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Set pricing for training


I need to set prices for training on our products and services that we will be delivering to our clients. I have no idea where to start. Any suggestions or articles you can point to? Much appreciated.
Shirley Nelson

3 Responses

  1. Training Costs
    Hi Shirley,
    I had the same problem, our accounts department asked for a list of costs per day (wages, heating, lighting, materials etc), from that the came up with a ball park figure. Using those figures a pricing structure for 2003 was created. It works pretty well.
    Contact me and I’ll get you going.


    Pat Martin

  2. Charging for training
    I agree with the idea of asking accounts to factor in your costs and then arriving at a reasonable figure the only thing I would add is if there are company’s offering similar courses then you also run a price comparison on their courses. If your accounts department indicate for example that you need 6 delegates @ £150 each to make the day profitable but you determine that your competitors charge £450 per delegate per day then you will have considerable scope to increase your charges.

    If the training course is for bespoke software or something where you do not have a ready comparison for charges then you can charge what the market will bear – talking to your clients may help you gauge this.

  3. What’s it worth to the client?
    Whilst checking out your costs is a good way to establish a minimum/breakeven cost, the charge to the client needs to relate to what the offering is worth to them. You might be able to do it for £100 per day, but if the ‘trainees’ go back to work and save the company £100 per day then the course has been worth MUCH more and should be priced appropriatey. This approach takes us into the realms of RoI for training, of which there is a great deal written elsewhere in TrainingZone.
    Having said all that, the market clearly drives your pricing to a significant extent – but not exclusively, perhaps you have something that will differentiate you and allow you to charge more (we have won contracts despite the fact that we were not the lowest bidder, just because what we offered in terms of experience and expertise justified the extra in the eyes of the client).

    No answers then, just some stuff to think about.


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