6 Steps of Moving to Value Pricing

Chart depicting margin progression as outlined in articleYou’ll end up with 4 main KPIs.

By Rob Nixon

The idea of value pricing is that your clients know how much the price will be before the work commences and you get a healthy margin in return for your intellectual capital/property.

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With the implementation of value pricing your average hourly rate (AHR) should increase dramatically. There are two ways to measure AHR.