Confused about Stripe downgrades
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andy mclaughlan
Oct 6, 2015, 9:56:37 AM10/6/15
to Stripe API Discussion
Hi
We are going to use Stripe to offer subscriptions with two support levels and two payment periods. Each one also has a free trail option and a quantity.
For example:
Telephone support
Max:OnDemand with telephone support and (yearly payment)
Max:OnDemand with telephone support and (quarterly payment)
Max:OnDemand with telephone support and free trial (yearly payment)
Max:OnDemand with telephone support and free trial (quarterly payment)
Portal Support
Max:OnDemand with forum/portal support (yearly payment)
Max:OnDemand with forum/portal support (quarterly payment)
Max:OnDemand with forum/portal support and free trial (yearly payment)
Max:OnDemand with forum/portal support and free trial quarterly payment)
Going from forum/portal support to telephone support is an upgrade and costs more so when we upgrade we prorate and invoice immediately which makes the subscriber pay for the upgrade straight away which is what we want. Also going from quarterly to annually is considered an upgrade and in this case it seems to cancel the quarterly contract and charges immediately for the new annual contract minus the amount left on the quarterly contract. This is also fine.
But when it comes to downgrading I am confused as to exactly what’s going on. Ideally we would like it to be that if they want to be downgrade then their plan will remain the same until the end of their subscription, After which they will be changed for their new plan. This seems to be what’s happening if they downgrade and keep the same payment period and we don’t prorate. Is that correct?
But when they downgrade and change from an annual payment interval to a quarterly what should happen in the case or prorate and not prorate?
What I think is does is when they downgrade and change from an annual payment interval to a quarterly and prorate the annual subscription is cancelled immediately and they get credited with the amount based on the remaining time left on the annual subscription minus the cost of the cost of the new quarterly contract. They will then be left with credit that used up each time the quarterly contract is renewed. Does this sound correct?
When they downgrade and change from an annual payment interval to a quarterly and we don’t prorate what happens?
Here is another example:
Max:OnDemand with telephone support and (yearly payment) costs £216 per year and OnDemand with forum/portal support (quarterly payment) costs £30 every 3 months.
A customer has 10 x OnDemand with telephone support (yearly payment) which is £2160
and they down grade to 8 x OnDemand with forum/portal support (quarterly payment)
What should the outcome be when they prorate and don’t prorate this down grade?
We are going to use Stripe to offer subscriptions with two support levels and two payment periods. Each one also has a free trail option and a quantity.
For example:
Telephone support
Max:OnDemand with telephone support and (yearly payment)
Max:OnDemand with telephone support and (quarterly payment)
Max:OnDemand with telephone support and free trial (yearly payment)
Max:OnDemand with telephone support and free trial (quarterly payment)
Portal Support
Max:OnDemand with forum/portal support (yearly payment)
Max:OnDemand with forum/portal support (quarterly payment)
Max:OnDemand with forum/portal support and free trial (yearly payment)
Max:OnDemand with forum/portal support and free trial quarterly payment)
Going from forum/portal support to telephone support is an upgrade and costs more so when we upgrade we prorate and invoice immediately which makes the subscriber pay for the upgrade straight away which is what we want. Also going from quarterly to annually is considered an upgrade and in this case it seems to cancel the quarterly contract and charges immediately for the new annual contract minus the amount left on the quarterly contract. This is also fine.
But when it comes to downgrading I am confused as to exactly what’s going on. Ideally we would like it to be that if they want to be downgrade then their plan will remain the same until the end of their subscription, After which they will be changed for their new plan. This seems to be what’s happening if they downgrade and keep the same payment period and we don’t prorate. Is that correct?
But when they downgrade and change from an annual payment interval to a quarterly what should happen in the case or prorate and not prorate?
What I think is does is when they downgrade and change from an annual payment interval to a quarterly and prorate the annual subscription is cancelled immediately and they get credited with the amount based on the remaining time left on the annual subscription minus the cost of the cost of the new quarterly contract. They will then be left with credit that used up each time the quarterly contract is renewed. Does this sound correct?
When they downgrade and change from an annual payment interval to a quarterly and we don’t prorate what happens?
Here is another example:
Max:OnDemand with telephone support and (yearly payment) costs £216 per year and OnDemand with forum/portal support (quarterly payment) costs £30 every 3 months.
A customer has 10 x OnDemand with telephone support (yearly payment) which is £2160
and they down grade to 8 x OnDemand with forum/portal support (quarterly payment)
What should the outcome be when they prorate and don’t prorate this down grade?
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