6 Frequently Used LMS Pricing Models

LMS Pricing Models - Best 6 Frequently Consider

In this article, we’ll look into different LMS pricing models and their cost structures, and give you step-by-step instructions on how to pick the best choice for your training goals.

When selecting an LMS program, there seem to be numerous factors to take into account. Is it straightforward? Is it equipped with all of the necessary components? Will it provide mobile-ready content to your corporate learners? The price is among the most essential considerations. Is the Learning Management System actually affordable for your company, and is it a good investment? This article covers six LMS pricing strategies. Keep reading to learn more.

What is an LMS, exactly?

A learning management system is a tool that aids in the administration of education in a business or educational system. It’s like having your own virtual school where your students can access training materials, complete online classes, and exams, and you can track their progress.

Here are some LMS characteristics that make it your go-to tool:

  • User administration: You can add and modify users, divide them into clusters, and give them responsibilities in an LMS.
  • Content administration: On a unified platform, you can post, organize, and distribute learning resources.
  • Evaluation of achievement: An LMS allows you to evaluate the performance of a single student or an entire class. It collects data on responses, tries, time spent, and more and generates complete reports for you.
  • Automation of instruction: Requests, enrollments, alerts, deadlines, and other chores can all be entirely automated in an LMS, allowing you to focus on other things.
  • Blended training: An integrated calendar allows you to schedule live training sessions and notify users about impending activities. Some LMSs allow you to host web conferences directly from the dashboard.

Benefits Of Using An LMS Systems

If you’re still unsure what an LMS is or why you must use one, consider the following advantages.

  • Economic benefits: Using an LMS to educate and train employees reduce employee turnover, improve training investment and usage, and saves the amount of money spent on facilities and educators. An LMS is a no-brainer in terms of cost reductions.
  • Training uniformity: Since an LMS is centered, instruction and course distribution are uniforms. Providing a sole informational source, course content, and procedures makes sure that all trainees gain consistent education and training.
  • Easy to track learner progress and achievement: Companies may easily produce training results at the user/student level with LMSs. To use an LMS for eLearning courses and/or courses online, educators may quickly track target performance, cognitive gains, ROI, and much more.
  • Meet requirements for regulatory compliance: To remain in conformity, several industries may be required to educate, analyze, and report. These companies include oil and gas, pharmaceuticals, telecommunications, manufacturing, and infrastructure. An LMS can help you meet these legal and regulatory requirements.

Learning management systems, overall, have a lot more abilities than those mentioned. These are, nevertheless, the most frequently preferred selling points and top indicators of if you and your company may benefit from an LMS.

6 Common LMS Pricing Models

The pricing system of the LMS software must correspond to the needs of your company. Pricing schemes can be divided into various categories. We’ve compiled the most widespread LMS pricing models based on the number of learners in your business to make life easier for everyone. Here are the six most common LMS pricing models for learning management systems to consider.

1. Licensing

The LMS is licensed on a month-to-month basis. This contains an infinite number of active and inactive users. A guarantee is also required by some LMS vendors. You should, for instance, sign a two-year contract. The license is sold as a set of predefined features. Updates normally need an additional monthly or annual charge.

2. Pay Per User

This LMS pricing system entails paying for every user of the LMS, which is typically cloud-based. The LMS supplier is in charge of the product’s hosting. This comprises maintenance and updates regularly. As a consequence, you won’t have to spend any money on upkeep. You could instead concentrate on creating and distributing efficient virtual learning information for your target market.

3. Pay Per Active User

Among the most cost-effective solutions is to pay per active user because you only spend for customers who regularly use the Learning Management System. This LMS pricing model can be approached in two ways. The first is to cost each customer who logs into the LMS during the pay period. They have unlimited access to your complete virtual learning course library after their initial login.

4. Pay Per Registered User

You spend for every individual who registers for the LMS in this case. To access the LMS system, the user needs first to create a username and password. Instead of paying for every member of your organization, you only spend for those who freely register. It is also an excellent choice for businesses looking to market their online courses.

5. Purchase Outright Or Perpetual

You can choose an LMS that provides full ownership if you would not want to stress about monthly or yearly costs. A perpetual license is another name for this. You must make just one payment to have a membership to the LMS platform. The disadvantage is that most Learning Management Systems require payment for updates and upgrades. In most cases, you must additionally download the software rather than using the cloud to access it.

Options for Free

There are different kinds of free LMS options to search for when you’re on a restricted eLearning budget:


This free option needs less technical knowledge but offers fewer features. In some circumstances, the LMS provider offers a free version of their paying service. It’s the same LMS but without the built-in content and support systems. For a monthly subscription, you may add on more services and amenities.


These LMS software are often free to use, but they do require some technical knowledge. This is because they are built using open-source code that necessitates programming and HTML skills. They do, however, usually have engaged online forums with tips, techniques, and guidance, as well as virtual learning sessions and FAQs.


It’s not quite as hard as it sounds to select an LMS software that fits your pockets. This article listed six popular LMS pricing models. We also discussed the advantages of using LMS software.

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