Pricing models: monthly, yearly, usage-based

Overview

Kyvento covers every common pricing strategy, from the classic monthly subscription to usage-based billing. This article explains the four pricing models and shows how usage-based billing works.

Billing intervals

Every subscription product has a billing interval: daily, weekly, monthly, quarterly, semi-annually or annually. Use the interval count to model custom rhythms – such as "every 2 years" (annually × 2). The easiest way to offer multi-year plans with a discount is as a separate product.

The four pricing models

• Flat price – a fixed amount per period, regardless of quantity. The standard for classic plans.
• Per unit – price × quantity. The quantity comes from the booking (e.g. 5 licenses) and can additionally be supplemented by reported usage.
• Tiered – each price tier applies only to the units within that tier (e.g. units 1–10 at 5 € each, units 11–100 at 4 € each).
• Volume-based – the tier reached determines the price for the entire quantity.

For the three quantity-based models, "Bookable multiple times" is enabled automatically so that customers can book quantities greater than 1.

Usage-based billing

For usage-dependent plans (API calls, GB consumed, hours worked …) you combine a quantity-based pricing model with the mandatory "Quantity aggregation" setting: sum, maximum or last value of the usage reported per period.

Usage is reported via the API or manually on the subscription detail page; open usage automatically flows into the subscription's next regular invoice. How to report, correct and bill it in between is covered in full in Usage-based billing.

Which model for which case?

• SaaS plans → Flat price (monthly/yearly as separate products)
• License or seat pricing → Per unit
• Quantity discounts with a marginal rate → Tiered
• Quantity discounts on the total quantity → Volume-based
• Usage-dependent costs → quantity-based model + usage reporting via the API

Next steps

• Report usage data automatically – see Usage-based billing
• Product form basics – see Creating a plan: step by step