---
title: The Benefits of Usage-Based Pricing
description: We apply a usage-based pricing model on the payment methods that align with growth and don't charge subscriptions.
image: https://blog.joe.coffee/hubfs/jazmin-quaynor-9Y8vxVQN4o4-unsplash.jpg
---

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# The Benefits of Usage-Based Pricing

We apply a usage-based pricing model on the payment methods that align with growth and don't charge subscriptions.

[Nick Martin](https://blog.joe.coffee/product/author/nick-martin)

 Jul 30, 2024

---

At joe, we've always believed in creating a pricing model that genuinely supports coffee shop owners. Usage-based pricing is at the core of this belief, and it's a model that not only aligns with our business ethos but also provides substantial benefits to our partners. Unlike fixed subscription fees, this model allows us to only charge for features that actively contribute to business growth. Additionally, [we provide free, fully-integrated tools](https://blog.joe.coffee/product/coffeeshop_pos_mobile_app_price_comparison) to save time, streamline ops, and integrate with the business-critical tools that are working just fine (such as payroll and accounting).

## Why this approach is so impactful.

**Flexibility and Fairness**  
One of the biggest advantages of usage-based pricing is its flexibility. Unlike traditional subscription models where businesses pay a flat fee regardless of their usage, this model allows you to pay only for the features you actually use. This means that during slower periods, when your shop might not need as many resources, you're not stuck paying for services you don't use. It's a fair system that scales with your business, ensuring you're never overpaying.

**Alignment of Interests**  
At Joe, we succeed when you succeed. This alignment is crucial, and usage-based pricing ensures that we're always working to provide value to your business. When our tools and services help increase your sales, we benefit together. This shared success model drives us to continuously improve our offerings and support your growth in meaningful ways.

**Cost Efficiency**  
By only paying for what you use, you can better manage your budget and allocate funds to areas that will truly benefit your business. Traditional models often bundle features together, forcing you to pay for extras you might not need. With usage-based pricing, you're in control, choosing and paying for only those features that directly contribute to your shop's success. This transparency and control over your costs can lead to significant savings, especially for smaller shops or those just starting out.

**Empowering Growth**  
Our goal at Joe is to empower coffee shop owners to grow and thrive. Usage-based pricing is an essential part of this mission, providing a low-risk way for shops to access the tools they need without a significant upfront investment. As your business grows, you can gradually scale up your use of our features, ensuring that your costs grow in line with your revenue. This model provides a sustainable pathway for growth, supporting you at every stage of your journey.

In summary, usage-based pricing is more than just a billing method; it's a partnership. It's about ensuring that every dollar spent on Joe's platform is a dollar well spent, contributing directly to your business's success. We're proud to offer this model because it aligns with our core values of fairness, transparency, and shared success.

Structure and Comparison

Below, we've included a high-level pricing comparison to give you a sense of how much you'd be paying in subscriptions to try and match the features and functionality joe provides for free. 

Get a detailed breakdown and comparison and all the FREE features and tool joe provides [here](https://blog.joe.coffee/product/coffeeshop_pos_mobile_app_price_comparison). 

|  **In-Person Payments** |  |  |  |
| --- | --- | --- | --- |
|   | **Joe** | **Conventional POS - $25K/ mo shop** | **Notes** |
| Standard Card Payments | 2.6% + $0.10  | 2.6% + $0.10 |   |
| **Rewards** |  |  |  |
| Loyalty & Rewards  | Never above **4.5%, *INCLUDING* reward redemptions** and promotions | $105+ per month for standard shop PLUS up to **10% for redemptions** | joe's unique tech manages rewards network-wide to de-risk shops and maximize customer engagement |
| Marketing | Unlimited messages, campaigns, and customer profiles | $45 /mo + based on  |   |
| App & Online Payments |  |  |  |
|   | **Joe** | **White Label App** | **Notes** |
| Processing | 2.9% + $0.30 | 2.9% + $0.30 |   |
| Branded App Experience + Online Ordering | Included w/ POS | $300/mo +  | No branded app integrates cohesively across in-person and mobile payments as joe does |
| Digital Wallet in Branded App Experience | Included w/ POS | $159+  | Only joe's Loyalty Card can be auto-linked to a physical card, used in-app, web, kiosk, and gamified via marketing  |
| Commission | 3%  | Varies - often added to processing cost | At $10,000 in monthly online sales, joe breaks even with lowest cost branded app alternative. Volume discounts for joe unlock at every $10,000 increment. |
| Marketplace  |  |  |  |
|   | **Joe** | **3rd Party Apps (DoorDash, UberEats, etc.) ** |   |
| Commission | 0% with Point-of-Sale   (mobile only shops pay 15%) | 30%+ for new customers | The joe network brings you customers seeking independent shops when they are away from their neighborhood favorites.  |

 

## Similar posts

<https://blog.joe.coffee/product/usage-based-pricing-vs.-subscription-based-pricing>

### [Usage-based pricing vs. Subscription-based pricing](https://blog.joe.coffee/product/usage-based-pricing-vs.-subscription-based-pricing)

We only charge for tools that actively drive sales to your business and give the rest away for free. Compare how much subscriptions would cost...

 Nick Martin  Jul 31, 2024

<https://blog.joe.coffee/product/announcements-new-reporting-pricing-updates-coming>

### [Announcements: New Reporting & Pricing Updates Coming...](https://blog.joe.coffee/product/announcements-new-reporting-pricing-updates-coming)

New updates are coming to reports, pricing, and rewards. We're getting the word out early.

 Nick Martin  Aug 1, 2024

<https://blog.joe.coffee/product/introducing-a-subscription-alternative-to-usage-based-pricing>

### [Introducing a subscription alternative to usage-based pricing](https://blog.joe.coffee/product/introducing-a-subscription-alternative-to-usage-based-pricing)

We now offer a subscription alternative to our usage-based pricing model for coffee shops that prefer that payment model.

 Nick Martin  Jul 31, 2024

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