Customer Orientation Archives

Usage-Based Pricing for Copilot Is Good for Microsoft’s Investors. Read That Sentence Again.

by Thomas Wieberneit | Jun 20, 2026 | Blog |

TheStreet ran a piece this week arguing that, of Microsoft’s two Copilot announcements, the shift to usage-based pricing matters more to investors than the DeepSeek flirtation. That read is correct. It is also the tell. Here is what Microsoft actually did. Copilot Cowork, the agent that reaches across Microsoft 365 to run multi-step work on your data, is coming off the flat per-seat add-on and moving onto consumption billing the company calls “Copilot Credits.” Charles Lamanna, who runs Copilot, told Axios the product could not be offered on an unlimited-use basis. The users he pointed to are the ones doing hundreds of tasks a week. He called them “way productive.” And then he said the part vendors normally keep off the slide: their costs go very high. So the most productive users are the expensive ones. Hold that thought, because the whole argument lives there. What “good for investors” is really saying A pricing model earns the label “good for investors” when three things are true. Revenue starts to track cost-to-serve. Revenue scales with consumption instead of sitting flat per seat. And the vendor stops eating the margin on its heaviest users. All three are true here. None of them is a statement about whether a customer got value. That is the gap I want to sit in for a minute. Usage-based pricing meters an input. Tokens, compute, credits, whatever the unit. The customer does not buy tokens because they want tokens. They want a finished report, a resolved ticket, a reconciled spreadsheet. The token count is the cost of producing the outcome, not the outcome. And the relationship...

A Bank Tale of Mystery and Imagination

by Thomas Wieberneit | Jul 11, 2016 | Blog |

After some investigation into SME CRM Nimble and Freshsales and travel management software traform today is the day of a reflection on customer orientation in one of the industries that managed to become almost indispensable in our lives. Banks. So let me tell you A Bank Tale of Mystery and Imagination But not an invented one. This is life in 2016. Imagine the following extremely uncommon scenario: You want a mortgage for a house. Imagine also that you have a fairly good income, so you want to pay down fast. After all interest rates in NZ are still pretty high compared to other developed nations – although they are very low for NZ standards. And remember – one of the basic premises of neoliberalism is that everybody has equal negotiation powers (the Kiwi in me says “Yeah, right” to that one …). What are the variables you have in a mortgage? The total amount, interest rate, pay down period, term of fixing the interest rate, unless you go floating, that is, and the start of the pay down. So you start doing some maths on what you are able and willing to regularly pay and start negotiating a rate, finally coming to an agreement, clearly communicating that you want a fixed term of one year, and a calculated pay down period of, say 10 years, and weekly payments. You are happy. The documentation arrives, actually three pieces of it. A summary of the agreement Terms and Conditions on about 30 pages of legalese. No need to go through it here; it basically details out that the bank has all...