What You Need to Know About India’s New Subscription Rules

Google announced updates to its Play Store subscription model in India, effective from September 30, following new regulations by the Reserve Bank of India (RBI). The updates allow users in India to purchase and renew auto-renewing subscriptions, and access free trials and introductory pricing, but with significant conditions. Key changes include a cap on subscription prices below 5,000 INR, and restrictions for customers whose banks are non-compliant with the RBI regulations, resulting in subscriptions not automatically renewing. Customers with subscriptions before May 4 will need to update their billing information to continue renewing automatically. The changes stem from RBI's mandate for additional authentication in recurring transactions, impacting how subscriptions are processed in India. These updates require app developers to adjust their paywall messaging and subscription offerings, potentially affecting user retention and revenue. As Google implements these changes, developers are encouraged to monitor subscriber retention and adapt their strategies accordingly.