What is a Subscription Pricing?
Definition
Recurring payment model for software access charged monthly or annually per user, feature tier, or organization. Subscription pricing includes regular updates, support, and hosting with costs typically 20-30% lower for annual commitments versus monthly billing."
Why This Matters
Subscription pricing offers predictable costs and includes updates and support. Longer-term commitments typically provide discounts while creating vendor lock-in. Balance cost savings against commitment flexibility.
Related Terms
Showing semantically related terms from our RFP knowledge graph. Priority connections are highlighted.
Essential Connections
Licensing Model
Pricing & Total Cost
Software pricing structure including per-user, per-feature, tiered, usage-based, or flat-rate pricing.
SaaS
Software Features & Capabilities
Software as a Service - cloud-based software accessed via web browser with subscription pricing, automatic updates, and vendor-managed infrastructure.
Pricing Section
RFP Fundamentals
RFP section requesting detailed cost breakdown including licensing models, implementation fees, training costs, support tiers, customization charges, and renewal rates.
Total Cost of Ownership
Pricing & Total Cost
The complete cost of software including licensing fees, implementation costs, training expenses, data migration, ongoing support, customization, infrastructure, and maintenance over 3-5 years.
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Related RFP Templates
Explore our top RFP templates - all 75 templates include questions about subscription pricing