SaaS Platform
Metering and billing
2014-12-24
websqrd.com
Sang Song
Metering
• Metering is the process of monitoring usage and tracking
application use
• Recommendation is to log all requests and all access
requests
• Metering should also log business metrics
– Number of invoices generated
– Number of courses played
• Helps in multiple billing methodology for different flavors of
customers
• Metering also helps in capacity planning and knowing
system health
• Consolidated metering information related to tenant can be
made available pro-actively to customer administrators
Reference : http://www.slideshare.net/8KMiles/building-saas-products-with-windows-azure
Billing
• Pricing models for SAAS applications vary based on type of
application, usage, customer profile, etc…
• Unlike the boxed product, a SAAS product can have
innovative pricing models
– User based
– Usage based
– Fixed monthly cost
– Fixed yearly cost
– Freemium
– Multi year contracts
• Billing models can be tested out early during trials to
identify usage and can be finalized later
• Amortization of total cost can be over multiple customers –
multiple billing cycles
Reference : http://www.slideshare.net/8KMiles/building-saas-products-with-windows-azure
Apache Stratos
• In June 2013, WSO2 donated the PaaS
framework, Stratos, to Apache
• Highly-extensible Platform-as-a-Service (PaaS)
framework for Apache Tomcat, PHP, MySQL
and etc…
• High utilization rates
• Automated resource management
• Platform-wide insight including monitoring
and billing.
Reference : http://stratos.apache.org/
Staratos - Logging, metering
Logging, metering, and monitoring are primary,
but important features that should not be
ignored. Apache Stratos is capable of capturing
all health statistics, application logs, and usage,
and aggregating them into a centralized
location. It makes devOps life easy, otherwise it
is an impossible task to login and monitor each
and every instance in a large-scale deployment
that has hundreds of instances.
Reference : http://stratos.apache.org/about/why-apache-stratos.html
Stratos Logging System
Stratos Per-Tennant Usage
Stratos Tennant Detail Usage
Stratos System Log
Apprenda
• Founded : 2007
• Headquaters : Troy, NY
• Area served : Worldwide
• Employees : 80
• Launched its platform-as-a-service (PaaS) in 2007,
supporting Microsoft's .NET Framework.
• In 2008, Apprenda closed its public cloud service
and began selling the software for private PaaS
Reference : http://en.wikipedia.org/wiki/Apprenda
Apprenda SaaS Usage Metering
• SaaS vendors have a variety of options for
metering the usage of the solutions
– per user metering
– per account metering
– per transaction metering
Reference : http://apprenda.com/library/software-on-demand/saas-usage-metering-measurement/
Apprenda ISV Solutions
• ISV’s must implement a metering solution in
order to bill clients for usage
• build their own metering solution in house or
they can implement a metering solution provided
by a third party vendor (Built-in Apprenda’s ISV
solution)
• Apprenda’s ISV solution eliminate a significant
portion of the costs, complexities and risks
associated with developing and deploying a home
grown SaaS metering solution
Reference : http://apprenda.com/library/software-on-demand/saas-usage-metering-measurement/
Apprenda ISV Solutions (2)
• Implement a SaaS metering solution
– provides accurate tracking of client usage
– provides the capacity for analyzing client usage
patterns
• Usage analytics provides
– determine what the most advantageous and most
marketable metering methods are for each SaaS
offering they deliver via the cloud
Reference : http://apprenda.com/library/software-on-demand/saas-usage-metering-measurement/
Apprenda ISV Solutions (3)
• Designed for integration with the Private PaaS
• Apprenda’s ISV solution provides
– Tools to meter and analyze client usage
– The capacity to collect client payments via a
variety methods
• credit cards
• bank transfers
• traditional checks
Reference : http://apprenda.com/library/software-on-demand/saas-usage-metering-measurement/
Apprenda ISV Solutions (4)
• Provide tools
– define an unlimited number of pricing
– feature service plans, which can be easily updated
and instantly deployed
– the capacity for more stable revenue streams
– flexible tools to manage client subscriptions
– handle the entire payment process
• deposits into a SaaS vendor’s merchant account
Reference : http://apprenda.com/library/software-on-demand/saas-usage-metering-measurement/
결론
• PaaS 솔루션인 Staratos와 Apprenda의 Metering 방법을 조사함.
• 두 솔루션 모두 Resource Usage Metering을 위해 Log를 사용하고 있음.
• SaaS vendor는 계정별, 트랜잭션별등 다양한 metering옵션 지정할 수 있다.
• Metering solution은 과금을 위한 Client의 정확한 사용량을 측정하는데서 더 나아가,
Client의 사용패턴을 분석에도 이용될수 있다.
• 패턴분석을 통해 수익을 최대화할 수 있는 과금방법을 정할수 있으므로,
vendor에게 제공시 과금체계를 만들때 매우 유용함.
• 또한 Client들의 지불방식 통계도 패턴분석을 통해 얻을 수 있다.
• Vendor의 서비스Plan은 언제든 업데이트할 수 있고, 즉시 반영되어야함.
• 서비스 Plan 뿐 아니라 Client별 Subscription도 쉽게 관리되어야 한다.
• Vendor에게 매출현황을 보여줄 수 있으며, Vendor계좌에 입금까지도 관리된다.
• Vendor가 Client에게 Subscription을 제공하고 비용을 받는 방식인데 반해, 우리는
Vendor, 즉 회사가 모든 Client의 사용량 비용을 모두 지불하는 방식이므로, 다소
차이가 있다.

