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Configure the revenue model

Configure your rate plan to use one or more of the revenue models, or rate plan types, shown in the following figure. 

The following table introduces each revenue model, describes the configuration options, and provides a link to more information.

Revenue Model Description More Information

Revenue share

API provider shares with the developer a percentage of the revenue generated from each transaction. For example, the consumer purchases a physical or digital product using the API and a portion of the proceeds are shared with the app developer. 

The following sharing models are supported:

  • Fixed sharing model: Share with the developer a fixed percentage of the revenue generated from each transaction (based on the gross or net price of a transaction).
  • Flexible sharing model: Share with the developer a variable percentage of the revenue.

The revenue share depends on the revenue generated over a period of time. The percentage used in the revenue share calculation can vary based on the amount of revenue generated by transactions.

You also configure:

  • Whether the rate plan applies to all the products in an API package or to a specific product.
  • Renewal period (in months or years).
  • When payment is due.

Specify revenue share plan details

Usage based (rate card)

Developer is charged for each transaction.

The following charging models are supported:

  • Flat rate: Developer is charged a fixed rate for each transaction.
  • Volume banded: Developer is charged a variable rate depending on the volume of transactions.
  • Bundles: Developer is charged a set amount (up front) for each bundle of transactions. The developer is charged the set amount whether or not the bundle is entirely used.

You also configure:

  • Whether the rate plan applies to all the products in an API package or to a specific product.
  • Renewal period (in months or years).
  • When payment is due.

Specify rate card plan details

Usage based with custom attribute

App developer is charged based on a custom attribute within each transaction. For example, if you set up a plan where you charge the developer for each transaction, you can set the rate for the plan based on a custom attribute, such as the number of bytes transmitted on the back-end which can vary per transaction.

Note:This rate plan type is available only if you specify custom attributes for the API product.

Specify rate plan with custom attribute details

Revenue share and usage based

API provider shares a percentage of the revenue generated from each transaction with the app developer, and the app developer is charged for each transaction.

Specify revenue share plan details

Specify rate card plan details

Fees

App developer is charged fees to use the API package and its resources.

Create a fee-only plan or add fees to a rate plan.

Fees can include:

  • Setup fee: One-time fee that is charged to each developer on the start date of the plan.
  • Early termination fee: One-time fee that is charged if the developer ends the plan before the renewal term.
  • Recurring fee: Fee that is charged to the developer on an ongoing basis until the developer ends the plan.

For recurring fees, you also configure:

  • Duration between recurring fee charges (such as 30 days).
  • Whether a fee is prorated if a developer starts or ends a plan part way through a month.
  • Whether the recurring fee is charged in advance.
  • When fees are due.

Specify fees only plan details

Add fees to a rate plan

Freemium

Developer has use of an API product without charge over a period of time or based on the amount of usage.

Add a freemium plan

Adjustable notification

Notification only plan. API provider can adjust the target number of transactions for each app developer that will trigger the notification.

Note: An adjustable notification rate plan can be adjusted after the rate plan is published. For all other rate plan types, the rate plan details are final once the plan is published and are the same for all app developers that accept the plan.

You can configure if and when notifications are sent based on what percentage of the target number has been reached, such as 90%, 100%, or 150%. Additional transactions are not blocked after the target number is reached. You also configure the renewal period (in months or years).

Specify adjustable notification plan details

Adjustable notification with custom attribute

Notification only plan. Functionally equivalent to an Adjustable Notification plan, but the transaction counter is based on a variable or custom value.

For example, you may need to:

  • Charge developers a variable amount based on a value provided in the message of an API call. For example, you may want to charge app developers based on the number of bytes transmitted in the API request.
  • Bundle multiple API calls into a single transaction.

Specify adjustable notification plan details

Get help

For help, see Apigee Customer Support.

Next steps

Specify rate card details for your revenue model:

Optionally, add fees or a freemium plan:

Help or comments?