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Aria Knowledge Central

Usage Tier Multiplier Overview

Overview

You can enable the advanced billing option Usage Tier Multiplier when adding a usage-based service to a plan to accommodate pricing for customers who purchase multiple units of that plan. Usage Tier Multiplier multiplies the units of each unit/rate tier by the number of plan units purchased to calculate rates for the customer’s usage consumption of that service.

The following unit/rate table outlines the effect of the Usage Tier Multiplier when a customer purchases 2 plan units of a plan containing a usage-based service:

Unit Tiers Unit Price Multiplier Tier
(Upper Units of Each Tier X 2)
Unit Price

1–200

$0.03

1–400

$0.03

201–500

$0.02

401–1000

$0.02

501–Infinity

$0.01

1001–Infinity

$0.01

In the above scenario, the first tier of a rate schedule for a cell phone plan service is $0.03 for 1–200 minutes. A customer who purchases 1 plan unit and consumes 200 minutes of service in a billing period will be charged $0.03 per minute (for a total of $6.00).

With Usage Tier Multiplier enabled, when 2 units of this same plan is purchased, the customer who consumes 400 minutes of this service will still only be charged $0.03 per minute (for a total of $12) because the usage units fall within the first level of the multiplied usage tier.

Reference the Usage Tier Multiplier example for a more detailed use case.

Note: Usage Tier Multiplier can be enabled for all pricing methods (i.e. standard tier, volume discount, and flat rate per tier). Additionally, Usage Tier Multiplier can be applied whether real-time usage rating is enabled or not (i.e. the Automatically Rate Un-rated Usage Records at Load Time system parameter).

Prerequisites

You must have at least one usage-based service configured in your Aria instance.

Enabling Usage Tier Multiplier

Getting Here: Products > Plans > New > (configure required fields on the Details tab) > Services > Select Existing Services > (select a usage-based service)

  1. Add a usage-based service to a plan.
    usage-service-added.png
     
  2. Click the Edit link next to that usage-based service.
     
  3. Select Usage Tier Multiplier from the Advanced Billing Options.
    usage tier multiplierv4.png

Note: You will configure rates for the plan in the next step of plan creation. The rates you specify will be for a single unit of the plan.

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