In this article, the author discusses the importance of separating the concepts of a “Billing Engine” and a “Pricing Engine” when it comes to implementing pricing strategies. They argue that mixing these concepts can lead to disaster and that many companies struggle with this issue. The author explains the typical approach to pricing implementation and highlights the problems that can arise when the pricing model is scattered across various components. They propose the idea of a comprehensive Pricing Engine that simplifies the setup of a Billing Engine and reduces the complexity of managing billing-related metadata. The author emphasizes the importance of being able to easily iterate pricing strategies for a company’s success and growth. They introduce Tier as a comprehensive Pricing Engine that aligns all components and adapts to changes in the business.
https://www.tier.run/blog/pricing-engine-vs-billing-engine