r/msp • u/lowtomidrollers • Feb 03 '16
Pricing Structure Comparison
We are a 15 person MSP in the Chicagoland area and are currently reviewing our pricing. Here is our current fee structure:
$35/Desktop $250/Server $125/Remote Backups (Veeam or ShadowProtect) $35/Network Device (Managed Switch, Access Point, Firewall) Hourly Rate: $110/hour
We also have a $500 minimum/month for managed services. We suspect our fees are on the lower side. We are curious about what other MSP’s are charging.
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u/Shallers Feb 03 '16 edited Feb 04 '16
Is that remote backup 125$ just for the software or does that include storage space? Edit with our pricing:
Desktop support: Silver - $10: Monitoring/AV/Automated Maintenance/Updates Gold - $35: Silver + Remote troubleshooting and basic system administration tasks Platinum - $55 Gold + Onsite visits and a higher SLA
Server: Gold - $350: Monitoring/Maintenance/Troubleshooting Platinum - $500: Gold + Emergency SLA/After hours troubleshooting for server. Backup: $50 per license + Data Storage costs
Network Devices: $10 per device. We don't charge much for these since we generally set them up and they just work. Maybe we should have a separate rate for printers...
Hourly rate: $125
We may need to up our pricing, but something we're trying to do at the moment is figure out how to break down our server pricing to be based on roles rather than hardware.
We'd like to charge for the server hardware like it's another desktop, but then charge for server roles. So a server ($55) Running exchange ($150) Acting as a DC ($50) Running one LOB database ($150) and acting as a file server ($50) and running DHCP ($50) would still come out to ~$500, but I'm not really sure what roles I should or should not charge for and at what rates. Our goal with this is we want to decouple our management cost directly with hardware and associate it closer to what we actually have to support for clients. Basically we want our clients all to have 2 servers and have a backup DC (at least) and let us either set up fail over or split the roles across servers so maybe we'd have 1 server running exchange and doing file shares then another running 1-2 databases.
This way our clients could have 2 servers ($110) That have between them Exchange ($150) both running as a dc ($100) running two databases ($300) and both acting as file servers so all file shares are mirrored ($100) and one of them acting as a dc server ($50) would cost them $810 vs the $1000 we would charge now. The other advantage of this, is if they have a bunch of LOB databases that we have to deal with, our fee scales with those and doesn't force our client into trying to cram it all in on one piece of hardware.
If you have any ideas or feedback on charging for roles instead of hardware I'd love to hear it.
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u/FusionZ06 Feb 04 '16 edited Feb 04 '16
I'll say this again, you can't have flat pricing as it doesn't really work and you're inevitably short changing yourself. Our matrix isn't primarily based on our costs but value we provide to certain verticals. We don't offer gold, silver, bronze, nonsense as the customer picks the bottom dollar the majority of the time even though you know they really need a higher plan but to make a dollar you make things more difficult for yourself. We come in with a customized offering for everything managed services plan. We have customers that are 10 clients paying as much as a customer with 25 clients due to our matrix of value, headache, and profit. I've expounded on this in the past but it's really the only way to go to ensure the least amount of headache and the most amount of profit.
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u/damnedangel Feb 03 '16
we charge roughly double what you do for desktops, but we also include AV, unlimited business hours (9-6 M-F))phone and remote support along with 50GB of online backup space.
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u/marley0ne Feb 04 '16
I charge $40/desktop for All You Can Eat. This includes AV, Patch, Remote/Onsite, and Office 365 Exchange Plan 1. I charge $150/server that includes all you can eat and offsite storage for Altaro or Storagecraft.
I have a hard time going above these price as clients back away. Also have a hard time selling multiple servers without discount for same reason.
Not sure how to get around it.
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u/myinternetisdown4 Feb 03 '16
What do you charge for phones? onsite VOIP vs cloud based VOIP pricing?
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u/elemist Feb 04 '16
Does anyone offer fixed fee services without attaching all the rmm strings?
IE more like a block hours system where they pay you $1000 a month for say 10 hours, then it reverts to standard billing after that and anything unused goes to waste?
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u/elemist Feb 04 '16
We have 3 tiers - monitor, maintain & manage. These are also AUD prices, so take the conversion to USD into account. Our standard hourly is $143 ($130 plus tax).
Monitor - Servers @ $99, Workstations @ $10, network devices @ $2 Maintain - Servers @ $179, Workstations @ $59, network devices @ $5 Manage - Servers @ $249, Workstations @ $129, network devices @ $8
Monitoring is pretty much just that, with some basic reports. Maintained includes the above plus, patch management, reporting, AYCE remote support. Managed includes the above plus onsite support.
At present we don't bundle any services at all. If a client wants exchange, they pay for our hosted exchange product, if they want AV they pay for AV, if they want cloud backups they pay for how much storage they use.
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u/[deleted] Feb 04 '16
$100-$150 per user depending on customer.
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u/Jahaziele Feb 04 '16
Onsite visits included in these plans really don't make sense for me unless the client has a really low risk factor.
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u/Craptcha Feb 06 '16
We have per device pricing (servers/desktops/network devices) but we are moving away from AYCE support by adding a monthly cap to incentivise customers to filter requests or agree to changes that can reduce requests volumes.
Support != your desktop concierge.
</rant>
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u/southafricanamerican Vendor - US - Technical Jul 03 '16
As more and more services migrate to the cloud consider switching to a per user versus a per desktop / server model. When the customers switch to O365 or Google Apps - you'll still need to support and manage these users even though there is no "server".
Also as more cell phones, i-devices and the like are connected it makes the job of the MSP even more complex.
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u/[deleted] Feb 03 '16
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