SAP Subscription Billing

The market trends for subscriptions and subscription-based products are clearly evolving. The shift from a one-time purchase into a subscription affected already many industries. Movies, music, cars, or even industrial machines are now being subscribed to all-inclusive rates. The shift into a Subscription Economy leads to many new opportunities to build and maintain long-term customer relationships and to sustainably enrich the customer experience.

SAP Subscription Billing connects the front office (e.g. SAP C/4HANA Portfolio), where customer interaction takes place, with the back office (e.g. SAP S/4HANA Portfolio), where the billing takes place.

It acts as a central revenue management platform in the cloud and covers the processes of business model design, subscription capture, subscription management, and subscription monetization which may also include consumption data delivered from external systems. This shows that in addition to one-off and recurring fees, also usage-based fees can be calculated. Lastly the accounting data will be made available for the backend-system e.g. SAP BRIM on S/4HANA for invoicing purpose.

Features and Benefits

Main functions:

  • Management of subscription products, bundles and tariffs
  • Order entry
  • Offer and tariff configuration
  • Discounts and pricing
  • Subscription management
  • Pricing of consumption data
  • Subscription billing
  • Integration with front and back-office applications such as SAP C4/HANA and S/4HANA

Main advantages

  • Monetization of various combinations of one-time, usage-based or subscription-based consumptions
  • Reliable and automated order-to-cash process increases customer satisfaction
  • Simplified and harmonized sales and payment processes for better customer experiences
  • Central platform for viewing valuable consumption data


Integration of SAP Subscription Billing into the system landscape

Integration of SAP Subscription Billing into the system landscape

SAP Subscription Billing is a multi-tenant solution based on microservices in the cloud. It is a particularly agile solution, as initial access can be set-up within hours and the complete configuration can be finished within just a few days or weeks, depending on the desired integration scenario or system landscape. SAP releases new features for Subscription Billing on a two-weekly basis. This means that innovations are introduced much faster than in comparison to other products with large annual releases. Another interesting advantage of the Cloud is that patches are rolled out daily in the event of bugs. With a view on integration options, numerous integration packages are available for the following products:

  • S/4 HANA On-Premise SD
  • S/4 HANA Cloud Sales Billing
  • S/4 HANA Cloud for Contract Accounting & Invoicing
  • SAP ByDesign
  • SAP Commerce Cloud
  • SAP digital payments
  • SAP Localization Hub, Tax Service
  • SAP Entitlement Management

An extensive API library also enables the efficient connection of non-SAP systems.

Please get in touch for further information or demo.