KPMG Sourcing Advisory 3Q12 Global Pulse Survey - KPMG Institutes
KPMG Sourcing Advisory 3Q12 Global Pulse Survey - KPMG Institutes
KPMG Sourcing Advisory 3Q12 Global Pulse Survey - KPMG Institutes
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<strong>3Q12</strong> <strong>Global</strong> <strong>Pulse</strong> <strong>Survey</strong> | Market Conditions<br />
Pricing Competitiveness<br />
Increased pricing competitiveness implies the buyer<br />
has, or is trying to get, the upper hand in pricing for<br />
outsourcing or related third-party services deals. As<br />
pricing is one element of determining profitability,<br />
less competitive pricing is generally favorable to<br />
the service provider. The consensus for most of the<br />
past three years among service providers, especially<br />
India-based companies, is that buyers were getting<br />
more aggressive with their pricing demands, though<br />
this quarter’s <strong>Pulse</strong> results show little change in this<br />
pressure. Thirty-three percent of service providers<br />
polled, down six percent from last quarter, indicated<br />
that pricing pressure increased in the quarter, while the<br />
67 percent of service providers indicated they saw little<br />
or no change in pricing pressure (see Figure 10).<br />
Figure 10 | Service Providers: Pricing Pressure<br />
Shared Services and Outsourcing <strong>Advisory</strong> / <strong>KPMG</strong> <strong>Sourcing</strong> <strong>Advisory</strong> <strong>3Q12</strong> <strong>Global</strong> <strong>Pulse</strong> <strong>Survey</strong> / October 2012 21<br />
© 2012 <strong>KPMG</strong> International Cooperative (“<strong>KPMG</strong> International”). <strong>KPMG</strong> International provides no client services<br />
and is a Swiss entity with which the independent member firms of the <strong>KPMG</strong> network are affiliated.
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