#jot-singh_best-practices
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hi there!
hello đź‘‹
do you want the user to pay at the end of the month based on the actual usage of the machines in the last 30 days?
Yes, that's correct
and what do you mean by "Daily pricing is not viable now"? because having 1 machine for 1 day could count as "1 quantity".
By 'daily pricing is not viable now', I mean the company prefers a fixed monthly rate per machine. They don’t want to switch to per‑day billing, since months vary in length and that would break the monthly subscription model
got it. I can think of two main ways to do this:
- use usage based billing with daily price, where 1 quantity = 1 day for 1 machine. this way the user pays a the end of the month, based on their precise usage
- use normal pricing, where 1 quantity = 1 month for 1 machine. and update the subscription quantity every time the user add/removes a machine. then you could charge the user for the proration every time they make a change, or wait for the end of the month to get the prorated price.
Option 2 is interesting, but I have a couple of questions. How does billing work in the case of multiple subscriptions — is that consolidated into a single payment? Also, if the subscription quantity changes, does the user need to re‑authorize the payment?
I discussed this with a colleague and they suggested another approach: keeping two subscriptions active per user — one with the month as the unit and another with the day as the unit. For partial usage, we would report usage on the day‑based subscription; otherwise, it would remain at 0. Could this setup work? Of course, the same questions about billing and authorization would apply here as well
đź‘‹ Hey, taking over here, just taking a look
Multiple subscriptions will mean there's separate invoices for each subscription, and hence separate payments. I think your alternative approach described here would work. It's maybe a bit more complicated, but don't see any issues wit hit