Why we would like to charging by hours instead of a fixed price

When it comes to working with a sourcing agent, many clients prefer to know the total cost upfront. However, most sourcing agents prefer to charge by the hour instead of a fixed price. In this article, we'll explore the reasons why sourcing agents prefer this model.

1, Flexibility
Sourcing agents often work with clients who have unique needs and requirements. By charging by the hour, sourcing agents can be more flexible in meeting these needs. They can adjust their services based on the client's changing needs or budget, without the constraints of a fixed price.

2, Transparency
Charging by the hour provides more transparency to both the sourcing agent and the client. It allows the client to see exactly how much time is spent on each task, and the sourcing agent can provide detailed reports of their work. This transparency builds trust between the two parties and helps to establish a long-term working relationship.

3, Fairness
Sourcing agents want to be compensated fairly for their time and effort. A fixed price model doesn't always account for the amount of time and resources that may be needed to complete a task. By charging by the hour, sourcing agents can ensure they are compensated for the actual work they do, and not just a flat fee.

4, Complexity
Sourcing can be a complex process with many variables. A fixed price model may not accurately account for the complexity of a project. Charging by the hour allows the sourcing agent to adjust their pricing based on the complexity of the project.

5, Competitive Advantage
Finally, charging by the hour gives sourcing agents a competitive advantage in the market. It allows them to offer more flexible pricing options to clients, which can be a deciding factor for clients who are looking for a sourcing agent. By offering hourly rates, sourcing agents can differentiate themselves from competitors who only offer fixed pricing.

In conclusion, while fixed pricing may seem like the more straightforward option, charging by the hour provides more flexibility, transparency, fairness, and a competitive advantage for sourcing agents. It allows them to provide more customized solutions to their clients and ensures that they are compensated fairly for their time and effort.