Configuring pricing plans and phases

With Orbitera pricing plans, you define how customers pay for product SKUs and add-ons. You must define at least one pricing plan for each SKU and add-on, but can create as many plan variations as you need.

The pricing plan establishes the billing frequency (monthly, quarterly, or annually), setup fees, free trial period, discount phase, regular phase price, and term length (unlimited or fixed).

For add-ons, the Billing Period field must match the Billing Period of the SKU for the add-on to be available when purchasing the SKU. When viewing a SKU, only add-ons with the same Billing Period are visible as options.

You must update the pricing plans and phases for all currencies enabled for the product. For more information on multiple currencies, see how to enable and configure multiple currencies.

Understanding the plan phases

Pricing plans can have three phases: free trial, discount, and regular. The phases are configurable for each pricing plan you create. The free trial and discount phases are optional, while the regular phase must always be configured for each product's available SKUs and add-ons.

Free trial phase

The free trial phase is optional. It allows your customers to use the product without being charged for a trial period. You specify the duration of the period in days, months, quarters, or years.

Discount phase

The discount phase is optional. It allows your customers to use the product at a discounted price for a specified period. This phase becomes active when the free trial phase is complete. If you have not configured the free trial phase for the product, the discount phase starts immediatly upon purchase.

The discount phase price is billed on the same cadence as the billing period selected for the plan. For example, if you select a monthly billing period, the discount phase price is charged monthly.

The discount phase's duration can be different from the plan's billing period. For example, if you select a monthly billing period, the discount phase's duration can be measured in days, quarters, or years. See the examples of billing with multiple phases for further explanation.

You must specify the discount phase price for each currency that you enable.

Regular phase

The regular phase is required. It starts after the free trial and discount phases are complete. If you have not configured the free trial and discount phases for the product, the regular phase starts immediatly upon purchase.

The regular phase price establishes the price charged each billing period and must be specified for each currency enabled.

Adding a pricing plan

You must define at least one pricing plan for each SKU and add-on, but can create as many plan variations as you need.

  1. Select Add Plan.
  2. Enter the plan information.
    • Name of the pricing plan.
    • Billing Period determines how frequently customers are billed.
    • Purchase approval required is optional. If you select this option, you must approve all customer purchases in Settings > Approval requests.
    • Charge setup fee is optional. The one-time fee is applied to customers at the time of purchase.
      • Setup fee must be entered for each currency enabled when Charge setup fee is enabled.
  3. Select Add Plan Phases to enable, disable, and configure the phases.
    1. Free trial phase is optional and allows customers to choose a trial period with the product.
      • Click Free trial phase.
      • Click Offer free trial to enable or Skip free trial to disable the phase.
      • If enabled, set the Duration of the phase according to the time frame selected from the list: day(s), month(s), quarter(s), or year(s).
      • Click Continue or Update to save your selections and move to the next phase.
    2. Discount phase is optional and allows you to offer a discounted price for the product for a specified period. The discount phase becomes active when the free trial phase is complete, if applicable. See example of billing with multiple phases for more details.
      • Click Discount phase.
      • Click Offer discount to enable or Skip discount to disable the phase.
      • If enabled, update the following.
        • Set the Duration of the phase according to the time frame selected from the list: day(s), month(s), quarter(s), or year(s).
        • Set the Price charged during the phase for each currency enabled.
      • Click Continue or Update to save your selections and move to the next phase.
    3. Regular phase is required. It starts after the free trial and discount phases are complete and establishes the regular price charged each billing period for each currency enabled.
      • Click Regular phase.
      • The term can be unlimited or fixed.
        • Unlimited term recurs each billing period.
        • Fixed term ends as specified in Duration, which can be set according to the time frame selected from the list: day(s), month(s), quarter(s), or year(s).
      • Set the Price charged during the phase for each currency enabled.
      • Click Save or Update to save your selections and close the window.
    4. Select Done each time a plan is added or updated.

When you're done, click Save. Click Preview to see how the product appears in your marketplace without publishing.

When you're ready to publish the updates, click Publish. Review these guidelines before publishing.

Removing a pricing plan

To remove a pricing plan from a SKU or add-on, select the plan and click the trash can icon.

When you're done, click Save. Click Preview to see how the product appears in your marketplace without publishing.

When you're ready to publish the updates, click Publish. Review these guidelines before publishing.

Examples of billing with multiple phases

Here are a few examples of how different pricing plans and phases impact billing for your customers.

The discount phase is charged for its complete duration. When the discount phase is enabled, its duration impacts the regular phase billing.

Plan phases are the same as the billing period

If the discount and regular phases use the same duration period as the billing period, such as months, then billing transitions seamlessly between the two phases.

For example, if the price plan's billing period is set to monthly and the discount phase is also set to a duration using months, then the customer receives a bill for the last month of the discount phase at the discounted price and the subsequent month's bill at the regular price. The following is an example of this, where the customer has created a pricing plan with the following values.

  • Billing period = monthly
  • Setup fee = $1,000.00
  • Free trial phase > Duration = 1 month
  • Discount phase > Duration = 3 months
  • Discount phase > Discount phase price = $50 (this is the price based on the monthly billing period selected)
  • Regular phase > Regular phase price = $60 (this is the price based on the monthly billing period selected)

The following table explains the customer's monthly bills based on the pricing plan options selected.

Month Phase(s) Discount price Regular price Billed amount
0 One time setup fee applied immediately upon purchase $0.00 $0.00 $1,000.00
1 Trial phase (1 month) $0.00 $0.00 $0.00
2 Discount phase (1st of 3 months) $50.00 $0.00 $50.00
3 Discount phase (2nd of 3 months) $50.00 $0.00 $50.00
3 Discount phase (3rd of 3 months) $50.00 $0.00 $50.00
4 Regular phase (1st of unlimited months) $0.00 $60.00 $60.00

Plan phases are different from the billing period

Customers can receive multiple bills in a period, typically when the discount phase's duration period is different from the billing period. The discount phase is prorated for any time that overlaps with the start of the regular phase during the billing period. The regular phase is also prorated for the remaining time in that billing period at the regular rate. This results in the customer receiving two bills during the period, one for the discount phase at the discounted rate and another for the regular phase at the regular rate.

If the price plan's billing period is set to monthly and the discount phase's duration is set to days, the customer receives multiple bills for the period the customer transitions from the discount to the regular phase. The following is an example of this, where the customer has created a pricing plan with the following values.

  • Billing period = monthly
  • Setup fee = $1,000.00
  • Free trial phase > Duration = 40 days
  • Discount phase > Duration = 90 days
  • Discount phase > Discount phase price = $50 (this is the price based on the monthly billing period selected)
  • Regular phase > Regular phase price = $60 (this is the price based on the monthly billing period selected)

The following table explains your customer's monthly bills based on the pricing plan options selected. For the sake of simplicity, assume each month has 30 days.

Month Phase(s) Discount price Regular price Billed amount
0 One time setup fee applied immediately upon purchase $0.00 $0.00 $1,000.00
1 Trial phase (30 days) $0.00 $0.00 $0.00
2

Trial phase (10 days remaining)

Discount phase (20 of 30 days at $50/mo)

$33.33 $0.00 $33.33
3 Discount phase (30 days at $50/mo) $50.00 $0.00 $50.00
4 Discount phase (30 days at $50/mo) $50.00 $0.00 $50.00
5

Discount phase (10 of 30 days at $50/mo)

Regular phase (20 of 30 days at $60/mo)

$16.67 $40.00 $56.67
6 Regular phase (1st of unlimited months) $0.00 $60.00 $60.00