Recovery and Dunning
Lemon Squeezy has built-in recovery and dunning features to help you recover lost revenue from abandoned carts and subscription payment failures.
These features are included in your store completely free.
Renewal reminders
Sending subscription renewal reminders can help increase retention and improve customer experience by making it easy for customers to stay abreast of their subscriptions.
Renewal reminders in Lemon Squeezy are sent by email to customers seven days before their renewal date.
Failed payments
Due to the nature of subscription payments, they can sometimes fail during a billing cycle. This can happen for a number of reasons, such as the customer’s card having expired, their payment method having insufficient funds, or a temporary issue with their bank.
When this happens, Lemon Squeezy will automatically retry the payment four times over the course of two weeks.
Each time a payment fails, the customer will be notified by email and asked to update their billing information. During this period, the subscription will appear as past due in the dashboard, will remain active and the customer will continue to have access to the subscription’s content.
When the final payment fails, the subscription will become unpaid and the customer will lose access to the subscription’s content. At this point, our dunning features will kick in.
Dunning
Dunning is the process of recovering lost revenue from unpaid subscriptions. When a subscription becomes unpaid (when the final payment attempt fails), Lemon Squeezy will automatically send multiple dunning emails to the customer over a specified period of time.
These emails include a link to a payment page where the customer can update their billing information and re-activate their subscription. The email content and their schedule can be easily customized—using helpful defaults created by us—via the Recovery settings page in your store.
After a certain period of time (which can of course be configured), you can choose to automatically cancel the subscription. This will prevent the customer from re-activating the subscription in the future. However, you can also choose to leave the subscription as “unpaid” which will allow the customer to re-activate it at any time.