The 6 most effective metered billing software for SaaS companies | 2024

In the SaaS industry, legacy billing systems are simply not cutting it anymore. They were built for a time when subscriptions were rigid and one-size-fits-all. But today, customers demand flexibility and personalization, and metered pricing is part of the solution.

To implement metered pricing models, SaaS companies rely on metered billing software.

In this guide, we’ll share the 6 most effective metered billing software solutions. We aim to help you choose which fits your company and your customers’ needs. First, let’s look into why companies are using these tools. 

Why is metered billing software important for SaaS companies today?

Legacy billing systems struggle to keep up with the complexities of usage-based billing. They can't accurately track and bill for every API call, gigabyte of storage, or minute of usage. These shortcomings lead to revenue leakage, billing errors, and frustrated customers.

The solution: Metered billing software

Metered billing software is the key to unlocking the full potential of usage-based pricing. It provides the tools and capabilities that SaaS companies need to thrive in such a competitive industry.

These are some of the key features metered billing software solutions provide:

• Precise tracking and billing: Metered billing software tracks billable events. These tools help make sure you capture the value delivered to your customers.
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• Real-time billing: In SaaS, customers expect up-to-the-minute billing information. Metered billing software delivers by processing data in real-time. The fact that it's in real-time means you can provide instant updates and notifications. 
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• Scalability for growth: As your customer base and usage data grow, your billing system needs to keep pace. Metered billing software is often built to scale, handling increased demand without a hiccup.
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• Crystal-clear transparency: No one likes surprises on their bill. Metered billing software offers detailed usage and billing reports. Being transparent helps build trust with your customers.

Metered billing software empowers SaaS companies to embrace the future of pricing. It's about giving customers the control they need while guaranteeing your company’s profit margins keep growing. 

6 metered billing software for SaaS analyzed

1. Orb

Orb is a billing platform that’s purpose-built for the challenges of metered billing. Orb allows SaaS businesses to craft and manage sophisticated pricing strategies. Plus, organizations can accurately track usage in real time, and scale with ease.

• Robust metered billing capabilities: Orb handles any metered billing scenario you throw at it. Whether you're charging per API call, data storage, or feature usage, Orb guarantees precise tracking and billing.
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• Real-time usage tracking: Orb's usage tracking gives users visibility into their usage and costs. This transparency builds trust and reduces nasty billing surprises.
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• Flexible pricing models for scaling SaaS: As your SaaS business grows, your pricing models should evolve too. Orb makes it easy to create and manage diverse pricing tiers. It’s your go-to tool for making sure your billing strategy keeps pace with your business.

2. Recurly

Recurly is primarily a subscription management platform. It does extend its capabilities to include metered billing by allowing users to define usage metrics and set tiered pricing. It also automates invoicing based on consumption. 

Its strength lies in its focus on customer retention. It does so by offering features like automated dunning and detailed analytics to combat churn. Let’s now look at some of its pros and cons:

• Pros: It’s got a strong focus on customer retention, offers analytics, and a dunning system to minimize churn. It’s developer-friendly for customization.
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• Cons: Metered billing features are less fleshed out compared to dedicated solutions.  Reporting and analytics can be quite limited for usage-based data.

3. Chargebee

Chargebee, like Recurly, is a subscription management platform that has incorporated metered billing into its feature set. 

It allows for basic usage tracking and billing, making it suitable for businesses with simple metered pricing needs. Its user-friendly interface and quick setup process are major draws for those new to subscription billing. The following  are some of Chargebee’s pros and cons:

• Pros: It’s got a responsive and helpful support team and strong integrations with other SaaS tools.
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• Cons: It can struggle with one-time purchases and complex subscription changes. It’s got very limited customization options for email automation. 

4. Maxio

Maxio distinguishes itself by focusing on the financial operations side of billing. Its solution particularly focuses on B2B SaaS companies. 

It can handle complex contract terms, automate revenue recognition, and provide financial reporting. It's a good fit for businesses with intricate billing agreements and a dedicated finance team to make better use of its capabilities. Here are some of its strong and weak points:

• Pros: It handles high-complexity B2B SaaS contracts and automates revenue recognition (GAAP compliant). 
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• Cons: Considering how long it takes to train people to use it, this platform might be overkill for scaling businesses or those without a dedicated finance team.

5. Zuora

Zuora handles subscription and billing management. It's designed to handle the metered billing needs of large organizations with massive subscriber bases. 

Its extensive feature set and customization options make it a powerful tool. However, its complex system is not intuitive nor easy to learn, so it can be very daunting for smaller scale-up businesses. Its additional features include:

• Pros: It’s an enterprise-grade platform capable of handling intricate metered billing scenarios. It also has an extensive feature set and customization options.
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• Cons: It’s got a very high cost. It can also be inflexible when dealing with non-standard subscription scenarios. 

6. m3ter

m3ter takes a focused approach to metered billing. It specializes in usage tracking and billing calculations. 

Its scalable infrastructure and configurable pricing models make it a solid choice for those who focus on accuracy. It helps companies that need detailed metering capabilities, especially in the B2B space, in the following ways:

• Pros: It has a scalable infrastructure to handle varying data volumes. It also offers flexibility in creating and managing pricing models.
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• Cons: It’s got a steep learning curve. Plus, maximizing its potential requires additional resources and technical expertise. Its extensive feature set is rather bloated for businesses with simple billing needs.

Next steps: Consider Orb for your metered billing needs

We've explored six of the most efficient metered billing software solutions in 2024. As our list shows, Orb is at the top. If you're ready to implement a metered billing strategy that drives growth and delights customers, Orb is the ideal solution.

Product leaders at companies like Perplexity and Vercel rely on Orb to power their pricing strategies. We've also helped them unlock new, more profitable revenue streams. 

With Orb, you can:

• Integrate usage data: Orb integrates with popular data sources like S3 and Segment, along with its flexible REST API. Orb’s usage-based billing software lets you effortlessly collect and analyze usage data from across your application stack.
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• Define and track custom metrics: No two SaaS products are alike. Orb lets you define and track the usage metrics that matter most to your business. It does all this for API calls, storage, or unique feature interactions.
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• Design pricing with precision: Orb's Plan Builder gives you the power to craft pricing plans without writing a single line of code. Experiment with tiered pricing, volume discounts, and more to find the perfect fit for your niche.
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• Automate your billing workflow: From usage tracking and calculations to invoicing and revenue recognition,  Orb automates everything. Orb frees your team to focus on what they do best — building and growing your product.

Ready to take your SaaS billing to the next level? See how Orb can help you build a metered billing strategy and schedule a free demo now.