Upfront Costs vs Monthly Costs With Restaurant Service Providers
1. Cost savings
We’re sure your company spends a lot on phone equipment for many reasons—to expand, relocate, or just simply to upgrade your stuff. That means you pay a whole lot of money in a short amount of time. Leasing minimizes stress—and by that, we do not just mean the financial kind.
A one-time payment is cheaper overall but if the entry cost is high then most customers might say “Nope!”. Try going for a monthly subscription instead. It’s more convenient in the long run. And trust us, you want your customers to stay committed
2. Expert advice
A subscription-based model often comes with a rock-solid customer support system. That means access to expert, adaptable technical teams. The longer you stay a customer, the easier it will be for the support team to suggest improvements and fix problems. You can also benefit from all the new product features requested by other customers.
3. Maximized service value
Paying a sum for a one-time payment makes the “sting” of the price fade over time. Harvard Business Review conducted research that suggests that monthly pricing can make customers more committed. When you are paying monthly for phone service, you are more likely to make use of what you’re paying. You get to maximize the product’s value—and continue using it for months or years.
4. Custom Pricing and Discount Plans
Have you ever paid upfront for a multi-service feature even though you didn’t end up using all the features? Yes, we know it feels bad. A subscription-based model allows you to create custom price plans for different levels of service You can choose when and what to upgrade or downgrade whenever your needs change. Another benefit is the opportunity to get a discount—giving customers more incentive to extend their monthly plan.
5. Afford the latest equipment and advanced phone features
Just like with a car, leasing allows for brand new equipment with all the bells and whistles. Leasing can help make the newest phone technology and features more affordable for your business and employees. Leasing also makes phone upgrades, repairs, and expansions a cinch—even better if they’re included in your subscription.
6. Flexibility
The subscription model is more flexible and future-oriented because it does not have to lock customers with contracts. Let’s say you decide to opt-out after a few months—no problem. The customer does not feel trapped by a commitment. And who knows, he or she might come back again in the future. This flexibility allows for less risk with more control.
A one-time setup cost is similar to an annual contract, and consumers believe they would lose out if they do not utilize the service during that time.
