DYNAMIC SAAS PRICING: IMPLEMENTING USAGE-BASED MODELS FOR ENHANCED CUSTOMER VALUE

Authors

  • Neeraj Kripalani Confluent Inc, USA Author

Keywords:

Dynamic Pricing Systems, Saas Monetization, Consumption-Based Pricin, Usage-Based Models, Customer Value Optimization

Abstract

This article explores the transformative evolution of Software-as-a-Service (SaaS) pricing models, focusing on the shift from traditional subscription-based approaches to dynamic, consumption-based pricing strategies. The article examines how this transition has fundamentally changed the way software services are valued and delivered to customers, improving both provider sustainability and customer satisfaction. Through comprehensive article analysis of implementation strategies, challenges, and best practices, the article demonstrates how modern technological capabilities enable real-time usage tracking and dynamic price adjustments. The article investigates the multifaceted benefits of dynamic pricing across customer and business dimensions, including enhanced resource utilization, improved customer retention, and increased market competitiveness. Additionally, it addresses the technical complexities, revenue predictability challenges, and customer education requirements associated with implementing dynamic pricing systems. The article concludes by exploring future trends, particularly the role of artificial intelligence, hybrid pricing models, and predictive analytics in shaping the future of SaaS pricing strategies, while emphasizing the importance of industry-specific adaptations and cross-platform integration capabilities.

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Published

2024-11-29

How to Cite

Neeraj Kripalani. (2024). DYNAMIC SAAS PRICING: IMPLEMENTING USAGE-BASED MODELS FOR ENHANCED CUSTOMER VALUE. INTERNATIONAL JOURNAL OF RESEARCH IN COMPUTER APPLICATIONS AND INFORMATION TECHNOLOGY (IJRCAIT), 7(2), 1650-1662. https://ijrcait.com/index.php/home/article/view/IJRCAIT_07_02_128