Volume

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Concepts

Volume pricing offers a discount on a customer’s entire consumption once they reach a specific level of usage. It is a powerful incentive for high-volume users: as soon as they hit a new threshold, the lower price applies to every single unit used during that billing period.

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The logic of dimensions

Volume pricing is a 1-Dimensional model. It depends on one factor: Quantity (Dimension 1). Unlike the “staircase” of tiered pricing, volume pricing works like a “Level-Up” system. Think of it as unlocking a new membership tier. Once a customer’s total volume reaches a higher bracket, they unlock a better rate that applies to their total bill, not just the units within that bracket.

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SaaS example: Cloud log storage

A monitoring platform charges based on the volume of logs ingested. In a volume model, the platform applies a single unit rate to the entire month’s volume based on the total gigabytes (GB) stored. The “Level-Up” Calculation: If a customer ingests 1,500 GB, they have “leveled up” into the second bracket. The entire bill is calculated using only that rate. (Compare this to the Tiered (Graduated) model, where the same 1,500 GB would cost **$2,500** because the first 500 GB are still billed at the higher$2.00 rate).

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Get started

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Create a volume product

This tutorial walks you through building a global volume template in your Product Library.

1. Navigate to the Library: Go to Contracts > Products.
2. Create a Standalone Product: Click + CREATE NEW and choose Standalone Product from the dropdown. The Create Standalone Product page will appear. Fill in the required details and click Save & Proceed at the bottom right.
3. Open Price Details: You will be redirected to the Price Details page. Click + Add Price to configure pricing for the product.
4. Select Volume Pricing Model: In the Pricing Model dropdown, select Volume Pricing.
5. Configure Tiers and Save: Click + Add Tier to create pricing brackets. Define the from and to ranges and enter the unit price for each tier. Continue adding tiers as needed. Once complete, click Save, then click Done on the Price Details page to finalize the setup.

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How-to: Add volume pricing to a contract

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1. Via Contracts

1. Open the target contract in Contracts > Contracts.
2. In the Summary tab, click + ADD PRODUCT V3.
3. Search for and select your configured volume pricing product.
4. Review Brackets: Briefly confirm the price brackets match the customer’s specific agreement.
5. Click ADD PRODUCT. You will be redirected to the Summary page. Click Publish.

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Via Customer

1. Open the target customer in Customers.
2. Go to Contracts and click + CREATE CONTRACT.
3. In the Summary tab, click + ADD PRODUCT V3.
4. Search for and select your configured volume pricing product
5. Click ADD PRODUCT. You will be redirected to the Summary page. Click Publish.

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Reference

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Technical specifications

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Volume vs. tiered pricing

Both models use usage brackets, but they calculate costs differently: Example: 1,500 GB with same tier structure

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Hierarchical relationship between entities

In Zenskar, the volume pricing model is governed by a hierarchical relationship between entities:

• Contract: The legal agreement between you and your customer.
• Phase: A specific time-bound period (e.g., Q1, Implementation Phase) within that contract.
• Product: The actual service or software module being sold.
• Pricing model: The specific logic (volume pricing) that defines how that product is billed.