Synchronizing billing cycles with consumption periods in OWOX BI

In this article, we will explain what consumption periods and billing cycles are, how they differ, and how they are synchronized for your convenience and ease of use with OWOX BI.

Consumption periods

Under the consumption-based pricing model, OWOX BI designates each consumption period to coincide with a calendar month. This approach simplifies the tracking and analysis of product usage data. Based on the terms of your paid subscription, Credits are allocated monthly in specified amounts, granting access to any OWOX BI product for the duration of the consumption period. This allocation is reset at the beginning of each new month, creating a consistent cycle. The Credits consumption page provides a detailed account of usage for all Consumption units utilized during the period.

Billing cycles

A billing cycle in OWOX BI spans from one billing date to the next. To facilitate user experience, the initiation of a new billing cycle is synchronized with the start of a consumption period. OWOX BI offers two main subscription payment options:

• Monthly subscription: Equates one billing cycle with one consumption period, exclusively available for OWOX BI Extension plans.
• Annual subscription: Consolidates 12 consumption periods into a single billing cycle.

Billing day

Billing day in OWOX BI is set to the 1st day of each month, ensuring a consistent and straightforward billing cycle for all users.

Synchronizing the first consumption period with the first billing cycle

Users can subscribe on any given day of the month. Let's explore how this works for OWOX BI plans if a subscription starts on January 15th, for example.

OWOX BI Extension plan example

As mentioned previously, the OWOX BI Extension plan offers both monthly and annual subscription options.

Monthly subscription

1. A user selects a monthly payment plan on January 15th, inputs their payment details, and subscribes.
2. Stripe billing establishes a Customer portal, issues the first invoice covering the period from January 15th to February 15th, and completes the payment process using the provided card.
3. OWOX BI activates the subscription, assigning the necessary Credits to your first consumption period.
4. The user engages with OWOX BI products through the end of the month.
5. On February 1st, as one consumption period ends and another begins, an automatic synchronization occurs:
   • The billing day is moved from January 15th to February 1st.
   • Stripe billing concludes the current billing cycle, taking into account the days in January that were paid for following your initial payment. Any remaining balance from your payment is then carried forward as a credit for the upcoming period, which runs from February 1st to February 28th.
   • Subsequently, Stripe billing issues a new invoice reflecting a reduced amount, considering the credit from your prepayment.
   • Finally, Stripe processes the payment using the card on file.
6. This adjustment ensures that billing cycles and consumption periods are synchronized, each spanning one calendar month.
7. The user continues their engagement with OWOX BI products within February.
8. With the advent of March 1st, another consumption period ends, and yet another begins. Stripe billing issues a new invoice for March, while OWOX BI allocates the requisite Credits. This pattern is consistently replicated at the start of each month.

Annual subscription

1. Choosing an annual plan on January 15th, the user subscribes similarly.
2. Stripe billing establishes a Customer Portal, issues the first invoice for 12 consumption periods upfront (covering the period from January 15th, 2024, to January 15th, 2025), and completes the payment process using the provided card.
3. OWOX BI activates the subscription, assigning the necessary Credits for the first full consumption period (one calendar month).
4. The user engages with OWOX BI products through the end of the month.
5. On February 1st, as one consumption period ends and another begins, an automatic synchronization occurs:
   
   • The billing day is moved from January 15th, 2025, to the first day of the next month, i.e., February 1st, 2025.
   • Stripe billing creates a revised invoice for these days, reflecting a reduced amount.
   • Finally, Stripe processes the payment using the card on file.
6. The user will continue their engagement with OWOX BI products within February 2024.
7. With the advent of March 1st, another consumption period ends, and yet another begins. OWOX BI allocates the necessary amount of Credits. This pattern is consistently replicated at the start of each month until the end of the billing cycle (January 31st, 2025).
8. The next payment to renew the annual subscription is scheduled for February 1, 2025.

Other plans example

Other pricing plans (Starter, Growth, Professional, Enterprise) require annual payment, set up via the OWOX BI project settings. Learn more in our Help Center.

For inquiries related to the billing system or invoicing, please contact our Support team at bi@owox.com.

What's next? You might be interested in:

• Consumption Units and Credits
• Credits consumption: understanding your resource usage
• How to download and pay the invoice for the Extension billing plan