We've explored usage based pricing for our app which has a core unit-of-work that delivers value to the user. We've talked with various customers about adopting usage based pricing in place of our standard cost per user pricing model. We thought it would be great to align user costs with value delivered.
Turns out no one wanted the usage based pricing even if it could save them money based on their predicted usage. Companies preferred the consistency, clarity and control of a user based pricing.
We didn't try out a cost cap like the $20 here, so maybe that was a missing ingredient in our tests.
Turns out no one wanted the usage based pricing even if it could save them money based on their predicted usage. Companies preferred the consistency, clarity and control of a user based pricing.
We didn't try out a cost cap like the $20 here, so maybe that was a missing ingredient in our tests.