Top up pricing
Top up pricing for flat and stair step pricing
Top-up pricing allows you to set the pricing type to Top-up, enabling unused volume from the current billing cycle to carry forward to the next cycle. This feature is particularly useful for businesses that want to maximise the value of purchased units over time.
Top-ups can be configured for:
- Flat pricing with block sizes
- Stair-step pricing
Configuring Top-up pricing: A scenario
Example Scenario:
Consider a flat pricing model of $2000, which includes 2000 units. Typically, in a standard pricing configuration:
- If usage exceeds 2000 units during a billing cycle (e.g., monthly, quarterly, annually), the customer purchases an additional block of 2000 units for $2000.
- Any unused units reset at the start of the next billing cycle. For instance:
- In July, the customer uses 800 units from the additional block, leaving 1200 units unused.
- In August, those 1200 unused units reset to zero, and the customer must purchase a new block once they exceed the initial 2000 units again.
However, the business requirement may dictate that once a block of 2000 units is purchased, it should remain available until fully utilised, regardless of the billing cycle.
Benefits of Top-Up Pricing
By selecting Top-up pricing, the unused 1200 units from July would roll over into August, allowing the customer to use them before needing to purchase another block. This approach ensures:
- Efficient utilisation of purchased units.
- Enhanced customer satisfaction by eliminating wastage from reset cycles.
In this scenario, the customer only buys additional blocks when all previously purchased units are exhausted, making it a flexible and customer-friendly solution.
Flat pricing
For flat pricing, you can configure a top-up pricing type when using block sizes as shown in the image below
Stair-step pricing
You can configure a top-uppricing for stair-step pricing as shown in the example below
Top-up pricing reminder: The unused top-up balance will reset at the end of the subscription schedule.
Updated 9 months ago