Pricing Model

Noun · Startup & VC

Definitions

  1. The overall structure of how a company charges customers, such as subscriptions, usage-based billing, per-seat pricing, or transaction fees. A strong pricing model aligns value, buyer behavior, and revenue quality.

    In plain English: The overall way a company charges for its product.

    Example: "The pricing model had to change once customers started sharing usage across departments."

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