For a new business or startup, choosing the right platforms is very important to ensure smooth operation and efficiency. In the following article, we will help you understand the differences between Recurly vs Stripe. Actually, these two platforms are two different things that serve different purposes. Recurly is for subscription billing management, whereas Stripe is an online payment processor for business owners and merchants.
Recurly is an enterprise-level billing management platform. It is specifically designed to help you handle recurring billings on subscription-based mobile, software-as-a-service (SaaS), content, and publishing businesses. It is suitable for businesses with local, regional, and even global reach. It has been used by several famous enterprises such as LinkedIn, Hubspot, and DISH Digital to take care of their subscriptions.
Recurly enables you to process payments from various payment channels. This is a high-end solution with premium functionality and a touch of simplicity. It is designed to deliver reliable security and support. See also: Stripe vs Square.
However, it is important to point out that the difference between Recurly vs Stripe is that Recurly is specifically designed to manage subscriptions and billings. It still needs a payment gateway to process the payments. Recurly is a suitable choice if you are running a subscription-based product or service and your customers need to make periodic payments, but you can also use this platform to receive single payments.
Recurly: Features and Benefits
Recurly offers a number of benefits for subscription-based businesses. First of all, it is easy and simple to set up. It is a user-friendly platform with a low learning curve; it can be used without any prior training or advanced technical skills. Furthermore, it is highly customizable with a lot of seamless integrations.
Recurly supports multiple payment gateways with no gateway lock-in. It has PCI Level 1 compliance which allows it to store credit card data on behalf of the users. One cool capability of Recurly is that it is able to detect and correct more than 60 common errors in credit card transactions. According to the developer, this capability alone can reduce credit card declines by 27% and improve customer retention.
Since Recurly is designed to manage subscriptions and billings, it comes with many features and capabilities that are not available on Stripe. These features include plan creation, dunning management, free-paid trials management, customer portal handling, and automatic invoice sending. In addition, Recurly can analyze your monthly and annual revenues and also show your churn rate.
Again, in order to manage all of those aspects, you need to integrate Recurly with a payment gateway. Recurly manages the subscriptions, billings, and transactions, but you still need a payment gateway to actually receive the money.
Recurly: Pricing Plans
The next thing that you need to know when choosing between Recurly vs Stripe is their pricing plans. Recurly provides three pricing options with different levels of features. According to the developer, Recurly has no hidden charges or contract pressures, so you are free to choose the suitable plan that suits your needs.
The cheapest plan is the Core Package, which costs $99 per month. This is ideal for businesses with credit card-only subscriptions, as this plan allows credit card billing. The second plan is the Enterprise Plan, which costs a whopping $299 per month. It allows multiple payment options such as credit cards, checks, and international currencies. It also has invoice support and Salesforce integration. Finally, the Custom Plan has a dynamic price that depends on the installed features, suitable for a business that processes more than five hundred thousand bucks per month.
On the other hand, Stripe is an online payment processor designed for small business owners and merchants. Remember that Recurly needs to work with a payment gateway? Stripe is one of the viable solutions for a payment gateway. It is responsible for processing the transactions so that you can receive your money.
Stripe makes it very easy to accept credit card payments online. It handles all the background processes, including security. Hence, it is a very convenient solution that will enable you to focus solely on your business without worrying about the things going on in the background.
Stripe has a lot of features, various customization options, and transparent pricing schemes. These advantages are the reasons why Stripe has become so popular among small businesses and online merchants. However, the pricing plans are mainly beneficial for small-scale users; they may become less efficient for large-scale users with huge amounts of transactions.
Stripe: Features and Benefits
Compared to other payment gateways, Stripe is so user-friendly and straightforward. It has various features that simplify the checkout process on the customer side. It also has an advanced security feature that safeguards credit card details which allows returning customers to hasten their transactions without compromising their money. For the business owner, Stripe’s advantages include the easy and simple installation, in-depth customization, and simple yet informative dashboard.
When choosing between Recurly vs Stripe, note that Stripe does have its own features for managing one-time transactions as well as recurring payments. You can create coupons, create free/paid trials, and manage billings. However, compared to Recurly, Stripe’s features in this aspect are much more limited.
Stripe: Pricing Rate
Finally, Stripe comes with a simple pricing with no setup or monthly fees. This is a big advantage for small businesses that don’t have too many transactions yet. You don’t need to worry about having to pay any extra expense when you are still building your business.
Stripe has a flat pricing rate that is applied only to a successful charge. It is 2.9% + $0.30 per successful charge. This is quite low, but the total expense may add up quickly if you process lots of micro transactions or a very large sum of money.
|- Enterprise-level billing management platform||- Online payment gateway for small businesses and merchants|
|- Needs to integrate with a payment gateway||- Can work on its own|
|- Advanced subscription management and billing features||- Basic subscription management and billing|
|- Runs on a monthly fee with no hidden charge||- Has a fee on each successful transaction, no setup or monthly fee|
|- Recommended for subscription-based businesses and recurring payments||- Recommended for one-time transactions and simple subscriptions|
If you only need to handle one-time transactions, using Stripe alone is sufficient. However, if you are running a subscription-based business, using Recurly in conjunction with a payment gateway is more recommended. Recurly has many more features and capabilities that will bring ease and convenience, including revenue analysis and error correction. But don’t forget that Recurly needs to integrate with at least one payment gateway, and Stripe is one viable choice for that.