There are three main factors that drive companies towards the consumption model:
- Business Maturity - As a consumption model relies on a complete understanding of how clients use your products and which aspects are most commonly utilized, the vast majority of companies that move towards a consumption model are mature companies that have a deep level of self-understanding about usage data.
- Virtualization - As companies move to the cloud, a certain cost is incurred for usage. If a customer is putting a strain on this service, you will need to pass that cost incrementally along the chain.
- Deriving Value - A consumption model directly represents the value that a customer derives against the cost they pay. With this, clients can be more specific about budgeting, using software services to the extent that they perceive the most value from.