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AIMS360 achieves 100 per cent subscription with Zuora
23 Feb '21
3 min read
Pic: Aims360
Zuora has announced that leading fashion ERP company, AIMS360, had achieved its goal of selling 100 per cent of its software products as subscriptions after adopting the Zuora platform. Zuora provides the leading cloud-based subscription management platform that functions as a system of record for subscription businesses across all industries.
Per EY research, over 90 per cent of technology companies are embracing subscription or consumption business models. While fashion ERP software provider AIMS360 originally sold software through a rental-based business model, the company also decided to transition to subscriptions to better monetise services and build stronger relationships with subscribers over time, according to Zuora.
However, the company’s existing accounting system didn’t have sufficient capabilities to handle the complexity and flexibility required to shift from monthly rental payments to a true subscription business model. AIMS360 engaged Zuora to efficiently facilitate the transition, Zuora said.
Some of the Zuora capabilities that have allowed AIMS360 to optimize the customer relationship include automated renewals, automated licensing, flexible terms, and the ability to easily manage incentives and discounts. Metrics provided by Zuora give AIMS360 insight into how the business is performing and where to improve. The out-of-the-box metrics from Zuora, including monthly recurring revenue (MRR), churn, and net retention rate, makes it easy for AIMS360 to decide when to adjust prices or make changes to subscription packages, according to Zuora.
Many of AIMS360’s customers have needed increased agility as a result of the pandemic’s impact on the fashion industry. Zuora’s flexible platform helped AIMS360 give its customers temporary relief through an expiring discount program. With Zuora, AIMS360 has also been able to accurately monitor business impact in real time and adjust the business accordingly to navigate through these challenging times, Zuora said in a media statement.
“The subscription business model only makes sense if you can monetise product offerings. It is very hard to monetise a subscription. You’re not getting a lot of money from the customer up front. You’re getting little chunks of revenue on the subscription over and over again. Managing the ongoing customer relationship is what’s most important, which is what Zuora has allowed us to do. With Zuora, we can make any changes to a customer’s subscription, at any time. That agility combined with the visibility we have into the metrics that matter have enabled us to successfully convert the business to 100 per cent subscriptions” Shahin Kohan, president of AIMS360 said in a Zuora press release.
Per EY research, over 90 per cent of technology companies are embracing subscription or consumption business models. While fashion ERP software provider AIMS360 originally sold software through a rental-based business model, the company also decided to transition to subscriptions to better monetise services and build stronger relationships with subscribers over time, according to Zuora.
However, the company’s existing accounting system didn’t have sufficient capabilities to handle the complexity and flexibility required to shift from monthly rental payments to a true subscription business model. AIMS360 engaged Zuora to efficiently facilitate the transition, Zuora said.
Some of the Zuora capabilities that have allowed AIMS360 to optimize the customer relationship include automated renewals, automated licensing, flexible terms, and the ability to easily manage incentives and discounts. Metrics provided by Zuora give AIMS360 insight into how the business is performing and where to improve. The out-of-the-box metrics from Zuora, including monthly recurring revenue (MRR), churn, and net retention rate, makes it easy for AIMS360 to decide when to adjust prices or make changes to subscription packages, according to Zuora.
Many of AIMS360’s customers have needed increased agility as a result of the pandemic’s impact on the fashion industry. Zuora’s flexible platform helped AIMS360 give its customers temporary relief through an expiring discount program. With Zuora, AIMS360 has also been able to accurately monitor business impact in real time and adjust the business accordingly to navigate through these challenging times, Zuora said in a media statement.
“The subscription business model only makes sense if you can monetise product offerings. It is very hard to monetise a subscription. You’re not getting a lot of money from the customer up front. You’re getting little chunks of revenue on the subscription over and over again. Managing the ongoing customer relationship is what’s most important, which is what Zuora has allowed us to do. With Zuora, we can make any changes to a customer’s subscription, at any time. That agility combined with the visibility we have into the metrics that matter have enabled us to successfully convert the business to 100 per cent subscriptions” Shahin Kohan, president of AIMS360 said in a Zuora press release.
Fibre2Fashion News Desk (GK)
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