Failed Payment Dunning

Automated dunning turns failed subscription payments into recovered revenue without your team lifting a finger.

220 hrs
Time saved/month
10
Companies have mapped
Map This Automation

About This Automation

Failed payment dunning is the process of contacting customers whose subscription payments have failed and requesting they update their payment method.

Automated dunning detects failed payments instantly, evaluates each customer's risk level and history, generates personalized reminder emails, and tracks recovery attempts without manual intervention.

Key features
Detect failed payments automatically from your payment processor within minutes of failure
Evaluate customer risk and dunning strategy based on failure reason, customer value, and contact history
Generate personalized reminder emails with correct payment amounts and subscription details
Schedule and send reminders on a cadence, with escalation after multiple failed attempts
Track payment recovery and flag accounts for manual outreach only when necessary
Integrate with your CRM to maintain accurate customer communication history

How The Automation Works

The full workflow, from trigger to completion.

1. Payment Failure Detectedtrigger

Webhook fires when a payment fails or a retry attempt is unsuccessful. The event includes customer ID, amount, and failure reason.

2. Fetch Customer Details

The automation queries to retrieve the customer's name, email, subscription plan, and contact history. It also checks the number of prior dunning attempts.

3. Determine Escalation Level

The automation evaluates the failure reason, customer lifetime value, and prior contact attempts to decide whether to send an immediate reminder, wait for a retry, or escalate to the customer success team.

4. Send Dunning Email

Sends a templated, personalized reminder email with the customer's name, failed amount, and a link to update their payment method. The email is logged.

5. Schedule Follow-Up Retry

Is instructed to automatically retry the payment after 3 days. If the retry succeeds, the process ends. If it fails again, a second reminder is queued.

6. Log Dunning Event

The automation records the reminder send date, customer response status, and next action for audit and reporting purposes.

7. Notify Team of Escalation

If a customer fails two reminders, notifies the customer success team with the customer name, account value, and recommended action (retry, suspend, or manual outreach).

4 reasons to map this process

1

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2

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3

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4

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Frequently asked questions

Everything you need to know before mapping this process.

This template is a starting point based on how other businesses handle this type of work. When you map your process, you describe exactly how your team does it and the automation is built around your workflow, not a generic template.

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Estimated Time Saving
220hrs/month
Process pain:7.8/10
Mapped by:10 Companies

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