{"id":128076,"date":"2024-07-28t12:00:36","date_gmt":"2024-07-28t16:00:36","guid":{"rendered":"\/\/www.g005e.com\/?p=128076"},"modified":"2024-10-26t07:38:31","modified_gmt":"2024-10-26t11:38:31","slug":"revenues-rising-as-pricing-models-evolve","status":"publish","type":"post","link":"\/\/www.g005e.com\/2024\/07\/28\/revenues-rising-as-pricing-models-evolve\/","title":{"rendered":"revenues rising as pricing models evolve"},"content":{"rendered":"
<\/strong><\/p>\n boosting your bottom line could come down to better billing.<\/strong><\/p>\n by 卡塔尔世界杯常规比赛时间 research<\/em><\/p>\n one thing cpa practices aren\u2019t complaining about is revenue. according to a thomson reuters survey conducted in the first quarter of 2024, 72 percent of 500 respondents say their firms\u2019 revenues increased over the previous 12 months.<\/p>\n <\/p>\n average increase: 24 percent.<\/p>\n not bad, if you like money. a strong economy explains some of the growth, but other factors are working in the industry\u2019s favor:<\/p>\n how best to bill?<\/strong><\/p>\n that latter strategy \u2013 better billing \u2013 explains a lot.<\/p>\n traditional time-based billing<\/strong> is still the most common pricing model, in use at 66 percent of responding firms. but 22 percent have no plans to use it in the future.<\/p>\n almost as common now is flat-fee pricing<\/strong>, implemented in 62 percent of firms, though 30 percent have no intention of offering that option.<\/p>\n just over half \u2013 53 percent \u2013 are shifting to flat-fee\u2019s cousin, project-based pricing<\/strong>.<\/p>\n and 48 percent are figuring out how to use value-based accounting<\/strong>, with another 18 percent planning to do so.<\/p>\n other billing models are less popular but with disparity by size of firm.<\/p>\n the trick<\/strong><\/p>\n the paradoxical trick is how to increase revenue while giving clients a break.<\/p>\n it turns out that clients are increasingly seeking predictable pricing rather than possibly less costly time-based models.<\/p>\n in the last five years, 51 percent of clients have shown no preference regarding time-based pricing. they could take it or leave it. however,<\/p>\n raising prices<\/strong><\/p>\n client preferences certainly figure into decisions to adopt new pricing models, but ultimately, accounting firms are angling to increase revenue and cash flow, especially from new and nontraditional advisory services.<\/p>\n <\/p>\n the choice of pricing model doesn\u2019t appear to be impacting the raising of prices. firms are successfully increasing prices no matter how they calculate them.<\/p>\n and apparently the increases aren\u2019t bothering clients.<\/p>\n if clients are willing to pay a premium for predictability, and if they are willing to pay increased fees, and if there\u2019s a variety of pricing options, cpa firms have every reason to reassess how \u2013 and how much \u2013 they charge.<\/p>\n","protected":false},"excerpt":{"rendered":"more: <\/b>150 credit hours: helping or hindering?<\/a> | can\u2019t recruit? retain!<\/a> | is tech causing both cpa shortage and low salaries?<\/a> | staffing tops list of woes at cpa firms<\/a> | why the dry pipeline? it\u2019s about time<\/a> | whole person retention: when it\u2019s not just the money<\/a> | seven enticements to keep talent on board<\/a> | disruptors: talent crisis? what talent crisis?<\/a> | seven steps to a stronger future<\/a> | auditing standards \u2018yellow book\u2019 updated<\/a> | compensation\u2019s up, but up enough to retain staff?<\/a>
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\nand the future looks pretty good, too. sixty-eight percent of respondents expect an average increase in revenue of 21 percent. only 5 percent fear a decrease.<\/p>\n\n
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