Pricing Consultant vs. Pricing Advisor – What’s the Difference?

<p><span style="font-weight: 400;">Often people ask if I offer consulting services.  I hate that question because I have to honestly answer no, but then explain I offer advisory services.  Here is what you might want to know about being or hiring a pricing advisor.  </span></p> <p><strong>What is the difference?  </strong></p> <p><span style="font-weight: 400;">In my career, I’ve hired and worked beside pricing consultants.  For each project, they typically have an experienced leader who commands a team of less-skilled workers.  The team gathers and analyzes data and recommendations are made to the hiring executive.  Companies who follow the recommendations often find phenomenal results.  The key is that consultants do the work and present their findings.   </span></p> <p><span style="font-weight: 400;">A pricing advisor works with executives and teams within the client so they can solve their own pricing problems.  This happens through a combination of education and frequent consultations. The advisor asks many questions and applies his/her vast pricing experience and knowledge to the client’s specific situation.  Instead of making recommendations at the end of a project, the advisor discusses ideas throughout the engagement.  When data needs to be collected or analyzed, the advisor helps the client understand what to do and the client is responsible for the execution.  </span></p> <p><strong>Should you choose a consultant or an advisor?  </strong></p> <p><span style="font-weight: 400;">It depends on your situation.  If you have money but not people resources, a consultant is probably your best choice.  If you don’t have a lot of money, but you have people to work on the project, then an advisor probably fits better.  An added advantage to using an advisor is your people become more skilled at pricing and value.</span></p> <p><strong>What about a coach? </strong></p> <p><span style="font-weight: 400;">I have a lot of friends who are coaches so I have to tread lightly here.  My understanding is that coaches ask a