Partner with TSIA
Diversity, Equity, and Inclusion
TSIA Giving Program
Customer Growth and Renewal
XaaS Channel Optimization
XaaS Product Management
XaaS Speaking Engagements
Become a Member
If you believe you are seeing this message in error,
please let us know.
As the world of managed services has evolved, there has been a proliferation in the diverse array of services offered, leaving the challenge of how to optimally price managed offerings increasingly difficult to overcome. This research, conducted through The Evolution of Pricing Models for Managed Services research journey, set out to uncover how managed services organizations are pricing their offers and which strategies and practices are associated with better business results. Two separate studies were conducted around pricing methodologies that are being employed by managed services organizations—a quick poll and a more in-depth follow-up survey. The results from the two studies confirmed that the majority of managed services organizations continue to rely heavily on the traditional pricing models of cost-plus or a market-based approach to pricing their managed services offerings. Companies that have already leaned into the more forward-thinking pricing models of consumption-based and value-based pricing are seeing more positive outcomes compared to those traditional models. The emerging outcome-based pricing model is still nascent in the industry and requires the correct offer design to be a successful pricing strategy. Further, a deeper look at the survey results revealed an association between particular best practices for pricing managed services and the improvement of key performance indicators (KPIs) around growth and profitability.
Ready to learn more? Keep up to date on this subject by subscribing to TSIA's Research Journey, The Evolution of Pricing Models for Managed Services today!
Director, Managed Services Research, TSIA
Principal Research Analyst, TSIA
Publish Date: November 3, 2023
TSIA is well worth the investment. This is the one place where you can come and get a fusion of ideas that you can then marry up to the goals and objectives of your organization and boil that down into several actionable plans that you can implement over the next 6 months to a year.
Peg Rodarmel, SVP, Subscription Services, Infor
The Technology & Services Industry Association (TSIA) is dedicated to helping technology and services organizations large and small grow and advance in the technology industry. Find out how you can achieve success, too. Call us at 800-876-6511 or we can call you.