Which Stripe subscription models could apply for a service that bills customers based on the number of movies streamed each month?

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The most suitable Stripe subscription models for a service that bills customers based on the number of movies streamed each month include both Tiered and Metered Billing.

Metered Billing is particularly relevant as it allows businesses to charge based on actual usage. In the context of streaming services, this means that customers could be charged for each movie they stream, making it a clear reflection of their consumption. This model is flexible and scalable, aligning perfectly with the operational requirement to bill customers directly based on the number of movies viewed.

Tiered Billing, on the other hand, allows for a pricing structure where customers pay a certain amount up to a specified usage threshold, and then a different rate if their usage exceeds that threshold. This model is advantageous for services that have predictable usage patterns and encourages users to stream more while offering pricing incentives. For example, a service might charge a lower rate for up to 5 movies and a higher rate for any additional movies streamed beyond that limit.

Both models can apply effectively depending on how the service chooses to structure its billing system. Using Metered Billing caters to a pay-per-use approach, whereas Tiered Billing introduces a more structured pricing strategy that can encourage more consumption. This dual applicability provides the business with the flexibility to adopt the model

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