Usage-Based Pricing Model

Design a usage-based pricing model for {{product_name}}.

Current pricing: {{current}}
Value metrics options: {{metrics}}
Customer segments: {{segments}}

**Pricing Model Design:**

**1. Value Metric Selection**

*Criteria for Good Value Metric*
- Easy to understand
- Correlates with value received
- Measurable and predictable
- Scales with customer success
- Hard to game

*Evaluation*
| Metric | Understandability | Value Correlation | Scalability | Score |

**2. Pricing Structure**

*Options*
- Pay-as-you-go
- Tiered with overage
- Committed use with discount
- Hybrid (base + usage)

*Recommendation with rationale*

**3. Tier Design**
| Tier | Included Usage | Price | Overage Rate |

**4. Predictability Tools**
- Usage dashboards
- Alerts and notifications
- Usage forecasting
- Budget caps

**5. Implementation Considerations**
- Metering infrastructure
- Billing system requirements
- Customer communication
- Reporting needs

**6. Financial Modeling**
- Revenue impact analysis
- Customer migration modeling
- Edge case handling

**7. Rollout Plan**
- Existing customer handling
- Grandfather provisions
- Timeline
- Communication strategy