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Many subscription businesses use accounting software like Xero as their primary financial reporting system. They may even integrate data from multiple selling platforms, such as Stripe, Shopify Partners, or Google Play.
While accounting software is important, it does not provide the same information as a dedicated revenue analytics platform. It’s particularly important for subscription businesses to have subscription-centered revenue analytics software that can integrate with their accounting platform.
We have great news for Xero customers: Baremetrics can integrate with Xero (and plenty of other integrations!) to help you make better-informed revenue decisions.
What Xero Does Well
Xero is a well-rounded accounting platform with automation for features like back reconciliation, invoice reminders, and financial trend analysis. You can track your profit and expenses as well as integrate with multiple data sources. They even have compliance workflows.
Their accounting software is top-notch, and their financial reporting data is solid. You can see profit and loss statements, cash flow statements, and clear data about where money is coming from (and where it’s going).
Why Subscription Businesses Need Dedicated Analytics Tools
Baremetrics is a dedicated analytics platform for subscription and revenue data.
We don’t only show you set metrics, like total revenue (though we do show you that, too).
Instead, our data goes beyond basic financial reporting and provides subscription-specific metrics like customer churn, recurring revenue, and conversion rates.
If you want to understand how retention rates, subscription pauses, upgrades, downgrades, and churn are impacting your bottom line, you need subscription analytics software. With the right data guiding your decisions, you may be able to retain higher-value customers for longer or close more deals from demos or trials.
Why Integrate Xero with Baremetrics Subscription Analytics Software
Integrating Xero’s accounting data into Baremetrics’ revenue analytics platform is a winning choice for SaaS brands and subscription startups. Let’s look at the four key benefits you get by integrating Xero with Baremetrics.
1. Compare Data Across All Selling Platforms
Get all of your financial and revenue data compiled into a single dashboard with Baremetrics. You can integrate Xero with Baremetrics, alongside other tools, including payment processors like Stripe, subscription management platforms like Recurly, and mobile app stores like Google Play or Apple.
The reality is that each platform will have unique performance metrics to track. It’s important to see all the data together to get a holistic look at what’s happening overall, but you also want the option to break down data by platform for an easy and direct comparison.
Stripe customers who purchase through your website, for example, often retain longer and purchase more than those who subscribe through mobile app stores.
Baremetrics gives you the best of both worlds: You can see all the data in one place and compare individual platform performance for improved revenue optimization.
2. Benefit from Data Consistency
If you’ve ever tried to track revenue data across multiple platforms, you’ve likely noticed some inconsistencies. This is particularly true for subscription revenue data, like recurring revenue.
There’s a reason for this: Different platforms may track or calculate certain metrics uniquely.
Unfortunately, for example, many platforms inadvertently inflate MRR metrics by counting paused or even delinquent subscriptions towards monthly recurring revenue… even though that revenue won’t come through.
Baremetrics has always prioritized accurate, consistent data reporting, because we know you can’t afford to base financial-impacting decisions on anything less.
2. Review Subscription-Specific Metrics
Baremetrics has 26 subscription-specific metrics, including revenue and performance data. These metrics include:
- Customer and revenue retention rates
- Subscription upgrades and downgrades
- Recurring revenue, including MRR
- Trial to customer conversions
These metrics show you what’s actually happening with your customers.
How are low trial-to-conversion rates hurting your business?
And are certain segments of your audience consistently downgrading, pausing their subscription, or churning?
You may discover that your customer retention rates are steady, but your recurring revenue si down. This can happen when customers are downgrading or temporarily pausing subscriptions without actually churning. Re-engagement campaigns or strategic upsells may help prevent this.
These revenue subscription metrics are crucial to understanding which factors impact subscription activity, and how that activity will directly impact your revenue.
4. Leverage Actionable Insights
While we offer 26 distinct subscription metrics to help businesses clearly understand what’s impacting their revenue (and what that revenue actually is), we also offer action-focused insights. These insights can provide direction for how to make revenue-improving decisions and optimizations for your business.
Insights include:
- People insights, including segmentation features to identify high-value audience segments
- Recover leverages automation so you can identify and even prevent lost revenue due to missed payments before they happen
- Cancellation insights can help you determine why customers are churning so that you can make proactive changes
- Trial insights to provide suggestions on how to improve the trial-to-customer conversion rate
Use these insights to learn what’s really impacting your revenue performance… and how to improve it.
How to Integrate Xero with Baremetrics
Setting up the Baremetrics Xero integration (or any other preexisting integration we offer!) is fast and easy. It’ll just cost you a few quick clicks.
When creating your Baremetrics account, the first thing we do isl ask you to connect your data sources. Click on the platform of your choice, and you can connect to your third-party account.
Once integrated, data synching begins right away, so you can head to your dashboard and start gaining insights immediately.
Once you integrate with Xero, make sure you integrate with any other platforms you use to get the most out of your Baremetrics reporting.
Final Thoughts
If you want accurate subscription revenue data, Baremetrics is here and ready to help. Leverage our 26 subscription performance and financial analytics— and our actionable insights!— so that every decision you make is data-driven, strategic, and well-informed. We prioritize data accuracy to give you data that you can trust your revenue with.
Tired of wasting time on spreadsheets? Get a free trial of Baremetrics today!
