Dunning
Dunning is the process of recovering failed subscription payments through automatic retries and customer communication. It includes retrying a charge on a sensible schedule, emailing the customer to update their payment method and eventually pausing or cancelling the subscription if payment cannot be collected.
How to read it
Good dunning is the main lever on involuntary churn. Retry timing, clear messages and a stated grace period each affect recovery, and the results should be tracked as a recovery rate by failure reason.
Further reading
- Recover failed payments before they become churn.
- Involuntary churn: the silent revenue leak in subscription billing