Description: On-Demand Pricing is a pricing model where services are charged based on actual usage. This approach allows businesses and users to pay only for the resources they consume, resulting in greater flexibility and efficiency in cost management. In the context of FinOps and cloud cost optimization, this model has become essential as it enables organizations to scale their operations without incurring high fixed costs. Key features of on-demand pricing include billing by the hour, minute, or even second, depending on the service, as well as the ability to adjust resource usage in real-time. This means that companies can optimize their cloud spending by aligning their resources with specific needs at any given moment. Additionally, this model encourages a culture of accountability in resource usage, as teams are aware that every action has an associated cost. In summary, on-demand pricing represents a significant evolution in how organizations manage their technology expenses, allowing for greater adaptability and control over operational costs.
