yzeng25 commented on code in PR #1316: URL: https://github.com/apache/apisix-website/pull/1316#discussion_r966647959
########## blog/en/blog/2022/09/08/api-monetization-using-stack.md: ########## @@ -0,0 +1,150 @@ +--- +title: "API monetization using an API Management and a billing provider" +authors: + - name: Bobur Umurzokov + title: Author + url: https://github.com/Boburmirzo + image_url: https://avatars.githubusercontent.com/u/14247607 +keywords: +- API Gateway +- Apache APISIX +- Monetization +- API +- Microservices +- Rate limiting +- Quota +description: ππΌ This blog post gives you an idea of building your technology stack with an API Gateway and a payment provider that can help you run quickly and securely your API monetization system which simply provides flexibility for your customers. +tags: [Case Studies] +--- + +> ππΌ This blog post gives you an idea of building your technology stack with an [API Gateway](https://apisix.apache.org/docs/apisix/terminology/api-gateway/) and a [payment provider](https://en.wikipedia.org/wiki/List_of_online_payment_service_providers) that can help you run quickly and securely your API monetization system which simply provides flexibility for your customers. + +<!--truncate--> + + + +## API Monetization + +As an owner of API, you develop some code and deploy it to a server. That server might have a bunch of HTTP/HTTPs endpoints that do something useful. Maybe like retrieving data about all current discounts and voucher information from different markets in your city. And other developers want to use this data but they do not want to implement the same solution on their own. So, they reach out to you for permission to make requests to your server. + +Using **APIs** is an ideal way to **monetize your services**. An API lets you reach customers through multiple channels and allows third-party applications or developers to consume your data. API monetization is a way that businesses can use APIs to convert usages of the data into money πΈ. When it comes to making money from your APIs, there are multiple ways. Most often you think about how to get started with the right tools and how to set up billing for your APIs. + +### Here is a quick overview of what we covered π + +- β Monetization options. +- β Two common ways to monetize APIs. +- β Simple API monetization stack components: an API Management and a billing provider. +- β How API Management and a payment platform work together. +- β How to apply rate limiting policies. +- β How Apache APISIX can be useful to monitor and limit API usage. + + + +## API monetization models + +There are several pricing approaches you can take for monetization. When you are developing **API monetization strategies**, you should always consider that you deliver high-quality, consistent value to your API users. As the API Provider, you talk to your current API users to identify problems your service is solving and offer pricing models according to the target customer. For example, if customers use one specific feature of your API more than others, you could spin that feature off into its own product with its own pricing plan. + + + +Some API billing models for monetization include: + +- [Freemium](https://en.wikipedia.org/wiki/Freemium). +- [Pay as you go](https://en.wikipedia.org/wiki/Pay-as-you-use). +- [Subscription](https://en.wikipedia.org/wiki/Subscription_business_model). +- [Pay-per-transaction](https://en.wikipedia.org/wiki/Pay_per_sale). +- [Revenue share](https://en.wikipedia.org/wiki/Revenue_sharing). +- [Pay for ad-free content](https://en.wikipedia.org/wiki/Pay-per-click). +- [Paid partner](https://www.softwareag.com/en_corporate/resources/what-is/api-monetization.html#:~:text=low%2Dcost%20apps.-,Paid%20partner%3A,-In%20this%20model). + + + +In the freemium model, Developers have access to a basic API for free up to a specific threshold and transition to pay-per-use in a tiered pricing model when they exceed that limit. This model is quite often used to explore API use cases, test your APIs, or make quick a proof of concept. You can learn more about other models in depth [here](https://www.softwareag.com/en_corporate/resources/what-is/api-monetization.html). + +## Two common ways to monetize APIs + +Letβs take a look closely at the most common ways to directly monetize your APIs like the [Subscription billing model](url), where you charge your customers a flat monthly fee to access your APIs; and [Metered billing model](url), where you charge your customers based on the number of API calls they make. Review Comment: Remove hyperlink or add them properly. Current ones are 404s. ```suggestion Letβs take a look closely at the most common ways to directly monetize your APIs like the **Subscription billing model**, where you charge your customers a flat monthly fee to access your APIs; and **Metered billing model**, where you charge your customers based on the number of API calls they make. ``` -- This is an automated message from the Apache Git Service. To respond to the message, please log on to GitHub and use the URL above to go to the specific comment. To unsubscribe, e-mail: [email protected] For queries about this service, please contact Infrastructure at: [email protected]
