May 8, 2020

MSP Pricing Best Practices

There are many types of managed services pricing models being used today. Whatever model you use, risk should be accounted for somewhere in your pricing of managed services offerings. Towards that goal, risk-based pricing is an effective overlay to your existing pricing scheme and something every MSP should evaluate. Put differently, risk-based pricing is a necessary ingredient to whatever pricing model you happen to use.

If you use per user/seat pricing, risk-based modeling can be overlaid; if you use per device pricing, same thing.

Risk-based pricing is protection for our MSP practice. It insulates it from risky clients unaware of what they should be doing, or unconcerned that their risky behavior is negatively impacting their MSP (and all the other client’s the MSP manages).

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