Package

The Package-Based model applies a fixed price to a defined range of usage. Instead of charging per unit, the entire range of units falls under a single fixed price.

Example:

A SMS service provider applies the following package-based pricing:

• 1 – 1,000 messages → $50

• 1,001 – 5,000 messages → $200

• 5,001 – 10,000 messages → $350

If a customer sends 4,500 messages, they fall within the 1,001 – 5,000 messages package, meaning they are charged $200, regardless of the exact count.

Even if the customer only sent 1,500 messages, they would still pay the full $200 for the 1,001 – 5,000 package.

💡 It is Best for Businesses that want to charge customers based on predefined consumption ranges rather than individual units.