AI-augmented seat margin: am I paying for the tooling twice?
Working the numbers on whether "AI-augmented" is a real reprice or just vendor capture. A seat costs me $7.50 an hour fully loaded and bills at $14 for 160 hours, so about $1,040 gross margin a seat a month. To call it AI-augmented I'm adding a dialer at $130, a call transcription and summary tool at $40, and CRM seat at $60. That's $230 a month of new fixed cost per seat. The client who saw the demo now wants $150 a month off because output per seat went up, which means I've handed $380 of a $1,040 margin to software vendors and to the client and kept the same payroll risk.
Churn is the other half. Call it 25% a year on seats. Each replacement is a job ad, screening time, and roughly 30 unbilled training hours, so somewhere near $600 all in, and an AI-heavy workflow arguably makes each seat easier to replace because the process knowledge sits in the tool rather than the person.
So two questions for anyone actually repricing. Are you unbundling the tooling as a pass-through line so the client sees $230 as their cost rather than mine, or are you moving off per-seat entirely to something like per connected conversation or per qualified appointment? And if you've gone to outcome pricing, how are you capping your exposure when the client's list is 60% bad numbers and payroll is fixed either way?