8 Best Examples of SaaS Usage-Based Pricing Models

Usage-based pricing is gaining popularity among SaaS companies as it aligns product prices with customer value and usage. This model offers several advantages such as increased flexibility, lower barriers to entry for customers, and improved customer loyalty. Examples of industry leaders adopting this strategy include AWS, Snowflake, and Twilio. Usage-based pricing is expected to continue growing, with 61% of SaaS companies planning to launch consumption-based models in the near future. This trend can be seen across different layers of the tech stack, from infrastructure services like AWS and Azure to API-based products and application software. Companies that have successfully implemented usage-based pricing include Mailchimp, Clearbit, Stripe, Twilio, Snowflake, Azure, and Zapier. These companies have experienced increased customer satisfaction, higher retention rates, and improved net revenue retention (NRR). Usage-based pricing infrastructure like Togai can help SaaS businesses automate their pricing operations, allowing them to scale faster and engage more deeply with customers.