#jot-singh_best-practices

1 messages · Page 1 of 1 (latest)

loud micaBOT
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hexed rover
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hi there!

unique wasp
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hello đź‘‹

hexed rover
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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?

unique wasp
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Yes, that's correct

hexed rover
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and what do you mean by "Daily pricing is not viable now"? because having 1 machine for 1 day could count as "1 quantity".

unique wasp
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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

hexed rover
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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.
loud micaBOT
unique wasp
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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

flint sand
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đź‘‹ Hey, taking over here, just taking a look

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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