Subscriptions & Recurring Revenue

Go to Subscriptions → Configuration → Plans.

A plan defines the billing cadence and pricing. Click New:

• Name — e.g., “Monthly”, “Annual”, “Quarterly”
• Billing Period — Monthly, Quarterly, Yearly, etc.
• Auto-Close — automatically close the subscription after a set number of billing cycles (useful for fixed-term contracts)

Create at least a Monthly and Annual plan. Annual plans typically include a discount (e.g., 2 months free) to incentivise upfront payment.

Go to Sales → Products (or Subscriptions → Products). Create or edit a product.

Set Product Type to Service. In the General Information tab:

• Enable Recurring (or it appears as “Subscription” in some versions)
• Set the Recurring Plan (Monthly, Annual, etc.)

The product’s sales price becomes the per-period charge (e.g., $99/month for a monthly plan).

For multi-tier subscriptions (Starter/Pro/Enterprise), create one product per tier with different prices.

Subscriptions are created when a sales order containing a recurring product is confirmed.

Create a new quotation:

1. Add a recurring product as a line item
2. The Subscription Plan is auto-filled from the product
3. Set the Start Date (when billing begins)
4. Confirm the order

A subscription record is automatically created and linked to the sales order. The subscription is now Active and will automatically generate invoices on each billing date.

Open an active subscription. At the subscription’s renewal date:

Automatic renewal: If configured, Odoo auto-renews and generates the next invoice without manual intervention.

Manual renewal: Click Renew to create a renewal quotation (useful for renegotiating terms or adding upsells).

Upgrade/Downgrade: Click Upsell to create a new quotation adding or changing products. Odoo prorates the charges for the remaining billing period automatically.

Cancel: Click Close and select a reason (customer request, non-payment, etc.). The subscription closes at the end of the current period (or immediately, based on your policy).

Go to Subscriptions → Reporting → MRR Analysis.

Key metrics tracked:

• MRR (Monthly Recurring Revenue) — total active subscription value per month
• New MRR — revenue from new subscriptions this period
• Churned MRR — revenue lost from closed subscriptions
• Expansion MRR — additional revenue from upgrades
• Net MRR Growth = New + Expansion − Churned

The Churn Rate report shows the percentage of subscriptions or revenue lost per period — the most critical health metric for any subscription business.

Filter by product, plan type, or salesperson to identify which segments are growing and which are at risk.

Use automated actions to alert your team and customers before renewals.

Go to Settings → Technical → Automation → Automated Actions. Create:

Customer reminder (7 days before renewal):

• Model: Subscription
• Trigger: Days before next_invoice_date = 7
• Action: Send email using “Subscription Renewal Reminder” template

Internal alert for at-risk subscriptions:

• Model: Subscription
• Trigger: MRR has decreased, or health score drops
• Action: Create activity on the subscription for the account manager