Recovering Revenue From Declined Transactions: New Research From Recurly

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Recovered Revenue metrics research

Recurly-Credit-Debit.pngRecurly is pleased to announce the release of new research which examines some key metrics for credit cards vs. debit cards. In particular, we focus on how much revenue can be recovered from failed transactions for each card type. Repairing failed transactions is an important aspect of mitigating involuntary churn which can and regularly does occur when a recurring payment is declined. Our research shows the significant revenue that Recurly can recover from failed payments, from both credit and debit cards.

For each element analyzed, we’ve also broken out the data by audience type—B2B vs B2C. Segmenting the data this way creates a helpful benchmark which you can use to compare the results of your business.

Our research found that recurring charges paid with debit cards experience higher decline rates than those paid with credit cards once the initial transaction has been approved. This is most likely due to the availability of funds since debit cards frequently have much lower available balances as compared to credit cards’ credit limits. The most likely reason for credit card being declined for a recurring charge is that the card has expired. However, in either scenario, our research demonstrated that we were able to repair the transactions and recover revenue.

These are just some of the insights our new data set provides. How does your business stack up?

Jump to the findings to find out.

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