How do people handle products with a subscription in HubSpot

[Rajini]

Hi all,

We have recently switched to selling our product as a subscription rather than a one off payment. How do you handle subscription products in HubSpot? Specifically, how do you ensure you have accurate forecasting (ACR, ARR, MRR)?

Thanks all,

Rajini

[Chriso-mwx · Accepted solution]

@TiphaineCuisset , thank you for tagging me on this again 😉

Hey @Rajini , 

happy to give you some pointers here. There are multiple things you can look for. Please let me know if you have questions for each of them:

• Maybe you've explored Products already, but if not, this is where I would start. Set up your Products accordingly with the right billing frequency and term. This way you can add them as line items to your Deals every time. You can also adjust them if needed. 
• When you're using these line items within your deals you can use some properties to cover a lot of information that you're looking for. I recommend familiarizing yourself with the following default Deal properties:
  • Amount
  • Annual contract value
  • Annual recurring revenue
  • Monthly recurring revenue
  • Total contract value
  • Forecast amount
• There is also a separate set of properties and accompanying reports for dealing with MRR specifically. You need Sales or Service Enterprise for that, though. But it's really useful to analyze new and exiting MRR.
• Also, go into your settings and let HubSpot know how it should calculate your default Amount property. You find these under Settings > Data Management > Objects > Deals > Setup to choose one of the following, as this will also be reflected it the Weighted Amount Deal property... I think at least:
  • TCV
  • ACV
  • MRR
  • ARR
• As for forecasting and its tool, you can read more about it here. I think of them as two tools, really. The one here as more to do with goals of teams and sales reps and how far along they are with them. The other one has to do with the deal probability that you choose in your deal pipeline settings. 

If you found this post helpful, consider helping others in the community to find answers faster by marking this as a solution. I'd really appreciate it. 

Cheers, 

Chriso

[TiphaineCuisset]

Hi @Rajini 

Thank you for reaching out.

I want to tag some of our experts here - @Jnix284 @BukunmiOdetayo @Chriso-mwx do you have any thoughts for @Rajini on this? 

Thank you!

Best

Tiphaine

[Rajini]

Thank you for tagging in the experts!