SaaS Flatform metering and billing

  • 1.
    SaaS Platform Metering andbilling 2014-12-24 websqrd.com Sang Song
  • 2.
    Metering • Metering isthe process of monitoring usage and tracking application use • Recommendation is to log all requests and all access requests • Metering should also log business metrics – Number of invoices generated – Number of courses played • Helps in multiple billing methodology for different flavors of customers • Metering also helps in capacity planning and knowing system health • Consolidated metering information related to tenant can be made available pro-actively to customer administrators Reference : http://www.slideshare.net/8KMiles/building-saas-products-with-windows-azure
  • 3.
    Billing • Pricing modelsfor SAAS applications vary based on type of application, usage, customer profile, etc… • Unlike the boxed product, a SAAS product can have innovative pricing models – User based – Usage based – Fixed monthly cost – Fixed yearly cost – Freemium – Multi year contracts • Billing models can be tested out early during trials to identify usage and can be finalized later • Amortization of total cost can be over multiple customers – multiple billing cycles Reference : http://www.slideshare.net/8KMiles/building-saas-products-with-windows-azure
  • 4.
    Apache Stratos • InJune 2013, WSO2 donated the PaaS framework, Stratos, to Apache • Highly-extensible Platform-as-a-Service (PaaS) framework for Apache Tomcat, PHP, MySQL and etc… • High utilization rates • Automated resource management • Platform-wide insight including monitoring and billing. Reference : http://stratos.apache.org/
  • 5.
    Staratos - Logging,metering Logging, metering, and monitoring are primary, but important features that should not be ignored. Apache Stratos is capable of capturing all health statistics, application logs, and usage, and aggregating them into a centralized location. It makes devOps life easy, otherwise it is an impossible task to login and monitor each and every instance in a large-scale deployment that has hundreds of instances. Reference : http://stratos.apache.org/about/why-apache-stratos.html
  • 6.
  • 7.
  • 8.
  • 9.
  • 10.
    Apprenda • Founded :2007 • Headquaters : Troy, NY • Area served : Worldwide • Employees : 80 • Launched its platform-as-a-service (PaaS) in 2007, supporting Microsoft's .NET Framework. • In 2008, Apprenda closed its public cloud service and began selling the software for private PaaS Reference : http://en.wikipedia.org/wiki/Apprenda
  • 11.
    Apprenda SaaS UsageMetering • SaaS vendors have a variety of options for metering the usage of the solutions – per user metering – per account metering – per transaction metering Reference : http://apprenda.com/library/software-on-demand/saas-usage-metering-measurement/
  • 12.
    Apprenda ISV Solutions •ISV’s must implement a metering solution in order to bill clients for usage • build their own metering solution in house or they can implement a metering solution provided by a third party vendor (Built-in Apprenda’s ISV solution) • Apprenda’s ISV solution eliminate a significant portion of the costs, complexities and risks associated with developing and deploying a home grown SaaS metering solution Reference : http://apprenda.com/library/software-on-demand/saas-usage-metering-measurement/
  • 13.
    Apprenda ISV Solutions(2) • Implement a SaaS metering solution – provides accurate tracking of client usage – provides the capacity for analyzing client usage patterns • Usage analytics provides – determine what the most advantageous and most marketable metering methods are for each SaaS offering they deliver via the cloud Reference : http://apprenda.com/library/software-on-demand/saas-usage-metering-measurement/
  • 14.
    Apprenda ISV Solutions(3) • Designed for integration with the Private PaaS • Apprenda’s ISV solution provides – Tools to meter and analyze client usage – The capacity to collect client payments via a variety methods • credit cards • bank transfers • traditional checks Reference : http://apprenda.com/library/software-on-demand/saas-usage-metering-measurement/
  • 15.
    Apprenda ISV Solutions(4) • Provide tools – define an unlimited number of pricing – feature service plans, which can be easily updated and instantly deployed – the capacity for more stable revenue streams – flexible tools to manage client subscriptions – handle the entire payment process • deposits into a SaaS vendor’s merchant account Reference : http://apprenda.com/library/software-on-demand/saas-usage-metering-measurement/
  • 16.
    결론 • PaaS 솔루션인Staratos와 Apprenda의 Metering 방법을 조사함. • 두 솔루션 모두 Resource Usage Metering을 위해 Log를 사용하고 있음. • SaaS vendor는 계정별, 트랜잭션별등 다양한 metering옵션 지정할 수 있다. • Metering solution은 과금을 위한 Client의 정확한 사용량을 측정하는데서 더 나아가, Client의 사용패턴을 분석에도 이용될수 있다. • 패턴분석을 통해 수익을 최대화할 수 있는 과금방법을 정할수 있으므로, vendor에게 제공시 과금체계를 만들때 매우 유용함. • 또한 Client들의 지불방식 통계도 패턴분석을 통해 얻을 수 있다. • Vendor의 서비스Plan은 언제든 업데이트할 수 있고, 즉시 반영되어야함. • 서비스 Plan 뿐 아니라 Client별 Subscription도 쉽게 관리되어야 한다. • Vendor에게 매출현황을 보여줄 수 있으며, Vendor계좌에 입금까지도 관리된다. • Vendor가 Client에게 Subscription을 제공하고 비용을 받는 방식인데 반해, 우리는 Vendor, 즉 회사가 모든 Client의 사용량 비용을 모두 지불하는 방식이므로, 다소 차이가 있다.