Simplify contract discount structure with 4 levers framework

[Scott-Sowers-PostHog]

Changes

This PR simplifies and restructures our contract discount documentation to align with the 4 discount levers framework, making it more transparent and easier to understand for both sales teams and customers.

Key improvements:

• Clear separation of 4 discount levers: Volume, Timing of Cash, Length of Commitment, and Ability to Forecast (mutual timing)
• Simplified volume tiers: Added 25% tier for $60k-$100k purchases, with progressive discounts up to 40% at $500k
• Implemented mutual timing lever: 5% discount for predictable commitments and early renewals
• Added Platform Adoption Bonus: 5% bonus credits for multi-product usage (3+ products at $1k+/month each)
• Clarified payment terms: Net 30 as standard with penalties for extended terms
• Cleaner examples: Replaced complex table with two clear code-style examples
• Based discounts on credit purchase amount rather than post-discount spend for clarity

Business rationale:

Each lever represents real value exchange:

• Volume discounts reflect economies of scale
• Upfront payment improves cash flow for product investment
• Multi-year commitments reduce acquisition costs
• Mutual timing helps both parties plan resources effectively

Checklist

• Words are spelled using American English
• PostHog product names are in title case
• Titles are in sentence case
• Feature names are in sentence case
• Use relative URLs for internal links
• If I moved a page, I added a redirect in vercel.json (N/A - no pages moved)

[vercel]

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Project	Deployment	Review	Updated (UTC)
posthog	Ready	Preview	Dec 20, 2025 2:41am