Understanding Rollover Strategies
Rollover strategies determine how unused visits from one billing period carry over to the next. Different strategies suit different business models and customer needs.
Interactive Demo
Explore how each strategy works by adjusting the settings below. Use the animation controls to step through multiple billing periods and see how unused visits are handled.
Rollover Strategy Visualizer
No rollover - unused visits are lost
Legend:
Strategy Types
1. Reset Strategy
Type: reset
Settings: None required
The simplest strategy - unused visits are completely lost at the end of each period. Each renewal period starts fresh with only the new allocation.
Use Cases:
- Prepaid plans where rollover isn't offered
- Services with expiring access rights
- Time-sensitive offerings
Example:
- Customer gets 10 visits per month
- Uses 7 visits in January
- February starts with 10 visits (3 from January are lost)
2. Full Rollover Strategy
Type: rollover
Settings: None required
All unused visits carry over indefinitely. This is the most customer-friendly option but can lead to large accumulated balances.
Use Cases:
- Premium subscription tiers
- Long-term customer retention
- Services where accumulation is desired
Example:
- Customer gets 10 visits per month
- Uses 7 in January (3 remaining)
- February starts with 13 visits (10 new + 3 carried)
- Uses 8 in February (5 remaining)
- March starts with 15 visits (10 new + 5 carried)
3. Capped Rollover Strategy
Type: capped
Settings:
{
"maxVisits": 5
}
Limits how many unused visits can roll over. This balances customer satisfaction with business sustainability.
Use Cases:
- Standard subscription plans
- Preventing extreme accumulation
- Encouraging consistent usage
Example with maxVisits=5:
- Customer gets 10 visits per month
- Uses 3 in January (7 remaining)
- February starts with 15 visits (10 new + 5 carried, 2 lost due to cap)
4. Time-Expiring Rollover Strategy
Type: timeExpiring
Settings:
{
"maxDuration": 'P2M'
}
Visits expire after a specified number of periods. The maxDuration is in ISO 8601 duration format (or number of periods).
Use Cases:
- Preventing indefinite accumulation
- Encouraging regular usage
- Services with freshness requirements
Example with maxDuration=2:
- January: Get 10 visits, use 3 (7 remain, expire in 2 periods)
- February: Get 10 visits, use 5 (12 remain: 7 from Jan + 5 from Feb)
- March: Get 10 visits, use 4 (13 remain: 5 from Feb + 8 from Mar)
- April: Get 10 visits (January's 7 visits have expired)
5. Percentage-Based Rollover Strategy
Type: percentage
Settings:
{
"percentage": 0.5,
"roundingMode": "down"
}
A percentage of unused visits carries over. Great for partial rollover policies.
Use Cases:
- Tiered benefit plans
- Graduated rollover policies
- Partial loss mitigation
Example with percentage=0.5, roundingMode=down:
- Customer gets 10 visits per month
- Uses 3 in January (7 remaining)
- 50% of 7 = 3.5, rounds down to 3
- February starts with 13 visits (10 new + 3 carried)
Rounding Modes:
up: Rounds fractional visits up (customer-friendly)down: Rounds fractional visits down (conservative)
6. Accumulation Capped Strategy
Type: accumulationCapped
Settings:
{
"maxTotalVisits": 25
}
Visits accumulate but the total balance cannot exceed a maximum. Once the cap is reached, additional rollovers are prevented.
Use Cases:
- Preventing unlimited accumulation
- Fair usage policies
- Storage or resource limitations
Example with maxTotalVisits=25:
- January: Get 10, use 5 (5 remain, total: 5)
- February: Get 10, use 3 (12 remain, total: 12)
- March: Get 10, use 2 (20 remain, total: 20)
- April: Get 10, use 5 (25 remain, total capped at 25, no more accumulation)
7. Degrading Rollover Strategy
Type: degrading
Settings:
{
"degradationRate": 0.2,
"minVisits": 1,
"roundingMode": "down"
}
Unused visits decrease by a percentage each period, with a minimum floor.
Use Cases:
- Encouraging timely usage
- Gradual expiration
- Motivating customer engagement
Example with degradationRate=0.2, minVisits=1, roundingMode=down:
- January: Get 10, use 4 (6 remaining)
- After degradation: 6 × (1 - 0.2) = 4.8, rounds down to 4
- February starts with 14 visits (10 new + 4 degraded)
- Uses 8 (6 remaining)
- After degradation: 6 × 0.8 = 4.8, rounds down to 4
- March starts with 14 visits (10 new + 4 degraded)
Choosing the Right Strategy
Consider these factors when selecting a rollover strategy:
- Customer Satisfaction: Full rollover or time-expiring strategies are most customer-friendly
- Business Sustainability: Capped or percentage strategies prevent extreme accumulation
- Usage Patterns: Analyze customer behavior to determine optimal settings
- Competitive Positioning: Match or exceed competitor offerings
- Resource Constraints: Consider infrastructure limits with accumulation strategies
Implementation
Example Configurations
Basic Rollover
{
"rollOverType": "rollover"
}
Capped at 10 Visits
{
"rollOverType": "capped",
"settings": {
"maxVisits": 10
}
}
60% Rollover, Round Up
{
"rollOverType": "percentage",
"settings": {
"percentage": 0.6,
"roundingMode": "up"
}
}
Time Expiring (3 Months)
{
"rollOverType": "timeExpiring",
"settings": {
"maxDuration": "P3M"
}
}
Best Practices
- Clear Communication: Always explain rollover policies clearly to customers
- Notifications: Alert customers when visits are about to expire
- Analytics: Track rollover patterns to optimize settings
- Testing: Use the visualizer above to test different scenarios before implementation
FAQ
Q: Can I combine multiple rollover strategies? A: No, each subscription uses a single rollover strategy. However, you can apply different strategies to different tiers or products.
Q: How do fractional visits work with percentage rollover?
A: Use the roundingMode setting to control whether fractions round up or down. Round up for customer-friendly policies, down for conservative approaches.
Q: What's the difference between capped and accumulationCapped?
A: capped limits visits per rollover event. accumulationCapped limits the total accumulated balance across all periods.