Source: Stripe

“People in Mexico see insurance as a very large expense, and the principal reason users cancel their policy is because they don’t use it,” said Luis Esteban Martínez Luengo, director of business development at Inter.mx. “If they don’t use it, they think that’s a big expense they can’t justify.”

Inter.mx used Stripe Payments to enable reliable, secure payment support for a simple, easy transaction process. The company used Stripe Billing to power its subscription services with both free and paid options to create a freemium model. With Billing, Inter.mx could automate workflows to easily collect recurring payments. The Billing API could also enable Inter.mx customers to choose from multiple subscription offerings and make changes to their subscriptions on a self-serve basis. Features such as Smart Retries, which uses machine learning to retry failed payment attempts at the best possible times, could also help reduce churn and recover revenue.

Inter.mx aimed to encourage more Mexicans to sign up for insurance, and its free coverage plan received a welcome reception with thousands of sign-ups immediately after the launch. Six months after launch, about 8% of free subscribers had converted to paid subscriptions, creating a new recurring revenue stream for Inter.mx and helping to shift the cultural perception around insurance.

“We have found in Stripe a tool that gives us a lot of peace of mind. The collection of payments happens automatically, and if ever there is an issue with collection, Stripe Billing is automatically sending messages to the customer and making subsequent attempts to collect payment. That allows us to concentrate on our core business, which is insurance,” said Luis Esteban Martínez Luengo, Director of Business Development.

Read the full article: https://stripe.com/gb/customers/inter.mx