Humans and their pets are discovering the benefits of CBD products at a rapid rate. This fast adoption pace makes running a CBD store more challenging, as well as more potentially lucrative. 

By furnishing customers with the option to have your products auto-shipped directly to their door and paid for with recurring billing, you can take much of the guesswork out of fostering satisfaction and longevity.

Important definitions.

Auto-shipping.

Automatic or auto-shipping is sending a customer’s pre-set order to their preferred delivery address on a regular, consistent basis based on their preferred time interval. 

In this case, the order would include their chosen CBD products. Your CBD payment processing software makes it easy for changes to be made to the arrangement on the fly, maximizing convenience without sacrificing predictability.

Recurring billing.

Recurring billing is an automated payment system where customers are charged at regular intervals for a product or service, typically through a subscription model.

The subscription or recurring billing model has gained a great deal of popularity in recent years throughout the commercial landscape. The customer and merchant agree upon what products are to be purchased on the schedule and settle on the credit card or bank account from which regular withdrawals will be taken. 

They also specify on which date the funds deduction will occur each month, the amount, and the duration of the arrangement. In some situations, the parties might agree that fund amounts can vary according to changes in usage.

Benefits of the recurring billing model.

There are several advantages of this arrangement type. They include increased customer satisfaction, loyalty, retention, predictable revenue, reduced time and effort for buyer and seller, enhanced inventory management ability, and upselling opportunities.

Although the idea of auto-shipping and recurring billing may be compelling, you still might be reluctant to take the time to put them in place. Before you make that decision, however, consider the many benefits they can bring to your CBD company.

Increased customer satisfaction. 

For one thing, customers love the subscription model. Subscriptions make it possible for shoppers to continue getting the CBD products they enjoy without delays or interruptions. Your recurring billing software ensures that invoices, payment confirmations, and notifications about closed or expired accounts are provided to the customer on a timely and consistent basis. 

This arrangement removes the stress and guesswork from your relationship, allowing the client to simply focus on enjoying your products.

Predictable billing. 

In addition, the subscription model leads to predictability. Customers know when they will be billed, and you always have a clear idea of the monthly income you will be receiving from your subscriptions. 

That promotes better budgeting and more accurate forecasting and marketing capabilities.

When products go out on a subscription plan, you can be assured of an ongoing sale. By the same token, buyers can get the CBD items they want without ever leaving the comfort of their homes. 

Because merchants have advanced notice of the product quantities they will need, inventory management is simplified and becomes more accurate.

Increased brand loyalty. 

Finally, the subscription model facilitates a more positive and diversified relationship with your brand. Because communications with the buyer are ongoing, you have numerous opportunities to notify them of new products or promotions that gel with what they already have in their subscription. 

This helps to foster the personalized shopping experience that customers are coming to expect.

Tips for implementing auto-ship with recurring billing.

There are several steps involved if you want to bring auto-shipping and recurring billing into your CBD business. They include finding an ecommerce platform, configuring subscription options, optimizing shipping, providing strong communications and customer support, and complying with state and federal regulations.

Any guide to recurring billing and auto-shipping will encourage you to carefully go through a series of steps in order to optimize the success of your CBD product subscription program. 

Laying a strong foundation focusing on attention to detail and concentration on customer needs and preferences is key.

Find an ecommerce platform.

It starts when you do diligent research to choose the ecommerce platform that will best meet your needs. 

The platform should be furnished by a payment service provider who is familiar with the intricacies and regulatory landscape of the CBD industry and who is comfortable working with businesses such as yours that are always considered to be in the “high-risk” category. 

The ecommerce platform you pick should support subscriptions and auto-shipping and allow customers to pay using a diverse selection of options.

Configuring subscription options.

The next priority is to set up subscription options that are flexible, meeting the diverse needs of each customer. Buyers should be able to choose the products they want, the best delivery frequency, and the payment plan that is right for them. 

It should be easy for shoppers to manage various aspects of their subscriptions, including modifying orders or canceling the arrangement.

Optimizing shipping and packaging.

Providing a top-tier packaging and shipping experience is also vital. To that end, products should be protected during transit with secure and discreet boxes that can be accurately tracked by the customer. 

To incentivize your subscription program, you might also want to offer free or discounted shipping.

Provide clear communication. 

Throughout the entire relationship, clear communication is paramount. Notify shoppers when their items will be shipped, thank them for their payment even though it is withdrawn automatically, and provide ongoing product promotions and updates. 

This helps to cement a positive bond with your brand.

Comply with all regulations. 

Finally, it is essential to understand that the industry is bound by a dizzying array of state and federal requirements and CBD shipping regulations set forth by the various delivery vendors. In order for your business to thrive, you need to have a thorough understanding of these mandates and guidelines to ensure that you always remain in full compliance.

Getting started with auto-shipping and recurring billing is easy. Just get in touch with your payment service provider to see if your hardware and software are compatible and invest in any necessary upgrades. 

Then, get the word out to your customers to ensure that they can begin to take advantage of the ease, predictability, and enriched brand relationship that this model provides.