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Designing Usage-Based Pricing Models for SaaS Products

7 chapters · 30 lessons

1. 1. When Consumption Economics Replace Seat Licenses

   4 lessons

   Diagnose the structural conditions that make usage-based pricing viable or necessary for your product.

2. 2. Choosing and Validating Your Consumption Unit

   4 lessons

   Select the metric that best captures customer value without creating misaligned incentives.

3. 3. Architecting Metering and Instrumentation Systems

   5 lessons

   Build the technical infrastructure to reliably capture, aggregate, and audit consumption data.

4. 4. Structuring Hybrid Pricing with Commits and Overages

   5 lessons

   Design tiered models that provide revenue predictability while charging heavy users proportionally.

5. 5. Buyer-Side Governance and Spend Management

   4 lessons

   Equip customers with tools and processes to forecast, monitor, and control consumption costs.

6. 6. Go-to-Market Adaptation for Usage-Based Models

   4 lessons

   Retrain sales, customer success, and finance teams to sell and support consumption pricing.

7. 7. Pricing for Agentic and Machine-Driven Workloads

   4 lessons

   Adapt consumption models for autonomous agents and high-velocity API usage patterns.