The Hidden Costs of Pay-Per-User Training Models

February 15, 2025 Peritus Team Training, Cost Analysis
Hidden Costs

When evaluating e-learning solutions, the pricing model is often a decisive factor. Many providers offer a pay-per-user approach, which seems straightforward but can hide significant costs that impact your training budget and effectiveness.

At Peritus Learning, we believe in transparent pricing that aligns with your organization's growth. Let's explore the hidden costs of traditional pay-per-user models and why an unlimited-user approach might be more cost-effective for your business.

1. Scaling Challenges

As your organization grows, so does your training budget under pay-per-user models. This creates a disincentive to expand training to new employees or departments, potentially limiting your organization's development potential.

  • The Hidden Cost: Growth penalties. The more successful your organization becomes, the more you're penalized with higher training costs.
  • Solution: An unlimited-user model allows you to scale your training efforts alongside your business growth without incurring additional costs.

2. Budget Unpredictability

Pay-per-user models can lead to fluctuating expenses based on employee turnover, seasonal hiring, or project-based staffing. This makes it challenging to forecast and maintain consistent training budgets, often resulting in unpredictable costs.

  • The Hidden Cost: Budget uncertainty. These models can create unplanned expenses that disrupt your financial planning.
  • Solution: A flat-fee, unlimited-user model ensures you know exactly what you're spending year-round, regardless of changes in workforce size or training frequency.

3. Limited Access for Employees

With pay-per-user pricing, organisations often restrict access to training in an effort to save costs. This limits opportunities for employees who may need it the most, such as remote workers, new hires, or those seeking to upskill for leadership roles.

  • The Hidden Cost: Lost potential. Employees without access to learning may feel disengaged or unprepared, ultimately affecting productivity and retention.
  • Solution: Unlimited access empowers every employee, at every level, to develop their skills and contribute more effectively.

4. Administrative Burden

Managing licenses, tracking user access, and ensuring compliance can create a significant administrative burden under pay-per-user models. HR and L&D teams spend countless hours managing training accounts, reallocating licenses, and ensuring usage aligns with budgets.

  • The Hidden Cost: Time and effort spent on administration rather than strategic initiatives.
  • Solution: An unlimited-user model simplifies administration, allowing your team to focus on creating impactful training strategies instead.

5. Higher Cost Per User Over Time

At first glance, pay-per-user pricing may appear affordable. However, as your team expands and training needs increase, the cost per user often exceeds expectations, especially if you're training in high-demand areas like compliance, leadership, and IT.

  • The Hidden Cost: Long-term overspending. What starts as a "cost-effective" solution can become disproportionately expensive over time.
  • Solution: By paying a flat fee for unlimited users, you maximize ROI and keep costs low, no matter how many employees you train.

Why It's Time to Re-think Pay-Per-User Models

The hidden costs of pay-per-user training models can undermine your L&D goals, limiting your ability to scale, budget effectively, and provide widespread access to training. At Peritus Learning, we've designed our solution to eliminate these pain points.

Our high-quality, low-cost course libraries offer unlimited access for a flat fee that's better value than you'll find anywhere else. Our library of 150 courses is priced at just £1,995 - this is the total you pay for the first year, with unlimited users. It's training that grows with your business - without the hidden costs. We're already trusted by some big names including Gymshark, Footasylum, Wickes, Barnardo's, Brush Group, Motorpoint and many more.

Want to Learn More?

Contact us today to explore our affordable e-learning content and find out how an unlimited-user model can transform your training strategy and save your organisation time and money.

Schedule a demo: https://meetings.hubspot.com/robert-swift/product-demo

Email: info@perituslearning.co.uk

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