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How to Choose the Right Pricing Model for Your LMS Implementation

LMS Implementation

Pricing models of the learning management systems are one of the biggest differentiators you will come across while choosing your own ideal LMS. There are different types of models that can be used according to your requirements and your total allocated budget. 

Let’s find out about some of the most popular pricing models for Learning management systems. 

License fee/ Subscription 

Subscription is one of the simplest pricing models to deal with as you only have to pay a significant amount of fees for the system and then you can add as many users. Just like Articulate 360 pricing that comes under that subscription model, many vendors keep options for different sizes of license fees depending upon the specific number of features the package offers. 


This pricing model requires you to pay for a certain number of learners. There is usually a minimum number of learners that you have to pay for and then the price keeps increasing based on how many learners you are paying for. 


Pay per learner model doesn’t really guarantee that all the learners you have paid for will actively engage with the training program. Thus, this model addresses the problem and gives you access to an unlimited number of users, and only charges you for the active users that logged in during the pay period. 

Pay as you go 

This model is pretty tricky as it enables you to pay according to the usage; you may pay very little during the off-peak periods but will have to pay a fortune when there are too many users logging into the system. 

Free Software 

This model is not exactly a pricing model but it can easily encompass all the free LMS solutions like free trials, freemiums, and even open-source systems that can be used and modified easily without any investment. If you require a new software, you can outsource the job to a qualified software development company.

How to choose the ideal model for your business 

Choosing the right LMS pricing model can be a bit difficult when you don’t have a proper plan as there are a lot of vendors available that have different pricing models and different prices. So, how do you handle the hassle of choosing the ideal model for your business in the minimum number of trials? Let’s find out! 

Calculate your user count 

Understand how many learners are going to use your system. Make sure that all of them will actually be using the system to access your courses so that your money doesn’t go to waste in case you are opting for a pay-per-learner model. If the user count is going to be unstable or it is unpredictable at the moment as per how your learners are going to take it, it is better to opt for the pay-per-active-learner model. 

Determine the use time 

After you have got hold of the number of learners you are aiming to teach, make sure you also calculate the use time i.e. how much time each user is going to use the learning management system. Understand if your users are going to be the same people every time or if the set of people is going to keep changing, for example, a system for onboarding training where the users keep changing as new batches of professionals are onboarded every time. 

Estimate the number of courses you are going to upload

Some learning management systems charge you for the storage space that is needed for the courses that you have uploaded. In that case, estimate how many courses are there that you wish to teach your learners and make a rough budget plan about it. 

Define features and integrations 

Different vendors provide different features and integrations. So, define your learning goals and objectives and see which features and integrations are needed to fulfill those goals. Once that is done, you will be able to compare different LMSs on the basis of the features and the cost charged for those essential features. 


Not every pricing model is ideal for everyone. Understanding your organization’s learning goals, users count, use time, and the features and tools you need to teach these learners can help you understand what you need; without losing a lot of money or time.

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