upsell or downsell or debtor changes. Here are some definitions to be taken into consideration:

        Product: What is the minimum unit to be purchased?
        Invoicing: How frequent are invoices send and during which periods?
        Credit Management: If payment hasn’t been received, which reminder scheme will be activated?
        Payment: Which payment method and/or payment notification will be used?

        Steps to start a subscription

        There are 3 types of messages to manage a subscription. If you want to know how to use these messages properly, please consult Interaction which shows how the Buckaroo features are interconnected.

        1. Start subscription: You can inform Buckaroo about the subscription by sending one single message, possibly combined with an initial payment or identification method, stating the subscription details.
        2. Change subscription: Each mutation (upsell and downsell) can be communicated to the Subscription module by sending one single message. The subscription will be updated immediately. You do not have to cancel the former subscription and create a new subscription.
        3. Cancel subscription: You can cancel a subscription by sending one single message to our Subscription module. The invoicing will stop as of the ‘cancel subscription’ date.

        Change the active products of an active subcription

        The parameters of the products, like price or number of units, on an active subscription can be changed. It is also possible to add products to an active subscription, or stop the priceplan of a product. The update subscription call on the development page can be used to make these changes.

        1. Add product: choose a new rateplan, add the related parameters for this rateplan to the add-request and choose a startdate in the future.
        2. Change product: every change (up- and downsell) on a product can be shared with the Buckaroo Subscription module. The subscription will be immediately updated with the right parameters. It is not necessary to stop the subscription first and then start a new subscription if only a product update is necessary.
        3. Stop a product: it is possible to remove a product from a subscription by adding an end date to the price plan of the product. The product disappears from the upcoming invoice once the end date has passed.


        Connection between Subscriptions and Credit Management

        Each bill run performed via the Subscription module directly triggers the Credit Management module. Subsequently, the Merchant will receive an invoice push with regard to this activity. Once the Merchant has received the invoice push, the invoice can be incorporated in the debtor administration of the Merchant. After each mutation, the Merchant will receive a push message regarding the invoice payment or the payment reminder status. Thus, Merchants have a complete overview of the debtors’ status without actively having to retrieve this status from Buckaroo themselves. All Credit Management features are managed by the Subscription module. If the Merchants want to change the way in which this is done, they can send a mutation message for each individual subscription.


        Subscriptions Considerations - Credit Management

        Questions to be considered when choosing between Credit Management or the Subscription Engine:

        Question 1: Who executes the bill run?

        If you as a Merchant have a complete invoicing system at your disposal, including invoices and their details, we advise you to use our Credit Management. Invoices can be presented to Buckaroo by way of a separate call or by batch, and will be collected using the preferred payment method. This includes a reminder scheme. It is also possible to similarly use notifications (PayperEmail) to collect the invoices.

        Question 2: Is the invoice amount always the same?

        When the invoice amount is always the same, why not use our Subscription service? The bill run will be outsourced to Buckaroo based on the products registered on the subscription. A bill run can be performed with any desired repeat period and at any given time within that period. It is up to the Merchant to decide whether all invoices have to be generated at the same time or whether they have to be created gradually over time.

        Question 3: How many mutations are there per subscriber during each invoice period?

        Each product and/or price mutation has to be communicated to the Subscription Engine. Depending on the number of mutation messages, you as a Merchant can decide whether you want to keep on executing the bill run yourself or not. If, for example, 50,000 invoices are created per month and there’s a maximum of 2,000 mutations, then using our Subscription Engine has its advantages.


        Subscriptions and Credit Management

        The Merchant can start the subscription using the Buckaroo subscription engine, using the information which belongs to the related product. The blocks below, marked with *, are optional. The summary of the possible steps is as follows:

        Subscription in combination with Credit Management

        • Compose a message to generate the subscription at Buckaroo. Please add a different price or number of units if applicable.
        • Buckaroo startes a subscription and the bill run will start at the given startdate accordingly.
        • Every bill run the subscription engine will send the invoicing information to the credit management engine, using the handling method of choice. Think about the payment invitations and the reminders. It is also possible to send a PDF as an attachment with these messages. The messages can be send per email, letter or text messages on a mobile phone.
        • Every payment action (successful or not) will be monitored by Buckaroo. The credit management module will take care for the reminders and stop the reminders from being send if the invoice is fully paid. If necessary the invoice can be transfered to the collecting agency.
        • Changes can be send to the subscription engine using the update subscription messages. Using this functionality helps the Merchant in being able to update the subscription and its products for every next bill run.


        Credit Management only

        If there is a consumer administration, there might be a good reason for the Merchant to do the billing in-house. In that case only the Credit management solution from Buckaroo is used. Buckaroo is still able to proces the invoice lines.


        Relationship between the different items

        ✅ Each debtor can have multiple subscriptions
        ✅ Each subscription can have multiple invoices
        ✅ Each invoice with CM comes with reminders
        ✅ Each invoice can be paid by means of a transaction
        ✅ Invoices are safely managed by Credit Management
        ✅ The CM results trigger a follow-up
        ✅ If the invoice is handed over to a debt collection agency, the results will be reported to Credit Management.

        Different ways to start a subscription:

        You can start a subscription by using the "create combined subscription" message. The first step consists of the realtime use of an initial payment method that can be used recurrently from then on. You can start a subscription by using a:

        Digital direct debit (only in the Netherlands): The banking environment of the Dutch banks allows sharing just the IBAN details with the Merchant. After this has happened, reversal of the SEPA Direct Debit after 56 days will not be possible.

        Irreversible payment metod, such as iDEAL, Bancontact, Sofort and other payment methods: If the first transaction was successful, the SEPA Direct Debit payment method will be used combined with the IBAN details used during the initial transaction. Note: other direct payment methods can also be used to start the SEPA Direct Debit.

        Reversible payment method, such as credit card and PayPal: If this transaction is successful, the credit card and PayPal details used for the first transaction will also be used for each subsequent invoice.

        Notification payment method, such as PayperEmail: An email is sent in which you can select your preferred payment method for the outstanding invoice. If the initial payment method is succesful, the subscription with product 1, 2, 3 and 4 will be generated. If payment fails, the subscription will not be generated.

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