Usage-based pricing increases, but does not replace other models

Usage-based pricing (UBP) is on the rise: 61% of SaaS companies used this model in some form in 2022, venture capital firm found OpenView.

UBP is about charging based on how the service or product is consumed, not how many people use it; this would be the seat approach.

But as so often with pricing, things are more hazy and many companies actually use mixed models. Think of Zapier, for example: it offers subscription tiers that include consumption as one of its key variables.

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This combination is one of the key findings of the State of OpenView Usage-Based Pricing report: "It's not usage-based or subscription-based pricing. Today SaaS companies are moving towards more complex hybrid models,” the authors wrote.

Now in its second edition, the company's report is based on responses collected between July and August 2022 from private SaaS companies. That was a few months ago, so the data might be a bit behind the times, but it still reflects the new spirit the founders are in.