Fixed-Price Pricing for Recurring Services

It is the simplest and most common recurring billing model. You simply define the recurring price and the available billing cycles. In our platform, you can define your own billing cycles.

Example: A product costs 50€ /month or 600 €/year.

Pricing Schemes

• Per unit Pricing – the amount to charge is expressed as a price per unit. For example, a product that costs 10€ per user per month

• Volume Pricing - the price to be charged is based on the volume the customer purchased. Price tiers are defined where the price per unit for all units is determined by the quantity. For example, a customer pays 9€/ license for 10 licenses or 7€/license for 15 licenses.

• Tiered Pricing – The pricing changes progressively as the volume increases. Like the volume pricing model, price tiers are defined for each range of volume. For example, a customer will pay 9€/license for the first 10 licenses and 7€/license for the rest 5 licenses.

* The price for each tier, for both volume and tiered pricing, is defined by setting a discount from the product’s default unit price.

Attribute-Based Pricing for Recurring Services

This is an advanced billing model for configurable products.  A configurable product has variable options customers can choose from and the price of the product depends on customers’ choices.

Example: A virtual server where the customer can define the resources he wishes

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The price is calculated either by defining extra charges for the variable options or by using an excel formula.

Defining extra charges for the variable options

The product cost is calculated by adding the extra charges to the product’s unit price. The extra charges can be defined either as an amount or as a percentage of the unit price.

Example: A backup plan costs 10€ / month but if the customer wishes the data to be stored on Azure the cost will increased by 2€ / month.

Pricing scheme: per unit, volume pricing, and tiered pricing. Volume and tiered pricing are available only for the unit price, not for the variable cost.

Use of excel formulas

For products where the price algorithm is complex and cannot be mapped in a linear way, excel formulas can be used for calculating the price per unit.

Example: The price for a virtual machine will be calculated by passing to an excel formula the resources the customer requested.

Pricing scheme: per unit

Custom Pricing for Recurring Services

This billing model allows customized charges for your customers.
Example: Customer A pays 10€ / month for a backup plan, but customer B pays 11€ / month for the same plan.

Setting a Custom Pricing

• Relate your customer with a pricelist

• Define a special price or a discount when you create an order for your customer

• Apply a discount to customer’s subscription
  
  
  

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