# Subscription Billing

> Subscription billing is a recurring payment model where customers are charged at regular intervals for ongoing access to a product or service.

- **URL**: https://dodopayments.com/glossary/subscription-billing

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## What is Subscription Billing?

Subscription Billing is a payment method where customers are charged at regular intervals--monthly, quarterly, or annually--for ongoing access to products or services.

This model is common in;

- SaaS platforms,

- streaming services, and

- Membership-based businesses.

Subscription billing ensures consistent revenue for companies and provides convenience for customers, who benefit from uninterrupted service without needing to renew manually.

### Subscription Billing vs. Recurring Billing

- Subscription Billing charges a fixed fee regularly for access to a service or product.

- Recurring Billing is broader and can include variable charges, such as usage-based billing or pay-as-you-go models.

For example:

**Subscription Billing:** A SaaS platform charging $20 per month.

**Recurring Billing:** A cloud service provider billing based on the amount of storage used monthly.

Both models cater to different customer needs but share the goal of simplifying billing processes.

## Learn More

- [Subscription pricing models that scale](https://dodopayments.com/blogs/subscription-pricing-models)
- [Set up subscription billing in an afternoon](https://dodopayments.com/blogs/set-up-subscription-billing-afternoon)
- [Alternatives to traditional recurring billing](https://dodopayments.com/blogs/recurring-billing-alternatives)