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Overage Pricing

← Price Models

Overage pricing is a typical model for transactional (usage-based) items (see Usage Data Billing). Usually, it combines a flat recurring amount with a variable amount.

The flat amount includes a certain quantity of units, and any quantity that exceeds the included is billed on top on a per-unit base.

To model this scenario, you create price tiers with the Split Quantity option set for the first quantity/price bracket:

Tier Quantity Price Price Type Split Quantity
A 100 49,95 Flat
B 0,50 Default

This would charge always the base price, irrespective of the actual usage. The base price includes up to 100 units, and any additionally consumed units are charged separately.