How does Subscription Recovery work?

The Subscription Recovery tool is designed to recover missed annual subscription sales during the purchase process. With this tool, you can increase your conversion rate, optimize sales, and ensure buyers don’t miss out on annual subscription products due to insufficient credit card balance. 

Important: This feature is automatically available for sales made in Brazilian Reais (BRL), for annual subscription products set up with 12 monthly installment payments on credit cards*.

*In Brazil there is a local financing model provided by banks, which allows installment payments to be processed directly through credit cards.

When enabled, Subscription Recovery provides an alternative for buyers who cannot complete the purchase of a 12-installment annual subscription due to insufficient credit card limit. Here's how the tool works in practice:

If a buyer attempts to purchase an annual plan in 12 installments but doesn’t have enough credit available for the full amount, the system automatically creates a monthly plan tied to the annual subscription. This new monthly plan divides the total cost of the annual plan into 12 fixed monthly payments, which are billed to the buyer each month.

Here's an example:

• Your annual plan costs R$ 1,200.
• The system creates a monthly plan with 12 payments of R$ 100.

In this model, the buyer only needs enough credit to cover the first payment at the time of purchase. Subsequent payments are billed automatically each month as a monthly subscription.

Important: The recovery plan does not generate interest for either the buyer or the creator, even if interest is configured in the main plan.

❯ Conditions for using Subscription Recovery

Before enabling this tool, it’s important to understand the following conditions:

• The Recovery tool is available exclusively for sales made in Brazil, for annual subscription plans that offer 12 monthly installments on credit cards.
• Currently, this option is only available for products sold in BRL (Brazilian Real), regardless of the creator's location. In other words, creators with accounts registered in any country can enable the tool for sales made in BRL.
• The option to activate this feature is not available if the subscription plan includes a trial period.
• The monthly plan is created automatically under the same terms as the annual plan. If you need to adjust the pricing, you must edit the main plan.
• Buyers cannot switch plans once a subscription has been recovered.
• It is not possible to receive future installment payments in advance. You will receive payments monthly as buyers complete each recurring payment.

How to track recovered sales?

You can monitor all sales generated through Subscription Recovery in your Hotmart sales reports. Follow these steps:

1. Log in to your Hotmart account at https://app.hotmart.com/.
2. In the left-hand menu, click Sales, then select Subscription management.
3. On the new screen, click Subscriptions on the right-hand side.

Recovered subscriptions are labeled with the prefix Rec_ in the plan name. For example, if the main plan is called "Annual Sales Plan," the recovered plan will appear as Rec_Annual Sales Plan.

In the subscriptions screen, you can track the number of charges made, the total purchase amount, and the monthly payment value. You can also check the status of each charge (ongoing or overdue). If you choose to export the report, you’ll gain access to additional details, such as the next payment date, the buyer’s contact number (if provided), and a breakdown of paid and overdue installments.

Frequently Asked Questions

❯ What happens if a payment is late?

If a payment is missed, the buyer’s access to the product is suspended until the overdue amount is paid. Note that buyers won’t regain retroactive access to the content.

Note: To manage overdue payments, you can use another Hotmart tool, the Overdue Subscription Recovery. For more information, log in to your Hotmart account, go to Tools > Show all, and search for Overdue Subscription Recovery".

❯ How do refunds work for recovered subscriptions?

By default, subscription refunds can only be requested within the guarantee period of the first payment. If approved, all future charges will be automatically canceled.

❯ How will I receive payments for subscriptions with Subscription Recovery enabled?

Since the annual plan is converted into a monthly plan, payments are received month by month as they are billed. This works the same way as with standard monthly subscription plans.

❯ Does Subscription Recovery work with product bundles?

Yes! As long as the bundle is set up as a subscription and meets the conditions outlined above.

❯ Can I disable Subscription Recovery?

Yes, you can disable this feature at any time. Here’s how:

1. Log in to Hotmart at https://app.hotmart.com/.
2. Click Products > My products, and select the desired product.
3. In the product panel, click Pricing, in the left-hand menu.
4. Find the desired plan and click the three-dot menu under the Actions column.
5. Select Edit, and in the new screen, disable the Subscription Recovery option.

If the option to desable does not appear, check if the plan is annual and can be paid in 12 installments.