As the economy suffers, some afflicted vendors are regearing pricing models to “go high or go low.” Accounting solutions consultants are no different.
Given that there will be less money on the table to fund accounting system software implementations, some accounting services consultants will aim to stay profitable by upping the ante on companies still in a position to spend. The targeted end result is fewer but more lucrative contracts.
In this scenario, look for offerings containing all types of grandiose “needed” accounting software add-ons and services to justify the additional expense.
The second model is akin to a fire sale. Figuring that budgets will be very tight, consultants will cut their pricing to remain competitive. Of course, since their profitability requires maintaining some type of margin, this model presupposes accounting software implementations “on the cheap.”
In this scenario, expect a low level of accounting software service commensurate with your expenditure.
Neither model properly serves the accounting services client. To avoid being victimized, following are some initial steps to consider:
1. Get a baseline from which you can assess/evaluate additional options. While not foolproof, one relatively reliable technique is to find out how much a web-based consultant will charge for particular projects, updates and customizations.
Besides the fact that web-based services are growing in scope and sophistication, they tend to stay more stable pricewise in the face of adversity. They already are geared, at least somewhat, to high volume and lower prices. And, because so much that once was the sole purview of an on-site consultant is now available via self-directed training and rapid implementation tools that come with the accounting software, web-based assistance may fulfill remaining needs admirably—and affordably.
You may find that the web-based provider is adequate to do the job, or you can use the information to compare and contrast with other providers—on-site or online.
2. Get updated about the accounting system software you’re using. If you’re not already up to speed on the latest and greatest related to your accounting software, do some research. Three primary research tools are:
a) online—search via objective web, blog, and news sources for information about the product or process you need. String together consistent findings from these searches to help complete the jigsaw puzzle;
b) talk to an accounting software-savvy trusted advisor who can help you cut to the chase;
c) gather accounting solutions information from a trade association or organization dedicated to your industry.
3. Redouble efforts to get accounting solutions references. To help make sure they’re valid, attempt to locate two or three yourself, rather than just pursuing ones offered by the accounting services vendor.
Stay alert and attuned to pricing quirks. You’ll come out way ahead in the long run.
