Subscription billing is a payment model where customers pay a recurring fee to access a product or service. This model is commonly used by businesses offering software as a service (SaaS), streaming services, and membership platforms. Customers are typically billed monthly or annually, providing a predictable revenue stream for companies. This approach benefits customers by allowing them to spread costs over time, often with lower upfront payments. Additionally, subscription billing can enhance customer loyalty, as users are more likely to continue using a service they are regularly paying for.