Transforming the way assets are acquired
Today’s marketplace is shifting away from traditional ownership models toward pay-per-use concepts. Whether you’re a supplier looking to offer flexible payment solutions, or a customer seeking to match your payments with usage, DLL can customize an innovative financing solution that meets the needs of your business.
How pay-per-use solutions work
DLL's financing experts work closely with suppliers and customers to develop customized solutions, following these basic steps:
- Customer wants to make payments based on how the asset will be used
- DLL creates a usage-based payment structure for the supplier and customer*
- Customer receives the asset with usage tracking in place
- Supplier and customer both receive usage data and analytics
- Customer makes payments based on usage data*
*Usage metrics vary by solution; types of usage metrics include, but are not limited to, hours of use, number of copies, size of cloud storage or surgical procedures performed.
Benefits of pay-per-use solutions
Supplier benefits
- Meet changing customer and marketplace demands
- Create a competitive advantage
- Drive incremental services revenue
- Increase customer retention
- Learn asset effectiveness with usage data and analytics
Customer benefits
- Match payments with actual usage
- Eliminate burden of ownership
- Comprehensive service and support
- Receive simplified contracts
- Asset classes and quantities are more accessible
- Allocate assets more efficiently with usage data and analytics
Optimize usage with analytics
Pay-per-use trends in the marketplace
Subscription
Payment to access the assets needed to achieve a desired outcome or meet a certain need, with a fixed periodic payment in the form of a flat fee or an agreed-upon minimum usage level. Subscription can be measured in hours, kilometers, cycles, or output for example. From paying an annual fee to have access to a shared tractor to paying a flat fee to have an office equipped with the business supplies needed to operate a business.
On-Demand
Payment for the usage of a specified asset without a fixed payment. If usage is zero, payments are also zero. This model allows a close alignment between cost of production and sales revenue generated from the use of an asset. On-Demand also aligns well with consumable products delivered through use of the assets, and can be measured by cups of coffee, blades, or IV sets for example.
Performance
Payment for the output or service generated by a specified unit; this is an outcome-based approach. Performance can be measured by surgical procedures, Mb of data, or processes completed where performance is measured for example.