Today, APIs are opening up ventures for new business opportunities. In line with this trend, organizations are realizing the value of these shared data and services and driving billing for these capabilities. Along the way, it’s important to find the right monetization model to get the most from your published APIs. WSO2 API Cloud helps you build this monetization strategy in an effective way.
Why Use Api Monetization?
API monetization allows API publishers to add value to APIs listed in the API Store by billing subscribers who use the API. This is an important mechanism for enabling APIs to monetize. API monetization models are generally broken down into the models described below.
Premium Model: Subscribers have free access to the API until a threshold is reached.
Paid Model: Subscribers pay for API access.
Free Model: Subscribers have free access to the API.
The benefits of API monetization are not limited to monetization, but also in terms of identifying subscriber and subscriber API usage statistics, helping publishers determine which APIs are in demand and which APIs will add value to monetization.
How complex is API monetization?
A Typical API Monetization Process Can Be Tedious With The Following Steps:
Collection and storage of payment information
Ensure PCI Compliance
Create a subscription and billing workflow
Integration of statistical systems and workflows
Perform customer invoicing and self-service billing information access
Premium model implementation
Provides usage and overcounting
Enable alerts and notifications for expired credit cards and more