The transition from buying software from physical boxes to subscriptions was one of the biggest innovations of the cloud era to date, but over time there is a new model that is gaining traction. This usage-based model gives customers more flexibility, regardless of when they experience peak demand, and doesn’t force them to pay for product features they don’t use. It also allows customers to start using new tools without too much risk or heavy investment, as you can start at a very small scale and scale up quickly when you start to see success.
A hybrid usage-based subscription model is the middle ground.
There are companies like Nubeprint that have adopted a combination of usage-based and subscription-based models, known as usage-based subscriptions.
Nubeprint charges customers a flat monthly fee with no time commitment for a minimum configuration. But also, for an additional fee, activation of other applications can be added when customers need more features.
A “hybrid model” has the advantage of offering customers the best of both worlds
Source: Business insider – Nubeprint