Pricing for Priced Features/Credits
When a feature or credit is set to Priced, you can use tiers to create graduated or volume-based pricing. A tier is a pricing rule that applies to a specific range of billable units (e.g., “$0.10 per unit for the first 1–1,000 units”). Each tier has a pricing model attached to it.Pricing Types & Models Pricing Types (Graduated , Volume, Stairstep)
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Graduated
Customers pay a different rate for units in each tier (marginal pricing). The total cost is calculated progressively: first X units at rate A, next Y units at rate B, and so on. Use when you want tiered pricing where rates can increase or decrease per bracket (e.g., higher initial rates that drop for volume, or introductory low rates that rise later).
Example:
- Tier 1:
$0.10 per unitfor the first 1,000 units - Tier 2:
$0.08 per unitfor units 1,001-5,000 - For 2,500 units:
- First 1,000 units:
1,000 * $0.10 = $100 - Next 1,500 units:
1,500 * $0.08 = $120 - Total (Blended):
$100 + $120 = $220
- First 1,000 units:
- Tier 1:
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Volume
All units are charged at the rate of the highest tier reached (full retroactive discount). Behavior: It does not blend. Instead, the price of the highest tier reached applies to all units consumed. This gives a discount on the entire volume.
Example:
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Tier 1:
$0.10 per unitfor the first 1,000 units -
Tier 2:
$0.08 per unitfor units 1,001-5,000 (Volume Discount enabled) -
For 2,500 units (which reaches Tier 2):
- All 2,500 units are charged at the Tier 2 rate:
2,500 * $0.08 = $200

- All 2,500 units are charged at the Tier 2 rate:
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Tier 1:
- Stairstep This pricing type offers fixed flat-price bundles (steps) with predefined maximum quantities. Customers select one step al. Use when you want clear, packaged tiers for predictability and upsells (e.g., “Basic” up to 100 units for $10 flat; “Pro” up to 500 for $40). Prices for each step must be unique.
| Step | Max Units (Quantity) | Flat Price |
|---|---|---|
| 1 | 100 | $10 |
| 2 | 500 | $40 |
| 3 | 1,000 | $70 |

- Per unit: Simple flat rate. Charge the same price for every single unit consumed.
Use when: You want straightforward pricing with no bulk incentives (e.g., $0.01 per API call). - Per package: Charge a fixed price for a block of units (e.g., $10 for every 1,000 units). Customers pay the package price repeatedly as they consume more.
Use when: You sell in bundles but still want to scale linearly (e.g., bulk SMS credits). - Flat: Charge a single fixed price once a customer reaches a certain usage threshold or tier (common with volume discounts).
Use when: Higher usage unlocks a better bulk rate (e.g., pay $500 flat for up to 100,000 units, then another flat fee for the next tier). - Percentage: Charge a % of a base value (e.g., revenue share or dynamic fee).
Use when: Outcome-based or variable pricing tied to customer metrics.

