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consumption based pricing model software

Billing & Monetization

Consumption-Based Pricing Model Software: 14 Benefits You Don’t Want to Miss

Consumption-based pricing (also referred to as usage-based pricing) charges based on what you use or consume. This usage-based pricing model charges customers only for the resources consumed. For instance, let’s assume a...

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what is a free trial

Accounts Receivable

What is a Free Trial, and Is Offering Free Trials Right for Your SaaS Business?

In the Software-as-a-Service (SaaS) industry, a free trial is a popular acquisition model that allows potential customers to experience the product before committing to a paid subscription. The idea behind this model...
pros and cons of freemium model

Billing & Monetization

Pros and Cons of the Freemium Model & Strategies for Growth

A combination of ‘free’ and ‘premium’, the freemium business model offers basic features of a product or service to users at no cost and charges a premium for supplemental or advanced features...
manage recurring revenue

Billing & Monetization

Your Guide to Managing Recurring Revenue

In contrast to traditional sales models that consist of one-off purchases, recurring revenue delivers a predictable and stable revenue stream. Occurring at regular intervals, recurring revenue provides companies with revenue on a...
metered billing benefits

Billing & Monetization

How Metered Billing Benefits Your Business

Similar to usage-based and consumption-based billing, metered billing is based on actual usage of a product or service, providing a transparent approach to billing. By establishing a direct link between consumption and...
SaaS Billing Software

Billing & Monetization

What Is the Best SaaS Billing Software?

Your software as a service (SaaS) business is thriving… congratulations! What you’re probably discovering is that the spreadsheets and manual effort used to track software usage and bill customers is no longer...
MRR vs. ARR in SaaS

Billing & Monetization

What Is the Difference Between MRR and ARR in SaaS, and How Do You Calculate Them?

Do you know the definitions of MRR vs. ARR and how to calculate them? These are key metrics for software as a service (SaaS) organizations. Annual recurring revenue (ARR) and monthly recurring...
subscription management

Billing & Monetization

What is Subscription Management?

Sometimes used interchangeably, ‘subscription management’ and ‘recurring billing’ are complementary, with each having a distinct meaning and purpose. Take the analogy of a bat and ball. Each are separate objects with different...
what is revenue management

Billing & Monetization

What is Revenue Management?

Also referred to as yield management, revenue management can be described in extremely simplistic terms (selling the right product, to the right customer, at the right price, through the right channel) or...
usage based pricing examples

Billing & Monetization

Usage-Based Pricing Examples for SaaS Companies

Did you know that 61% of software as a service (SaaS) companies have adopted usage-based pricing (UBP)? Also known as consumption-based pricing, pay-as-you-go, time/unit-based pricing, pay per transaction, metered billing, and resource-based...
what is enterprise billing

Billing & Monetization

What is Enterprise Billing: An Overview

Enterprise billing refers to an advanced and sophisticated system designed to meet the complexities of large-scale businesses across all billing processes like invoicing, payment processing, dunning, collections, revenue recognition, taxation, credits and...
recurring billing software

Billing & Monetization

Recurring Billing Software: The Backbone of Subscription Businesses

As the term implies, recurring billing (also known as automatic bill payment) takes place when a business automatically charge customers a fixed amount for products or services on a predetermined basis such...
what is subscription billing

Billing & Monetization

Subscription Billing Software: An Overview

While not a new term, subscription billing is a charging method that enables merchants to bill customers automatically on a fixed schedule for a specific product or service. This payment method has...