Total Cost of Ownership (TCO) is the framework to measure usages on SaaS. TCO is calculated based on individual component utilization and aggregation of all utilizations. In general these components are Table Insights, Job Insight, Cluster Insight, Application Insight, Workload & Top Workload Insight, Platform Insights, and Users Insight cost attribution. There are different collections and calculations methodologies. These all cost attributions attribute to TCO.
There is always a need to make application or system to show usage data or report that the customer can use to validate cost incurred.
There is always a need to validate the usage data before generating invoice to the customer. Any a single wrong data point can ruin trust on the product or service. Such an incorrect billing leads to some discount or credits to the customer which further contribute to some loss to business. There are various formulae and mechanisms to validate the usage data.
The organization make and create pricing models once they have overall usage data or TCO. The organization creates different pricing strategies, such as Freemium, Standard, Premium, and Enterprise. Product or Service features & functionalities are bundled under these pricing strategies. There is time constraint as well while offering such different categorized pricing model. Free Trial comes under such time constraint scenario.