According to Forrester, “Firms are shifting from one-time perpetual sales or fixed monthly subscriptions to consumption models that blend one-time, subscription, and usage-based billing” to drive revenue growth. However, traditional CRM and ERP software platforms were not created to handle usage-based offers. Suddenly, manual processes involving support people and ad-hoc functions like Excel® spreadsheets are used to augment required system functionality.
TRACT automates the processes of accepting incoming events; identifying the correct customers, current allowances and price plans; correctly calculating the charges; and applying the charges to the customer accounts. Usage-based billing functionality in TRACT allows companies to price, package and sell in a variety of ways including:
- Minimum: minimum price points based on usage
- Flat Rate: fixed fee regardless of usage
- Standard, Volume and Flat Rate Tiered: various price points for ranges of usage
- Pooling: share usage across multiple services from the same master account
- Threshold: pricing changes based on usage
- Rollover: usage allocated not used in one service period is shifted to the next
- Overage: fees for using more than the allotment
- Pay-as-you-go: usage-based pricing, paying as the customers consumes
- Time-based: pricing set on a fixed time, typical of subscription offers
- Surcharge: additional costs incurred due to supply/demand, peak hours, etc.
- Rated/Mediated: pricing based on business logic and event combinations
- Combinations: any variation of the above
With TRACT, you can scale effortlessly from simple subscriptions to any usage-based model as needed as well as to specific sets of customers as desired. For businesses that rely on distributors, resellers and partners, TRACT manages sophisticated revenue sharing scenarios. Royalties, commissions and sponsorship structures and the modeling of complex links between customer and partner pricing can all be done in the platform.