Making the switch to a recurring revenue system is a big decision – a multi-million dollar decision that could shape the trajectory of your company for years to come, to be exact. When you’re looking for the right software vendor to support your initiative, stay way from the traditional RFP-based procurement process. This process does not provide sufficient information to make informed vendor decisions for recurring revenue management systems. A proof-of-concept based process provides you with more data points and relevant information to make the right decision in the end.
The traditional RFP-based procurement process is a 20th century approach to a 21st century problem as the components of the RFP do not offer insights into the experience of working with a vendor. Today, you need an extensive two-way interaction and a proof-of-concept plan that offers concrete evidence that a vendor solution can meet your business challenges. Agility and time-to-market are key factors in the vendor selection process as today’s marketplace puts a premium on shortened product life-cycles and heightened competition.
There is intense competition among billing solution vendors because of the rapid growth in the use of recurring revenue models. With the broad range of on-premises and SaaS solutions available, how do you know which vendor is right for your company? Start with the building blocks approach to selection vs. the one-size-fits-all approach. The ideal solution is one that provides you with the building blocks to create the monetization options you need, now and in the future, providing you with the flexibility and agility to grow and adapt as your business changes.
As you begin your search for the right vendor, keep these steps in mind:
- Understand what you’re looking for, currently and in the future
- Narrow the field by asking for an RFI to help qualify which vendors move on to the selection process
- Create a proof-of-concept with 6-8 scripted use cases to see whether or not a vendor can actually solve your business challenges
- Pick a partner, not a vendor.
There are a variety of decision factors to consider when selecting a software vendor, from agility to initial time-to-market to integration. The No BS Guide to Recurring Revenue Success will help you prioritize the decision factors, understand key decision drivers, and compare solutions to ensure you get the best deal. Download the guide today and take the first steps to finding your partner in recurring revenue success.