Now is the Time to Rethink Pricing
The Radical Shift the Accounting Profession Needs
We’re living in a world of unprecedented change. The way we do business, interact with clients and even think about value is evolving at lightning speed. So, why are we still clinging to outdated pricing models? Why are we still tied to billable hours and hourly rates, when the world around us demands so much more?
It’s time to rethink pricing. Not tomorrow, not next year, but NOW.
Let’s talk about why the time is right for change, and why modern pricing models like value-based pricing are exactly what the profession needs to survive — and thrive.
The World Is Changing And So Should Our Pricing
Today’s world is a far cry from what it was even a decade ago. Technology is disrupting every single industry and accounting is no exception. But what’s not being disrupted? Our pricing models.
Think about it. We’re still stuck in this time-based, hourly billing model that was created during the industrial era. You’re basically charging for your time, not the value you bring to clients. And in a world where everything is measured by outcomes, why are we still so attached to a model that doesn’t align with the value we deliver?
The rise of automation, AI and data analytics means that the way we approach our work is being revolutionized. While machines take over more of the repetitive, low-level tasks, we’re left with the high-level strategy and advisory roles that require expertise and insight. So, what does that mean for how we charge clients?
It means the time-based billing model is rapidly becoming obsolete. And if we don’t change our pricing now, we’re going to fall behind.
Clients Want More Transparency And We Can Deliver It
Clients expect more than just a service — they expect results. They want clarity, transparency and predictability. No more wondering if that extra 10 minutes of work is going to show up on their bill. No more uncertainty about what the final cost will be.
That’s where modern pricing models like value-based pricing come in. By focusing on outcomes and deliverables, you’re not only meeting the expectations of today’s clients, you’re exceeding them.
With value-based pricing, you’re able to offer clear, fixed prices that align with the results your clients are looking for. It’s a win-win: clients know exactly what they’re paying for, and you’re getting paid based on the value you create, not the time you spend.
And let’s be real here. Clients want the certainty of predictable costs. They can get fixed-price packages from their software vendors, their outsourced marketing teams and even their local plumbers. So why should accounting be any different?
The Traditional Pricing Model Is Costing You Money
If you’re still charging by the hour, let me hit you with the cold, hard truth. You’re probably leaving money on the table. The traditional hourly model is inefficient. It creates confusion. It leads to scope creep. And, worst of all, it doesn’t allow you to capitalize on the full value of your expertise.
Here’s why it’s costing you:
You’re not being paid for results. Your time may be valuable, but it’s not the value your clients are paying for. They want results like better financial management, more efficient tax strategies and strategic business advice.
You’re priced to work more, not smarter. Charging by the hour rewards more time spent, not better outcomes. The more efficient you are, the less you get paid. Doesn’t make sense, right?
You’re stuck in a time-tracking nightmare. How much time have you spent justifying your hours to clients? How much time is wasted trying to track every minute? That’s time you could be spending on delivering higher-value work.
With a value-based model, you’re free from all of this. You can focus on delivering results, and get paid for the value you’re bringing to the table.
The Benefits of Rethinking Pricing
So, what happens when you make the switch to modern pricing models like value-based or fixed pricing? A lot, actually. Here’s what you can expect:
Predictable cash flow. No more chasing down payments or haggling over hours. With fixed pricing or value-based pricing, you know exactly what you’ll earn for each project.
Better client relationships. Clients appreciate transparency. They don’t want to wonder if their bill is going to include that extra phone call or meeting. With clear deliverables and pricing, you build trust.
Increased profitability. You’re no longer tied to the clock. You can charge based on the value you’re delivering, meaning you’re no longer leaving money on the table.
Improved efficiency. The less time you spend tracking hours and justifying work, the more time you have to focus on high-level advisory work — where your expertise truly shines.
A competitive edge. Firms that adopt modern pricing are setting themselves up for success in a changing marketplace. They’re able to scale faster, deliver more value and position themselves as leaders in the industry.
If You Don’t Change Now, You Will Fall Behind
You can’t afford to wait. The world of accounting is changing, and if you don’t change your pricing now, you’ll find yourself stuck in the past while the rest of the industry moves forward.
Now is the time to embrace value-based pricing. The benefits are clear, the demand is there and the tools to make it happen are already at your fingertips. The clients are ready. The technology is here. And the market is waiting for you to step up and redefine how accounting services are priced and delivered.
So, let’s make this shift. The time is now.
Discover how leaving the old ways behind can transform your business with a pricing strategy that truly makes sense for today's fast-paced world. Grab a copy of my book, “Radical Pricing: How To Optimize Profits, Delight Customers and Build A Top Value Firm,” today! www.cpa.click/RadPricing.