The volume price model is perfect if you want to define several price tiers. This price model allows you to apply a programmatic discount depending on the number of units consumed, a flat fee or a combination of both.
A volume price model is calculated as a stair-case applying only thé applicaple tier to the final pricing. Volume is also referred to as a tier price model and graduated is an alternative to volume.
Let’s examine the following tier model (in USD):
| From | Up to | Unit amount | Fee amount |
|---|
| Tier 1 | 0 | 1000 | 400 | 15000 |
| Tier 2 | 1001 | 2000 | 300 | 10000 |
| Tier 3 | 2001 | ~ | 200 | 0 |
Examplifying a quantity of 2500 would apply the following calculation:
tier 1 = is below the quantity of 2500 = 0
tier 2 = is below the quantity of 2500 = 0
tier 3 = match (2500 x 200) + 0 = 500000
totals: 500000 USD
Hint: When creating a price, a request body may be as follows:
...
"priceModel": "volume",
"pricing": {
"usd": {
"tiers": [
{
"unitAmount": 400,
"feeAmount": 15000,
"upTo": 1000
},
{
"unitAmount": 300,
"feeAmount": 10000,
"upTo": 2000
},
{
"unitAmount": 200,
"feeAmount": 0
}
]
}
}
...
The last tier has no upper limit. This means that any usage beyond the defined tiers will be charged at the last tier’s rate.