> For the complete documentation index, see [llms.txt](https://bagelpay.gitbook.io/docs/llms.txt). Markdown versions of documentation pages are available by appending `.md` to page URLs; this page is available as [Markdown](https://bagelpay.gitbook.io/docs/documentation/features/markdown.md).

# Subscriptions

Subscription products let you offer recurring billing for memberships, SaaS, or ongoing services. Flexible billing cycles, free trials, and add-ons help you maximize revenue and customer value. 

## Understanding Subscriptions <a href="#understanding-subscriptions" id="understanding-subscriptions"></a>

A subscription represents a recurring payment agreement between you and your customer. When a customer subscribes to your product, they agree to be billed periodically (daily, monthly, yearly, etc.) until they cancel their subscription.

Scenarios where subscription-based payment models are applicable include the following:

1. **Digital Services and Platforms**: Ideal for software-as-a-service (SaaS) providers, online tools, and apps (e.g., project management software, cloud storage services, or design platforms), where users benefit from continuous access and updates.
2. **Content Streaming**: Essential for businesses offering media content, such as video streaming (e.g., Netflix), music streaming (e.g., Spotify), or podcast platforms, where users consume content over time.
3. **E-Learning and Online Education**: For platforms providing online courses, training modules, or skill development resources (e.g., Udemy, MasterClass), allowing customers to pay for ongoing access to learning materials.
4. **Health and Wellness Services**: Fitness apps, meditation platforms, and telemedicine solutions often employ subscription models to provide continuous access to personalized plans, live sessions, or resource libraries.
5. **News and Digital Publications**: For digital newspapers, magazines, and blogs offering premium or exclusive content behind a paywall (e.g., The New York Times, Medium).
6. **E-Commerce Subscription Boxes**: Ideal for curated products delivered regularly (e.g., beauty, food, books, or lifestyle boxes). It provides convenience and recurring value to customers.
7. **Utilities and Infrastructure**: Applicable for products like internet services, VPNs, or cybersecurity tools that require ongoing support and maintenance.
8. **Gaming**: Video game platforms offering premium memberships or access to exclusive content, like Xbox Game Pass or PlayStation Plus, benefit from the subscription model.
9. **Professional Services**: Tools for freelancers or businesses, such as invoicing platforms, CRM software, or graphic design tools, often employ subscriptions for consistent updates and support.
10. **IoT and Smart Devices**: Smart products like security cameras, virtual assistants, or connected home appliances may offer subscriptions for remote access, cloud storage, or advanced features.
11. **Lifestyle and Membership Clubs**: Gyms, co-working spaces, or clubs for specific interests (e.g., wine, coffee, books) leverage subscriptions for consistent cash flow and community engagement.

{% hint style="info" %}
Subscription-based models work well in scenarios where ongoing access, regular updates, or recurring service is central to the product's value. They foster long-term customer relationships and create predictable revenue streams for businesses.
{% endhint %}

## Key Concepts <a href="#key-concepts" id="key-concepts"></a>

### Subscription Status <a href="#subscription-status" id="subscription-status"></a>

A subscription can be in different states throughout its lifecycle:

* **Active:** The subscription is current and payments are being processed normally
* **Past Due:** A payment attempt has failed but the subscription is still active and retrying.
* **Canceled:** The subscription has been terminated
* **Paused**: The payment collection for this subscription is paused until you resume it.
* **Trialing:** The subscription is in a trial period before the first payment
* **Incomplete:** The subscription and checkout session was created but not paid

### Billing Cycles

Subscriptions operate on billing cycles that determine when payments are collected. You can set up various billing intervals:

* Daily billing
* Weekly billing
* Monthly billing
* 3 Months billing
* 6 Months billing
* Yearly billing
* Custom intervals (2 months, etc.)

## Creating a Subscription

To create a subscription, you’ll need to:

<details>

<summary>Step1: Set up a subscription product in your dashboard</summary>

</details>

<details>

<summary>Step2: Generate a checkout session for the subscription</summary>

After successfully creating your product, you can copy the payment link by clicking on the product **Share** button.

Or with checkout sessions generated dynamically instead of just using a static payment link.

```python
```

For more details on checkout session options, navigate to our [Checkout Session](/docs/documentation/developers-and-api-usage/checkout-session.md#create-checkout-session)

</details>

<details>

<summary>Step3: Direct your customer to the checkout URL</summary>

</details>

## Managing Subscriptions <a href="#managing-subscriptions" id="managing-subscriptions"></a>

### For customers

* **Update billing details:** Customers can update their payment method through the customer portal
* **Cancel subscriptions:** Customers or merchants can cancel at any time, through the Dashboard, customer portal or APIs

### For merchants

* **Seat Based Billing:** Merchants can update the usage of a specific subscription based on seats or units through the Dashboard or API
* **Change prices:** Merchants can update the price of a subscription, that takes into effect in the next billing cycle
* **Change subscription product**: Merchants can modify the products within a subscription, often utilized to assist customers in upgrading or downgrading their subscription plans.