1. Client Overview

• Industry: IT Managed Services, Cloud, Security, and Unified Communications
• Business Size: $100M+ revenue with diversified offerings across public and private sector clients
• Location: Australia, headquartered in Sydney
• Client Context:
  NEXON is a fast-scaling technology solutions provider competing in a complex landscape of OEM licensing, managed services, cloud infrastructure, and recurring support contracts. While recurring revenue is strong, pricing capability has not kept pace with commercial complexity. Teams relied heavily on cost-plus structures and product manager discretion, lacking cohesive pricing logic, override controls, or formal value quantification frameworks.

2. Challenge / Problem

• Symptoms Observed:
  
  • Inconsistent pricing methodologies across service lines (e.g., UCaaS, Microsoft, managed services)
  • Heavy reliance on OEM price sheets and informal margins on labour or support SLAs
  • Lack of pricing governance across product, finance, and sales functions
  • Discounting practices vary significantly by salesperson or division, with limited visibility or accountability
• Strategic Impact:
  
  • Margin leakage across bundled offers and renewals
  • Inability to strategically price based on client size, risk profile, or solution complexity
  • Limited ability to model profitability at contract, segment, or deal-type level
• Executive Commentary:
  “We’ve grown fast, but our pricing is still being managed like we’re a product reseller. We need to think more like a strategic service provider.”

3. Objectives of the Engagement

• Surface and quantify sources of gross margin leakage across the portfolio
• Move from ad hoc pricing to structured logic based on customer segment, product/service value, and delivery complexity
• Establish clear roles, workflows, and thresholds for pricing decisions
• Develop pricing capability across commercial functions—especially in product, finance, and pre-sales
• Equip leadership with data and tools to manage pricing strategically without slowing down growth

4. Our Approach

• Phase 1: Pricing Capability Diagnostic
  
  • Delivered 55-question diagnostic to pricing stakeholders across finance, sales, product, and operations
  • Mapped responses against a pricing maturity model customised for hybrid tech/MSP businesses
  • Conducted interviews to identify gaps between policy, practice, and execution
• Phase 2: Margin Opportunity Assessment
  
  • Analysed transaction and quote-level data to identify override patterns, margin outliers, and cost allocation blind spots
  • Assessed internal pricing governance maturity, approval chains, and product margin variance
• Phase 3: Quick Wins & Execution Planning
  
  • Facilitated executive workshop to prioritise initiatives and define pricing ambition
  • Developed roadmap for price architecture reset, quoting discipline, and sales enablement
  • Created quick win toolkit tailored for managed services, SaaS bundles, and recurring contracts

5. Key Actions Taken

6. Results Achieved (Within 8–12 Weeks)

7. Client Feedback

“We now have a clearer commercial lens on how our services create value—and what they should be worth. This diagnostic gave us a practical path to grow margin without slowing down deals.”
— GM, Transformation & Systems, NEXON Asia Pacific

8. What This Means for Similar Companies

Technology resellers and MSPs often face complex pricing challenges due to vendor dependencies, custom contracts, and mixed recurring revenue streams. The NEXON case proves that pricing isn't just about systems—it's about capability, governance, and strategic confidence in how value is delivered and priced.

9. Contact Us

To explore how your tech or managed service business could unlock 200 to 900 basis points of EBIT improvement through pricing strategy upgrades, contact: