Payments News


Butter Raises $7M to End ‘accidental’ Customer Churn Due to Payment Failure

“Payment failure, in fact, is the among the biggest causes of customer churn and represents nearly half of all subscription churn. Even more alarming, Menon came to understand, the companies weren’t even aware of what was happening. False declines are estimated to be a $443 billion problem by the end of this year, according to Cardinal Commerce ), resulting in millions of lost subscribers. The accidental churn is often not just due to problems with renewals, where people get frustrated by failed attempts to charge their credit card, for example. It is also largely a problem at the sign-up process, especially in countries outside the U.S., where charges are often falsely declined due to being attempted in another country.”