Webinar
Software Monetization Trends and Usage-Based Approaches to Monetizing AI
Explore GenAI monetization strategies, buyer preferences, and hybrid pricing models from IDC and Revenera experts. Learn how vendors can deliver and capture value.
Original Air Date: April 6, 2024
Overview
If you're a software producer navigating the fast-evolving landscape of AI monetization, this webinar is a must-watch. Join Michael Goff, Principal Product Marketing Manager at Revenera, as he hosts an insightful session featuring Mark Thomason, Senior Research Director at IDC, and Paul Bland, Senior Director of Product Management at Revenera. Together, they unpack exclusive, not-yet-published IDC research on how software buyers are adopting and valuing GenAI features—and what that means for your pricing strategy.
You’ll gain actionable insights into usage-based monetization models, hybrid pricing strategies, and how to align packaging with buyer expectations. Learn why 80% of buyers say GenAI features justify their cost, and how vendors can leverage real-time usage data to deliver predictable value. Whether you're exploring prepaid consumption models or dynamic token-based pricing, this session offers practical advice and real-world examples to help you monetize AI effectively. Don’t miss the chance to hear directly from industry leaders shaping the future of software monetization.
Recap
Key Themes and Takeaways
The Urgency of Monetizing GenAI in Software
The webinar opens with Michael Goff setting the stage for why software producers must act now to monetize GenAI. With AI capabilities rapidly becoming table stakes, buyers are demanding them—and are even willing to switch vendors if they’re not included. This urgency is backed by IDC’s latest survey data showing strong buyer interest and willingness to pay more for GenAI features.
Exclusive IDC Research on Buyer Preferences
Mark Thomason shares unpublished IDC research revealing how buyers perceive GenAI value. Notably, 80% of buyers say GenAI features justify their cost, and 52% report pricing clarity and satisfaction. These insights help vendors understand what buyers expect in terms of packaging, pricing, and value delivery.
Packaging and Pricing Strategies for GenAI
The discussion dives into how vendors are experimenting with packaging models—from premium product tiers to add-on SKUs and price increases. The key takeaway: vendors must clearly communicate the value of GenAI features to justify monetization. Buyers are open to paying more, but only if the benefits are tangible.
Usage-Based and Hybrid Monetization Models
Paul Bland introduces Revenera’s Elastic Access model, which enables flexible, token-based pricing for GenAI features. This approach supports both vendor preferences for prepaid models and buyer desires for postpaid, usage-based billing. It’s a practical solution for managing unpredictable costs while enabling scalable monetization.
Real-Time Usage Data as a Monetization Enabler
A recurring theme is the importance of usage data in driving pricing decisions. Vendors are increasingly using real-time data to model value, predict costs, and refine pricing strategies. Elastic Access supports this by providing granular insights that reduce buyer uncertainty and improve pricing transparency.
Buyer vs. Vendor Pricing Preferences
The webinar highlights a tension between buyer and vendor preferences: buyers favor postpaid, consumption-based models, while vendors lean toward prepaid subscriptions. The solution lies in hybrid models that balance predictability with flexibility—allowing vendors to manage revenue while meeting buyer expectations.
The Future of GenAI Pricing
In a forward-looking segment, Mark Thomason predicts that personalized and segment-based pricing will become more common, powered by AI-driven analysis of usage, intent, and historical data. This evolution will help vendors tailor pricing to customer value more precisely.
Final Takeaways and Vendor Advice
The webinar closes with practical advice: focus on delivering demonstrable value, experiment with pricing models, and use data to guide decisions. Vendors who embrace flexibility and transparency will be best positioned to succeed in the GenAI era.
Speakers
Mark Thomason
Senior Research Director
IDC
Paul Bland
Senior Director, Technical Product Management
Revenera
Michael Goff
Principal, Product Marketing
Revenera
Frequently Asked Questions
Usage-based pricing and hybrid models are emerging as the most effective strategies for GenAI monetization. Buyers prefer postpaid, consumption-based models for flexibility, while vendors lean toward prepaid subscriptions for revenue predictability. The webinar highlights how combining both approaches can balance risk and value for both parties.
According to IDC research shared in the webinar, 80% of buyers believe GenAI features justify their cost. Additionally, 52% reported satisfaction with pricing clarity and alignment with expectations. This indicates strong demand and a willingness to pay more—if vendors can demonstrate clear, measurable value.
The top barriers include concerns about output quality, unpredictable pricing, and unclear value delivery. Buyers want transparency and assurance that GenAI features will perform reliably and cost-effectively. Vendors must address these concerns through better packaging, usage data, and communication.
The key is to offer GenAI capabilities as add-ons or premium tiers while clearly communicating their value. The webinar emphasizes that 61% of buyers understand these features cost more and are willing to pay—if the benefits are tangible. Transparent pricing and real-time usage data help build trust.
Usage data is critical for modeling value, predicting costs, and refining pricing strategies. Vendors can use real-time insights to offer personalized pricing, optimize packaging, and reduce buyer uncertainty. The webinar showcases how Elastic Access enables this level of granularity and flexibility.
Hybrid models combine the predictability of subscriptions with the flexibility of usage-based billing. This approach meets both vendor and buyer needs, especially in GenAI contexts where usage can vary widely. The webinar outlines how vendors are experimenting with these models to maximize revenue and customer satisfaction.
Survey data presented in the webinar shows that 32% of buyers are willing to pay 10–19% more, and 19% are willing to pay 20–29% more for GenAI features. This underscores the importance of demonstrating value and aligning pricing with customer expectations.
Vendors are using premium product tiers, add-on SKUs, and flexible token-based models to package GenAI features. The webinar advises clearly defining pricing options and using usage data to support value claims. This helps buyers feel confident in their investment.
By leveraging real-time usage data and flexible pricing tools, vendors can offer more predictable billing. Elastic Access, discussed in the webinar, allows for dynamic rate adjustments and clear showback data, helping buyers understand and control their costs.
The future points toward personalized and segment-based pricing powered by AI-driven analytics. Vendors will use intent data, historical transactions, and usage patterns to tailor pricing. The webinar predicts that this evolution will help software producers better align pricing with customer value.
Resources
Online Event
Software Monetization User Group 2025
October 21, 22 & 23 (Tuesday, Wednesday & Thursday)
Whether you’re focused on growing annual recurring revenue, streamlining operations, or turning data into actionable insights, you won’t want to miss User Group this year. Register today to reserve your spot and get notified on the full agenda
Report
Software Monetization Models and Strategies 2026 Outlook
Revenera’s latest research report on trends around AI monetization, usage-based pricing, and customer retention challenges. Keep reading to see how your business compares.
Webinar
Pricing as a Profitability Lever in the Cloud and AI Era
Wednesday, November 19
In this session, Paul Bland, Senior Director of Technical Product Management for Revenera, and Philip Daus, Partner at Simon-Kucher, will share actionable ideas to counter rising costs, protect profitability, and adapt your pricing for the AI era
Want to learn more?
See how Revenera's Software Monetization platform can help you take products to market fast, unlock the value of your IP and accelerate revenue growth.