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Should AI companies charge differently for training vs. inference?

Yes, AI companies should consider different pricing approaches for training versus inference, as these represent distinct phases with different value propositions and cost structures.

Different Cost Structures

Training and inference have fundamentally different resource consumption patterns. Training is compute-intensive, requiring significant processing power and time, while inference is typically lighter but may need to scale to handle many concurrent requests. These distinct cost profiles warrant different pricing structures.

Value-Based Approach

The value derived from each phase differs significantly:

  • Training delivers long-term capability development and represents intellectual property creation
  • Inference represents the operational application of that capability to generate immediate business results

Recommended Pricing Models

For training:

  • Higher price points reflecting the intensive resource usage
  • Project-based or subscription pricing for development environments
  • Tiered pricing based on model complexity, dataset size, or computational requirements

For inference:

  • Usage-based models that align with actual consumption
  • Subscription tiers with usage thresholds
  • Per-request pricing with volume discounts

Strategic Considerations

Our pricing strategy approach for AI companies includes:

  • Usage analysis to identify whether current metrics properly capture value
  • Pricing model benchmarking against evolving industry standards
  • GenAI-specific pricing strategy development
  • Exploring transitions between subscription and usage-based models as appropriate

Many AI companies find that a hybrid approach works best, combining elements of subscription pricing for predictability with usage-based components that capture additional value from heavy users.

The right approach ultimately depends on your specific AI offering, target market segments, and overall business strategy. A tailored pricing model that reflects both your cost structure and the distinct value propositions of training versus inference will maximize both adoption and profitability.

Get Started with Pricing Strategy Consulting

Join companies like Zoom, DocuSign, and Twilio using our systematic pricing approach to increase revenue by 12-40% year-over-year.

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