Usage-based Billing

Unleash the Potential of Usage-based Billing With Chargebee

Transform Your SaaS Business into a Revenue-Generating Powerhouse. Automate your usage-based billing workflow with the flexibility to alter it to fit any scenario.

Scale Globally

Seamlessly expand across different geographies with varied pricing experiments, and offer a multitude of secure payment options.

Maximize Revenue Opportunities

From handling trials to enhancing conversions to offering discounts and crafting upsell strategies, improve your revenue with every change.

Offer a Fair Billing Policy

Charge customers for exactly how much they use and aggregate daily usage data within Chargebee and auto-calculate charges

Accurate Revenue Metrics

Tailor how you quantify usage parameters and calculate critical revenue metrics like MRR/ARR, enabling informed decision-making.

Automated Usage Based Billing

Save Time With a Zero-intervention Workflow

With a minimal setup using our extensive API and webhooks, automate usage charges calculation. Just create a subscription, specify the metered components and billing frequency, and kick back. Chargebee aggregates the usage data and calculates the charges automatically. After this, invoicing is automatic. In case of upgrades, downgrades, or cancellation fees for a premature subscription termination, we have you covered.

Flexible Billing Logic

Bend Your Metered Billing Workflow to Fit Edge Cases

Automation can be constricted without flexibility. If a special customer needs to be charged based on their contract and not their usage, you can instruct Chargebee to override the metered charges for a specific period. You have the ultimate power to intervene and make changes to your metered billing workflow at any point and on any level.

Usage-based Revenue Analytics

Measure Usage-based Impact on Your Recurring Revenue

There's no one ultimate method to calculate MRR. But for a business that charges based on usage, MRR without metered charges can be misleading. Chargebee's flexible MRR calculation lets you define what goes into your MRR like metered charges, recurring and one-time addons, and coupons. What more is that metered charges for each month get reported in the same month, doesn't matter when you send out the invoice.

Usage-based Pricing Experiments

Build Your Pricing to Fit Any Condition

If there are 100 ways to price a product, usage-based pricing is 97 of them. There are so many levers in a usage-based pricing model. You can price based on seats or quantity, add overage charges, and even couple it with a flat fee. With every iteration, you move closer to your pricing sweet spot. Chargebee scales with your pricing needs and lets you grandfather customers on the older plans along the way.

Frequently Asked Questions

Our platform is equipped with features that help you automate billing and play with price points without eating into your developer time:

Flexible Pricing Models: Embrace the freedom to implement a hybrid pricing model from flat fee to per-unit, with customizable discounts, addons, and overages.

Zero-Intervention Workflows: Leverage Chargebee's robust APIs and webhooks to create seamless, error-free billing processes that require no manual intervention.

Customizable Revenue Metrics: Tailor how you quantify usage parameters and calculate critical revenue metrics like MRR/ARR, enabling informed decision-making.

Chargebee allows you to choose either of the following modes of configuration for metered billing:

Manual metered billing: Configuring this mode creates invoices with metered components in a 'Pending' state. You can manually add all applicable charges and close the invoices to initiate payments.

Automated metered billing: Invoices will be created in a 'Pending' state and charges will be computed automatically based on the usage you add to the subscriptions. You can manually close the invoices or have them auto-closed on a specific day.

You can read more here

There are 4 different ways to charge your customers when you opt for a usage-based pricing model. The common theme to all of them is, you get to grow with your customers.

Quantity-based model - Bill your customers for the units they sign up for. Fits best when pricing varies based on the number of units - be it a number of licenses, users or items.

Volume-based pricing - Different slabs are assigned different per-unit prices. 

Tiered pricing - The number of licenses purchased will be priced for the tiers it covers.

Stairstep pricing - The price for consumption depends on the slab it falls under, irrespective of the usage.

Sometimes it’s a combination of metered and flat fee that works best. With a hybrid pricing model, you can charge a one-time setup fee, grant discounts, and combine usage-based and flat fee pricing. The best way to arrive at the pricing sweet spot is by running experiments.