# Per-Unit Pricing

> Per-unit pricing is a model where a customer pays a fixed price for every unit of a product or service they purchase.

- **URL**: https://dodopayments.com/glossary/per-unit-pricing

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## What is Per-Unit Pricing?

Per-unit pricing is a model where a customer pays a fixed price for every unit of a product or service they purchase. Unlike tiered pricing, the price per unit remains constant regardless of the total quantity ordered.

### Why It Matters

- It offers total transparency and simplicity for both the buyer and the seller.

- It is ideal for physical goods or digital products with a very clear unit of value.

- It makes it easy for customers to calculate their total costs before making a purchase.

- It provides a straightforward way to manage inventory and revenue forecasting.

## Learn More

- [Tiered pricing model guide](https://dodopayments.com/blogs/tiered-pricing-model-guide)
- [Pricing psychology tactics that improve conversion](https://dodopayments.com/blogs/pricing-psychology)
- [How to use value-based pricing in SaaS](https://dodopayments.com/blogs/value-based-pricing-saas)