ABOUT

Knowt, a leading education technology platform, was founded in 2019 and serves over 3,000,000 users with AI-powered study tools and learning resources.

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Their subscription service helps students transform their notes into effective study materials through advanced AI technology.

CHALLENGE

Despite their large user base, Knowt struggled with failed payment recovery using Stripe Billing's native system.

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Their recovery rate of 20.88% meant they were losing potential revenue from subscribers who wanted to maintain their service but experienced payment issues.
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As a tech-forward company serving a global student population, Knowt needed a solution that could handle their scale while improving recovery rates.
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Stripe Billing's basic retry logic wasn't delivering the results they needed for sustainable growth.

STRATEGY

Knowt partnered with Redux to enhance their payment recovery process. Redux's machine learning platform brings three key innovations to payment recovery:

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1) Payment Analysis

By analyzing over 128 data points per transaction, Redux helped Knowt identify the most promising times to recover failed payments.

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2) Dynamic Recovery Strategy

Instead of Stripe's rigid retry schedule, Knowt benefited from customized retry patterns based on their users' geography, pay periods, and card issuer behaviors.

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3) Smart Error Handling

Redux's intelligent error code interpretation meant Knowt could now recover payments that Stripe's system would have previously abandoned.

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RESULTS

Knowt sees 132% more recovered revenue with Redux

• Starting recovery rate: 20.88%
• After 90 days with Redux: 48.92%
• Total improvement: 132% increase in failed payments recovered

The enhanced payment recovery success directly boosted revenue by keeping subscribers active who would have otherwise dropped off due to payment failures.