Upgrades Mid Billing Period

A

AbbieRose

New member
Do you prefer that your clients deal with their upgrades at the next billing cycle or is mid cycle ok? Do you simply prorate the charges for that month, working out the difference between the two? Or do you charge as is from then and issue a partial refund for the lower service?
 
Well, When a client submits a upgrade request, the upgrade wont take place till their next billing date. The only way I would upgrade the account in the middle of the month if it was neccessary to do so (Resources running and need more right away).

Also, if that happens, I would prorate the account for 15% off their next bill. Depending on the amount of days left.
 
romes, can you tell me please, where you get the figure of 15% from? Is it something that came from your experiences in the hosting game, or did you work it out somehow-what is it based upon?
 
For us, if a customer requests an upgrade, we prorate and upgrade. There are a number of reasons that a user would want an upgrade, so forcing them to wait for the next billing cycle can hurt their business. What if they need more disk space, more bandwidth or a more powerful VPS or Dedicated server? You can't force them to wait for the next cycle. Prorate, upgrade, happy customer!
 
handsonhosting said:
For us, if a customer requests an upgrade, we prorate and upgrade. There are a number of reasons that a user would want an upgrade, so forcing them to wait for the next billing cycle can hurt their business. What if they need more disk space, more bandwidth or a more powerful VPS or Dedicated server? You can't force them to wait for the next cycle. Prorate, upgrade, happy customer!
Click to expand...

Agreed. And happy host, too. :agree:
 
handsonhosting said:
Prorate, upgrade, happy customer!
Click to expand...

I think that is how many of us do it, I know I would not want to be the client waiting until the next cycle for it to kick in. I have some clients that will pop on digg.com and anytime that happens they are calling and letting me know that they need changes made. Things like that could shut down a site and then waiting for another month, 3 months ....that would really upset me on the client side of things.
 
Most companies allow clients to upgrade mid-billing period and simply pro-rate the invoice. I see nothing wrong with doing it.
 
Right, it is very common for any host to upgrade the account for any customer, as and when the customer asks for the same, and change the invoicing as accordingly.
 
Downgrades are the same as a cancellation for us. These are performed at the beginning of the next month. So if someone contacted us on the 10th to downgrade, then they'd ride out the rest of the month, downgrade for the 1st, and the balance is prorated back to the account in the form of a credit for future use.
 
I upgraded with my host about a day or two after I started with them, and had no problems at all, just a few emails back and forth to confirm it was what I wanted. Happy host (presumed) and customer here.
 
Depending on the upgrade, we usually prorate it (our system automatically calculates the pro-rated charge and bills the client). In some cases we just upgrade it for free for the remainder of the month if its reasonable.
 
We are using Automatic Billing system of Hsphere, that automatically adjust billing of any account, wether it downgrade or upgrade, any time of billing period of his account.
 
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