Research Report

Managed Services Pricing Survey Results

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Over the past seven years, over 150 companies have joined TSIA’s Managed Services (MS) discipline, with MS operations ranging from end-user IT support, to industrial equipment, healthcare and cloud managed service operations. Even within the same markets, it is very common for different providers to offer drastically different scopes of support, often leading to apples-to-oranges pricing comparisons that are often confusing to customers and the providers themselves.

However, every MS provider is faced with the same set of challenges and opportunities: how do they most effectively design, establish, and administer the prices of their services offerings to their customers. 

This survey was designed to gather detailed data about pricing models, mechanisms, and practices to help our members understand the most common and successful approaches to administering pricing in MS business today. Throughout this report, we will use these definitions as standards and section headers to discuss results:

  • Pricing Models: The models a company uses to set the price of service offers.
  • Pricing Mechanisms: The way the company charges the customer for service offerings.
  • Pricing Practices: The processes a company executes in order to design and administer pricing
Line-by-line results from this pricing survey are presented, with select data from the MS Benchmark Survey also included, where relevant. The summary at the end of this document provides a detailed narrative of all the major findings from the study.

Authored By:

Jeff Connolly

Vice President, Managed Services Research, TSIA

Publish Date: October 17, 2019

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