Conference Presentation

Value Pricing in Professional Services

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In 2014 the TSIA Market Rates Study gathered detailed rate and pricing practices information about 28 PS organizations in tech companies: hardware, software, and SaaS. During this workout session we will raise some provocative questions raised by the study and discuss their implications for value-based pricing. Here are a few questions:

  • In the eight-year history of the rates study, 2014 showed the biggest uptick in movement to market-based or value-based pricing. What are the implications?
  • PS rates across all positions vary by as much +/-$200 per hour, i.e., a PM rate may vary from $150 to $350 per hour in the US. What single variable explains that variation, and what does that say about the price-value relationship.
  • Discounting is prevalent in many PS organizations. Does discounting increase close rates? What explains higher levels of discounting? What are the business implications?


Presented By:

Timothy Matanovich

President, Value and Pricing Partners, LLC

Publish Date: May 5, 2015

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