methodology

Pay As You Go

Pay As You Go (PAYG) is a pricing model where users pay only for the resources they consume, typically on a per-unit basis such as per hour, per gigabyte, or per transaction. It is commonly used in cloud computing, utility services, and software-as-a-service (SaaS) to provide flexible, scalable, and cost-effective solutions without upfront commitments. This model allows organizations to align expenses directly with usage, optimizing budgets and reducing waste.

Also known as: PAYG, Pay-As-You-Go, Usage-based pricing, Consumption-based pricing, On-demand pricing
🧊Why learn Pay As You Go?

Developers should learn and use Pay As You Go when building or deploying applications in cloud environments like AWS, Azure, or Google Cloud, as it enables cost-efficient scaling and avoids over-provisioning. It is particularly valuable for startups, projects with variable workloads, or proof-of-concept implementations where predicting resource needs is challenging. Understanding PAYG helps in designing systems that minimize operational costs and leverage on-demand resources effectively.

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