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Glossary · Consumption Pricing

Consumption Pricing

Consumption pricing is a model where customers pay only for the resources they actually consume — compute, tokens, or calls — with no fixed seat fee.

It lowers the entry cost for variable or seasonal workloads but can make budgeting unpredictable, since spend rises directly with volume.

For AI agents, consumption pricing is a form of usage-based pricing that buyers often convert to a per-outcome figure for comparison.

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Related terms
Usage-based AI Pricing
Usage-based AI pricing charges according to how much the system is used — tokens processed, API calls, or actions taken …
Per-seat vs Per-outcome
Per-seat vs per-outcome is the contrast between charging a fixed fee per user license and charging for each completed un…
Outcome-based Pricing
Outcome-based pricing charges for a completed result — a resolved ticket, a booked meeting, a reviewed contract — rather…
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