Gartner Research

Choose the Right API Monetization and Pricing Model

Published: 04 March 2019

ID: G00382797

Analyst(s): Saikat Ray , Mark O'Neill , Paolo Malinverno, John Santoro


Selecting the right API monetization model is difficult because most APIs have indirect business benefits. Application leaders should treat APIs as products, which involves viewing them from the perspective of targeted buyers, and select pricing and monetization models accordingly.

Table Of Contents
  • Key Challenges


  • The API Monetization Journey


  • Identify Your Target Audience Before Trying to Monetize Your APIs
    • APIs as Products
  • Build Flexibility Into Your API Pricing Model
    • Private/B2B APIs
    • Cost Recovery for Internal APIs
    • Monetizing APIs via an Application Ecosystem
    • Enhanced Services: Monetizing Aggregated Data, Including Customer Data
  • Ensure Your APIs Are Easy to Use, Stable, Well-Documented and Well-Supported Before Attempting API Monetization
  • Ensure Your Chosen API Management Solution Supports API Monetization

Case Study

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