Business & revenue models · Core

Pay-per-use

Also called: pay as you go, PAYG

ELI5

Customers pay each time they use something.

Used in conversation

“Pay-per-use can lower adoption friction but create volatile revenue.”

Definition

A pricing model charging separately for each use, event or unit consumed.

Here “Pay-per-use” means: A pricing model charging separately for each use, event or unit consumed.

Pitch context

You will see “Pay-per-use” in strategy decks, market analyses, business plans and planning workshops when the discussion reaches business & revenue models.

Why it matters: It helps a reader interpret business & revenue models without confusing the measure, decision, role or evidence being discussed.

Sources & evidence · 5

Supporting source families. This entry is an editorial synthesis rather than a quotation from one canonical glossary.