"Lots of business leaders struggle to recognize their company's value exchange. They don't quite understand what it is they're selling that represents value to their customer. They get stuck thinking about appending a margin to their known costs, which is an approach that is out of touch with the customer's perception of the product or service.
Value can mean different things to different companies and their viability. It might not reflect margin on costs but rather the outcome of the product delivered. With usage-based pricing, the value derived by the customer can be priced discretely. This could be the number of times a service is used by a customer, a volume metric, or a specific outcome or event. The options are limitless, but companies must understand this value metric and have the technical capability to calculate and charge for it to implement an effective usage-based go-to-market." - Author, Adam Howatson
The Usage Economy Explained
Different Usage Models
Disruption and Trends
Monetizing Artificial Intelligence
Challenges to Implementation
Granularity and Flexibility
Finding the Key Metric
Customer Satisfaction and Expansion
The Definitive Guide
To Launching Innovative Usage Based Pricing.
Meet The Author
Adam Howatson
Adam has spent his career in the Enterprise software space, with over half a decade of experience at LogiSense Corporation, delivering industry leading usage-based billing and monetization software to some of the world’s largest organizations in the Communications, XaaS and IOT markets. Additionally, bringing to market Data Transformation and Artificial Intelligence training solutions, which leverage customer usage-events and product monetization telemetry to help improve and deliver on the promise of AI development and automation.
Before joining LogiSense, Adam led the go to market and partner functions of Canada’s largest software company, OpenText, as Chief Marketing Officer and SVP. During his decades long tenure, Adam was pivotal in OpenText's growth and scale from approximately 150 million USD in revenue to near 2.8 billion USD with employee base growth from approximately 500 to 12,000 people world-wide. Also having lead the Product and Engineering organizations, Adam was at the helm of a multi-market portfolio in excess of 1 billion USD in revenue composed of enterprise-grade content management, customer experience and business process management solutions for Global 10,000 customers.