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Tiered Pricing

← Price Models

With tiered pricing, the per-unit price also depends on the quantity, which is defined in price tiers.

However, as opposed to the volume model, tiered pricing accumulates the quantities from the successive tiers when calculating the charge. To this end, you set the option Split Quantity for each quantity/price range.

Tier Quantity Price Price Type Split Quantity
A 10 2,50 Default
B 20 2,40 Default
C 30 2,30 Default
D 2,20 Default

In this case, if a customer purchases 25 units of this item, the quantity also falls into tier C, but calculation would include the pricing of tier A + tier B + the remaining units in tier C, like

10 * 2,50 + 10 * 2,40 + 5 * 2,30 = 60,50

Tiered pricing can be used with one-time, recurring or transactional (usage-based) items (see Billing Types).