What are the different ways to charge for usage? Monetization Strategies for Property Managers
The Plugzio platform offers property managers an array of strategies to establish usage rates and monetize electric vehicle (EV) charging services. In this article, we discuss the most prevalent options available.
The platform allows you to mix and match the following monetization strategies to best suit your needs.
Per hour charging
Best for: Most usage scenarios
This is the most popular method for charging users on the Plugzio platform. You can charge users per hour of usage, similar to renting a parking space equipped with an outlet or charger.
Per kWh charging
Best for: Transparent usage charging
Charging per kWh is the most transparent way to charge users for EV charging services. However, charging per kWh may be illegal in many North American cities, so charging per hour is often the preferred alternative.
With this strategy, users are charged a flat rate each time they activate a charging device.
Per Fixed Period (Daily or Monthly fees)
Best for: Premium parking spaces
This approach enables you to charge users a flat fee for a fixed duration, which is ideal for premium parking spaces with charging infrastructure.
Time of Use (Dynamic Pricing)
Best for: Utilities with time-of-use pricing
This strategy allows you to set different usage rates for various times of the day or days of the week. You can also disable devices on a specific schedule.
Session Based
Best for: Public locations to increase turnover
With this approach, the usage rate can change based on the duration of a user's charging session. For example, the rate could be $1 per hour for the first two hours, then increase to $5 per hour afterward.
When activating a device, users will see the usage rate for the next 24 hours, ensuring transparency and preventing any surprises regarding rate increases.
Idling fee
Even though our platform supports idling fees, but we have observed that implementing idle fees may not be the most effective approach to promoting turnover at electric vehicle (EV) charging stations.
Our research indicates that EV owners can easily bypass idle fees by adjusting the power intake from the charging station. For instance, if a charger can deliver 10kW per hour and an EV requires 20kW to reach a full charge, the vehicle should ideally complete charging within two hours. However, in locations with idle fees, we have noticed that some EV owners reduce the power intake from 10kW to 3kW, which significantly extends the charging time and avoids triggering idle fees.