Transitioning legacy business models to subscription, cloud-based models is a sharp move and sensible strategy., However, it requires greater legal attention than it is generally given. From both a business and a legal perspective, it is important to manage, track, and disclose who has agreed to what and when, and what customers have agreed to over time. An efficient way to deliver these contracts to users is through a clickthrough agreement.
Digital transformation: Not Technology for Technology’s Sake
Digital transformation is the integration of digital technology to improve a company’s processes, business models, and ways of providing value to its customers. It represents a significant shift in a company’s culture, as well as its operations, which often means transitioning from legacy software and processes in favor of newer, more modern ones that will deliver more value. To be clear: digital transformation is not technology for technology’s sake; rather, it is a systemic shift in business operations that is ultimately to your business’ benefit.
Undergoing a digital transformation means changing legacy processes. In many cases, that means software providers will offer their customers cloud-based software-as-a-service (SaaS), rather than on-premise hard software. As a result, applications can now be accessed via the web by the customer wherever she is. Many software providers are also shifting from charging high upfront costs to offering a subscription-based model. This allows customers to pay for what they use and over time rather than all at once.
Overall, the relationship between the provider and the user will change, which also means the agreements need to change. A clickthrough solution will allow you to sign on a lot of customers, track and manage the terms they’ve agreed to, and still not mess up their sign on flow, thereby improving their experience at scale.
Self-service, Subscription-based SaaS
The subscription-based business model is clearly taking off. According to Stanford Graduate School of Business, this market has grown from $57 million in sales in 2011 to $2.6 billion in 2016. Instead of paying the whole cost up front, customers can simply pay for what they use. This makes not only for happier customers (and more of them), but also an increase in revenue.
Subscription-based models typically involve different parts of a lifecycle: trials, upgrades, buying more seats/access—all of which are potentially contractual events. Clickthroughs allow teams to implement whatever they need to remain legally compliant while providing users with a seamless experience. Even more, clickthroughs allow for a more self-service experience for customers, rather than the slower, more cumbersome experience involving order forms, PDFs, and emails.
This changes the ways businesses deliver contracts and the way users accept them. It becomes crucial, then, to think about best practices in moving towards repetitive, clickable, self-service-like contracts.
Effective Clickthrough Solution ≠ Click-to-Accept
A clickthrough is a box or a button that users check or click to agree to a provider’s terms and policies. Clickthrough agreements have become an integral part of our increasingly digitalized life because of how quickly they present legal terms and how easily users can accept them. Given the shift from traditional on-premise software to subscription-based SaaS delivery, a clickthrough is perfect for managing terms of service delivery to customers.
Beyond a simple check box or an “I agree” button on a website, an effective clickthrough solution manages complexity while still staying compliant. The complexity comes from thinking through multiple agreements happening thousands or millions of times per day, and managing that at scale:
- Multiple contract forms and templates that change over time (as contracts do)
- Multiple groupings and configurations of those forms and templates scattered across an entire digital ecosystem
- Multiple internal stakeholders that "own" the digital real estate where these groupings or contracts are presented for review and acceptance
- Millions of acceptance events monthly, weekly, or even daily.
For this reason, thinking through the workflow behind the clickthrough solution is key.
Complete your Digital Transformation with Clickthrough
A clickthrough solution should be part of your digital transformation strategy, as it can help meet the business goals you set forth for you company. Not only is it scalable and technology-driven, it adapts well to mobile. That means you can send it to customers wherever they are.
Formstack, for example, looked at its existing business workflow and inserted a clickthrough solution that enhanced that workflow.
By integrating an automated electronic signature into its free trial sign-up form online, the company is able to track thousands of signatures (and multiple contract versions) at scale. This integration improves customer experience, enhances organizational efficiency, and increases revenue.
Learn more about how PactSafe's clickthrough solution can scale with your business