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Use Case: Bill Usage using Quantity-Based Pricing

Assumptions and Preconditions

  • The subscription has the status Active.
  • The client knows the next reminder date for the subscription because the subscription must be updated with usage information before this date. The new purchase is created in the cleverbridge platform on the next reminder date. In order to be billed, the usage information must have been applied to the subscription record in the cleverbridge system.

Description

  1. On October 17th, a customer subscribes to a cloud messaging product that is billed at the end of every monthly billing interval based solely upon the number of messages sent during that billing interval. The customer was advised that usage during every billing interval would be priced according to the following tiers:

    Number of Messages Price per Message
    1,000 or fewer ¥5.00
    1,001 – 10,000 ¥1.00
    10,001 – 50,000 ¥0.75
    50,001 – 100,000 ¥0.50
    Over 100,000 ¥0.30

    Although the customer was required to enter payment information to complete the purchase, the customer is not billed at this time.

  2. At the end of the day on November 16th, the program running on the client’s system does the following for each subscription with a renewal date of November 17th:

  3. On November 17th, the cleverbridge platform automatically bills the customer ¥39,211 (78,421 messages sent, priced at ¥0.50 per message) during the billing interval that ended on November 16th.

Options

Although not utilized in this use case, the following option is also available:

  • Reduce the subscription billing amount by applying a discount coupon that was set up in the Commerce Assistant.

Tip

Obtain the customer's consent for changes to subscriptions. For more information, see Best Practices: Obtaining Customer Consent.

Illustration

sub bill usage usage qty based price