Zuora allows you to group your customers into billing batches (from Batch1 to Batch50 or by name). Billing batches are specified on the customer account under the Billing and Payment Info section. All customer accounts are defaulted to Batch1 when created unless you indicate a different billing batch upon creation. Billing batches can be updated at any time to a different batch number, but only one billing batch can be assigned to a customer account at a time. This article discusses how billing batches can be used to both organize your customer accounts and optimize your billing and payment operations.
Creating custom batches for your billing and payment processing can be extremely helpful, convenient and often times necessary.
See Customize Batch Names for more information about naming and organizing your batches.
Accounts which are not billing or have no revenue can be grouped into a batch that is never processed in a billing or payment run. These accounts may include:
You may want to group all related customers into their own batch (for example, companies with subsidiaries or partner accounts), so you may perform a bill run or payment run for the whole organization.
You can batch customers by their payment method (credit card customers vs direct debit customers vs ACH customers).
Billing batches allow you to invoice and process payments for a group of customers together. For example, you may want to schedule a bill run for your B2B customers every first of the month, while performing daily bill runs to invoice your B2C customers.
Batching by payment method allows you to be flexible around the invoice target dates for direct debit customers, as an example. Some customers paying by direct debit need to be invoiced early because the invoice serves as advanced notification that payment will be collected on specified date (Invoice Due Date). Such advanced notification may be required as part of mandate regulations. Batching by payment method is also helpful if you want to track payments for credit card customers vs ACH customers in separate payment runs since ACH payments have a longer settlement period. Processing payments for ACH customers separately makes it easier to reconcile ACH payments.
When executing a bill run or payment run, you can choose the batch of customers you want to execute the bill run or payment run for. If you have a large number of customer accounts, dividing them up in batches allows you to more quickly process individual batches rather than waiting for a very large batch to complete.