Benchmarks: Pricing models for VMS
CWS 3.0 - Contingent Workforce Strategies
Benchmarks: Pricing models for VMS

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Despite an increasing buyer appetite for alternative VMS pricing models that are more aligned with the licensing approach offered by other enterprise software solutions, fee as a percentage of spend remains the predominant pricing model. There are some advantages to this for the contingent workforce program manager: It is simple to administer, and in the same way that the VMS benefits when volumes increase, the VMS provider and not the program carries the risk when volumes decrease.

Organizations are adopting a combination of fee types within a program as new and different sources of workers are managed within the VMS, so percentage of spend is not an appropriate model. The “other” category includes a combination of fee per FTE in the system and per timesheet processed.