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Usage-Based Pricing Demystified
Pricing Strategy
Usage-Based Pricing Demystified
Usage-based pricing. A buzzy term that has become an umbrella for a whole slew of pricing models.
The model is simple in concept but gets complicated in implementation–How do you align price to value? Does the model make sense for the product? How do you connect the dots across functions? How should you invoice and bill for usage?
It's not for the faint of heart, but when done right, it can lead to pricing innovation that accelerates growth.
This guide takes best practices from Slack, AWS, and Snowflake and provides:
- Benefits and definitions of usage
- Examples of successful models
- How to get started across departments
- What to consider in your tech stack