Pricing your API#
This guide helps you set effective prices for your API. Good pricing balances value for your customers with sustainable revenue for your business.
Understanding atomic units#
USDC has 6 decimal places. Prices in Kobaru are specified in atomic units:| Price (USD) | Atomic units | Amount string |
|---|
| $0.000001 | 1 | "1" |
| $0.001 | 1,000 | "1000" |
| $0.01 | 10,000 | "10000" |
| $0.10 | 100,000 | "100000" |
| $1.00 | 1,000,000 | "1000000" |
Example: To charge one-tenth of a cent ($0.001) per request, use amount: "1000".
Pricing strategies#
Per-request pricing#
Charge for each API call. This works best when:Requests have consistent value
Usage varies widely between customers
You want simple, predictable pricing
Bundle pricing#
Sell packs of requests at a discount. This works best when:You want to encourage larger purchases
Customers prefer predictable costs
You want to reduce transaction overhead
Time-based pricing#
Charge for a period of unlimited access. This works best when:Customers need high-frequency access
You want to simplify billing
Pricing examples by API type#
Data APIs#
| Endpoint type | Suggested price | Rationale |
|---|
| Simple lookup | 0.0001−0.001 | Low compute, high volume |
| Search query | 0.001−0.01 | Moderate compute |
| Analytics report | 0.01−0.10 | High compute, lower volume |
| Real-time feed | 0.10−1.00/hour | Continuous access |
AI/ML APIs#
| Endpoint type | Suggested price | Rationale |
|---|
| Classification | 0.001−0.01 | Fast inference |
| Text generation | 0.01−0.10 | Variable compute |
| Image generation | 0.10−1.00 | High compute |
| Training job | 1.00−10.00 | Intensive compute |
Compute APIs#
| Endpoint type | Suggested price | Rationale |
|---|
| Validation | 0.0001−0.001 | Minimal compute |
| Transformation | 0.001−0.01 | Moderate compute |
| Rendering | 0.01−0.10 | Heavy compute |
Volume discounts#
Reward high-volume customers with tiered pricing:Option 1: Larger bundles#
| Bundle | Price | Per-request cost |
|---|
| 10 requests | $0.01 | $0.001 |
| 100 requests | $0.08 | $0.0008 (20% discount) |
| 1000 requests | $0.60 | $0.0006 (40% discount) |
Option 2: Time-based tiers#
| Duration | Price | Effective hourly rate |
|---|
| 1 hour | $0.10 | $0.10/hr |
| 24 hours | $2.00 | $0.083/hr (17% discount) |
| 7 days | $10.00 | $0.059/hr (40% discount) |
Competitive analysis#
Before setting prices, research comparable APIs:1.
Find competitors - Search for APIs offering similar functionality
2.
Note their pricing - Per-request, subscription, freemium?
3.
Calculate equivalent cost - Normalize to per-request for comparison
4.
Consider your differentiators - Speed, accuracy, features, support
Example comparison#
| API | Pricing model | Equivalent per-request |
|---|
| Competitor A | $50/month for 100K requests | $0.0005 |
| Competitor B | $0.002 per request | $0.002 |
| Your API | Pay-as-you-go micropayments | $0.001 |
Position yourself based on value, not just price:Lower price = Volume play, aggressive growth
Matching price = Compete on features
Higher price = Premium positioning, better service
Testing your pricing#
A/B testing approaches#
1.
Different endpoints - Price similar endpoints differently
2.
Time-based tests - Change prices and measure impact
3.
Customer segments - Offer different prices to different users
Metrics to track#
| Metric | What it tells you |
|---|
| Conversion rate | Are prices too high? |
| Revenue per user | Are prices too low? |
| Churn rate | Are customers leaving? |
| Request volume | Is usage growing? |
Common mistakes#
1. Pricing too high#
Symptom: Low conversion, abandoned transactionsSolution: Start lower and increase based on demand2. Pricing too low#
Symptom: High volume but unprofitableSolution: Calculate your costs and ensure margin3. Complex pricing#
Symptom: Customer confusion, support ticketsSolution: Keep pricing simple and transparent4. No free tier#
Symptom: Developers don't try your APISolution: Offer devnet testing or limited free access
Quick reference#
atomic_units = price_in_usd * 1,000,000
Common prices#
| USD | Atomic units |
|---|
| $0.001 | 1000 |
| $0.005 | 5000 |
| $0.01 | 10000 |
| $0.05 | 50000 |
| $0.10 | 100000 |
Modified at 2026-01-04 13:56:55
