Monetization Models & Metering
Comprehensive monetization strategies including subscription models, usage-based pricing, value metrics, and advanced pricing mechanisms.
What's in this category
- Monetization model: How you charge for your product or service
- Pricing metric: The unit of charge (per seat, per transaction, etc.)
- Value metric: Metrics that scale with delivered value
- Continuous vs. banded metrics: Graduated vs. flat pricing structures
- Credit-based metrics: Token and credit-based pricing models
- Consumption-based pricing: Pay-as-you-use pricing strategies
- Usage-based pricing (PAYG): Per-unit consumption models
- Capability-based pricing: Flat access to capabilities
- Outcome/performance-based pricing: Success-based pricing structures
- Subscription model: Monthly, annual, and multi-year strategies
- Freemium model: Free tier with premium upgrades
- Tariffs & market mechanisms: Linear, 2-part, 3-part, block pricing; auctions; pay-what-you-want; tie-ins (razor & blades)
How to use this
This category covers the fundamental principles that should guide all pricing decisions. Start here if you're new to SaaS pricing or need to establish a solid foundation before diving into specific tactics. These concepts apply whether you're a startup finding product-market fit or an enterprise optimizing complex pricing structures.
Coming Next
Detailed guides and frameworks for each concept are in development. This section will include:
- • Step-by-step implementation guides
- • Real-world case studies and examples
- • Templates and frameworks
- • Common pitfalls and how to avoid them
- • Metrics and KPIs to track success
Related categories
Dr. Sarah Zou
The SaaS Economist
PhD economist specializing in SaaS pricing and monetization strategy. Helping startups and scale-ups optimize their pricing for maximum growth.
Learn more about Sarah →Need help with your SaaS pricing strategy?Book a consultation →