Billing - Understand our billing model
5 minutes read
Feedr is a subscription based software service. Our service runs on a recurring billing model instead of a one-time purchase. This means, that our customers have to pay on a recurring basis to continue using our services. Such model is referred to as a subscription and can run on different billing cycle intervals i.e. monthly and yearly. Depending upon the amount of webshops, products, feeds, etc. we offer a wide range of plans suited to fit your needs at the lowest possible price.
It determines the billing cycle interval and is responsable for billing the user at the choosen interval i.e. monthly or yearly.
A plan is responsable for your account limits i.e. amount of shops, products, feeds and price. As a user, you must purchase one of our plans. We also support addons in case of extra shops and feeds. However, you're required to upgrade to a plan with enough products to serve your needs.
Proration is how to calculate existing payments when changing a subscription i.e. when upgrading from a monthly to a yearly subscription. It's important to factor in existing payments and reduce cost in case of upgrades and downgrades.
One of the most difficult asepcts of handling subscriptions is changing an existing subscription and how previous payments are factored into the next invoice. Let's go through an example to demonstrate how and why we charge a given amount.
Let's say a user has purchased a monthly plan for $100 and then chooses to upgrade to a $150/month plan exactly halfway through his current subscription period (i.e. on the 15th given he subscribed the 1st.). In that case, the user has already paid $100, but only used half of his current billing cycle. When the user switches to the new plan, with a cost of $150/month, the unused portion of the previous plan result in a $50 credit. The cost of the new plan for the rest of the billing cycle (i.e. rest of the month) is $75. Therefore, the total prorated cost of switching from the cheaper plan to the more expensive plan is $25. In this example, we'll charge the user the prorated amount of $25 immediately and further invoices will be of $150/month.
We offer a wide range of different plans, but some users might need extra extensions (i.e. extra feeds or shops) without upgrading to a larger plan. Our addon prices are prorated as well and will be added to the user's future billings. The prorated addon price will be charged upfront and then run on a recurring basic with your subscription. In case of subscription interval change, the user's addons will be changed as well.
We suppport multiple languages and countries. Because of that, all prices are shown excl. VAT for easier management and more consistent prices across countries. VAT will appear on all generated invoices.
You can cancel your subscription whenever you want. Your access to our service will continue to the end of your purchased subscription period. When deciding to cancel your subscription, all of your purchased addons will be marked as canceled too. Once canceled you can resume your subscription until the end of your subscription period.