Maximizing Product-Led Growth with Usage-Based Pricing: Why It's the Best Approach for Your Business

Usage-based pricing (UBP) is a game-changer for businesses focused on product-led growth, ensuring customers pay fairly based on their actual usage. UBP encourages more frequent and longer product usage, leading to increased engagement and customer satisfaction. Adopting pricing software like Togai streamlines billing and usage tracking, making the pricing model more transparent and aligned with customer value. Success stories from PLG companies like Canva and Dropbox illustrate the benefits of UBP, including higher customer engagement, satisfaction, and retention. Usage-based pricing not only supports a customer-centric approach but also aids in upselling and cross-selling by naturally aligning with customers' growing needs.