SEAT BASED BILLING: A STRONG OPTION TO HELP YOU SELL.
Andrew Palmer, 30 May 2017
One of the main trends coming out of the US and that was heavily discussed on our trip to ITEX last month was Seat Based Billing (SBB).
While this concept is not new, the uptake has been slow. Despite this, data out of the US is showing that as the range of services being provided to end-users increases, so is their desire to engage via a Per Seat Solution.
What is Seat Based billing?
SBB for Managed Services is a flat fee billed per end-user per month and covers access to all devices and service. This may be just for print however it is most effective when IT, Print, Phones, Software and Document Management are sold together as a solution. Then you can provide an all-encompassing Per Seat Solution.
- SBB can simplify billing for the end-users’ accounts department: Cost per page is hard to calculate and budget for.
- SBB helps start thinking about how to layer additional revenue on the seat. Look at the person, not just the device – different offerings.
- Recurring revenues for different offerings.
- CFO’s are increasingly using Per Seat Costing as a KPI in their business.
What’s wrong with cost per page?
- Margin pressure.
- No point of difference with your competitor.
- SBB Document allows for more product that just print.
- Old Hat and your customer MAY be looking for new ways to buy.
- SBB Billing is more predicable than Copy Cost.
Ultimately, we see a Seat Based Solution as just another option to help equipment vendors sell. At SER we look to make sure that our partners have every option covered when presenting to a client. Rental, Managed Services, Copy Cost, or Per Seat all have advantages and disadvantages, it just depends on what suits the customer, not only immediately, but also over the technology life cycle. However there is now no doubt that as we move towards a more diverse product and service offering Managed Services and Per Seat Facilities are the way to go.
If you have any questions on Seat Based Solutions or if you would like SER to discuss any of our finance solutions in more detail, please just let us know.
General Manager, S.E. Rentals
S.E. Rentals are the finance as a service specialists that will help you grow your business by providing finance solutions in an 'all things technology' future. We provide you with the flexibility, scalability and agility to help you achieve your Managed Service objectives, and our unique in-house software platform, Finance Oxygen, automates the process for you