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Procurement Market Intelligence Report

Managed VPN Services
Sourcing Guide & Market Trends

Comprehensive intelligence for making smart purchasing decisions

Learn about actual and potential costs

How much should I pay for Managed VPN Services?

What is the average price of Managed VPN Services?

This procurement report includes pricing information to help you purchase Managed VPN Services. Our analysts provide a benchmark price and a price range based on key pricing factors to help you understand what you should be paying for this specific product or service. To see the average price for this and hundreds of other products and services, subscribe to ProcurementIQ.

Has the price of Managed VPN Services been rising or falling?

Analysts look at market data from the previous three years to determine an overall price trend. You can use the recent price trends to help you understand price volatility and plan your budget.

I’m not ready to purchase Managed VPN Services yet. Will I pay more if I wait too long?

We forecast the next three years of price movements by looking at factors likely to affect the market's supply chain, such as inputs, demand and competition. You can then use the price forecast to figure out the best time to purchase.

What other costs are associated with purchasing Managed VPN Services?

Our analysts calculate the total cost of ownership and assign a level of low, moderate or high, depending on things like customization, integration and installation. Use this information to budget for Managed VPN Services with a reduced risk of unexpected costs.

See how we display average pricing information, trends and market data.

Find the vendor to meet your needs

Where can I purchase ?

Market share concentration for managed VPN services is moderate, with the top four suppliers controlling between 30.0% and 50.0% of the market. Because thousands of small VPN providers for consumers are not registered as businesses, some requiring payment and some free, market share concentration only addresses legitimate suppliers of paid... Subscribe to learn more.

Questions to ask potential suppliers

How can I gain leverage during negotiations?

Experience and Expertise

How long have you provided these products to your longest-tenured client?

What qualifications does your staff have and what measures do you take to keep those qualifications up to date?

What industry do you most commonly supply this product for?

To what extent will ordering multiple products from your firm allow me to save on costs?

What is your repeat business rate for businesses in my industry and how does that compare to your overall rates?

Supply Chain Risk

Over the past three years, what percentage of your revenue has been dedicated to raw input materials? How has that changed?

Has the availability of raw materials tightened due to the coronavirus outbreak?

Over the past three years, what percentage of your revenue has been dedicated to labor?

How have fluctuations in input prices affected the prices of your products during the past three years?

How do you mitigate sudden price increases in raw materials?

When input prices rise, how much of the cost is absorbed by you and how much is passed onto buyers?

How, if at all, has your supply chain been affected by import tariffs levied in 2018?

Regulation

How do you manage regulatory change? Do you have regulation advisers or methods to track regulation?

How have changing regulations influenced your pricing now and how will the changes affect prices over the life our proposed agreement?

What ongoing training procedures do you provide for your staff?

Have you ever been found to be noncompliant with regulatory frameworks?

Amid widespread health concerns during the COVID-19 pandemic, what contingency plans are in place to mitigate risk to your clients and employees? Do you offer clients any flexible exceptions, such as contract suspensions?

Reliability of Service

How often have you not met your expected bandwidth or uptime commitments during the past three years? Why?

What are the main reasons for occasional slowdown in bandwidth and downed VPNs?

What do you do internally to fix any service issues that may arise?

In case of failure to meet the service level agreement, what compensation does the buyer receive?

Amidst widespread health concerns, what contingency plans are in place to mitigate risk to your clients and employees? Do you offer clients any flexible exceptions, such as contract suspensions?

Are you experiencing fluctuations in demand as a result of the coronavirus outbreak? What measures are you taking to handle increased/reduced demand?

Market Position

Have you been gaining or losing market share during the past three years?

Who is your largest direct competitor?

What do you consider your most important measure of success from a business perspective?

How long have you been operating in this market?

How many active clients do you currently have?

What is the average turnaround time for your customers?

Customer Service

How quickly do respond to an interruption in service?

Is your customer support available at all times? What are the wait times like?

Do managed VPN customers have access to a different customer service line than buyers of your other services?

How do you prioritize customer service issues?

Can you give us examples of the most thorough customer service interventions you had to undertake in the past year?

Amidst widespread health concerns, what contingency plans are in place to mitigate risk to your clients and employees? Do you offer clients any flexible exceptions, such as contract suspensions?

Related Services

What are the benefits of purchasing networking services from you in addition to a managed VPN?

Can you offer complementary network design and architecture consulting if we purchase a managed VPN from you?

Do you perform VPN integration into networks or is that up to the buyer?

What are the most popular related services or products purchased by buyers of managed VPN services? Why is that?

Pricing

How clearly and broken down is the monthly bill? Can we get a sample of a bill?

Do you have third party evaluations of your billing practices?

According to my intended use, what pricing model would be beneficial?

Can we mix elements of various pricing models or come up with a new pricing model?

Do you offer long term contracts with locked in prices or lower prices?

Security

How often does your company come under attack from hackers?

How often does information sent over your managed VPNs get intercepted? How do you measure it?

Are some services more prone to security breaches than others? Which ones?

Have your customers already adversely suffered from security breaches?

What security measures do you have in place to prevent the interception of data or downing of the VPN connection?

How do you react once an issue has been identified?

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Key elements for every RFP

What should my RFP include?

Project Budget

Buyers should explicitly state the amount for the award.

Buyers should describe the expected pricing model to be used (annual, monthly, etc.).

Buyers should explain the schedule with which payments will be made.

For assistance in ascertaining a reasonable price and price range for managed VPN services, buyers can consult the Benchmark Price section of this report.

Selection Criteria

Buyers should look for suppliers that have been in business for a long time and have excellent customer reviews.

Buyers should give preference to suppliers that offer a designated customer support representative, because response times will be quicker in case of an urgent need.

Buyers should leverage market competition by seeking out the most competitive price among qualified suppliers.

For a detailed list of key selection criteria, buyers should reference the Buying-Decision Scorecard section of this report.

Project Schedule

Buyers should communicate to prospective suppliers when award information results will be provided.

Buyers need to provide due dates for any ongoing or scheduled IT maintenance, upgrades and maintenance work.

For emergency needs, buyers should provide general expectations with regard to response time.

Buyers should list the expected lead time for similar businesses.

Evaluate major factors to mitigate risk

How risky is the supply chain?

Supply chain risk for managed VPNs is low, despite some risk in the supply of internet service. Although prices for internet services have been rising mildly during the past three years and will continue to do so during the next three, year-to-year changes in price will likely be small. Moreover,... Subscribe to learn more.

HIGH

MEDIUM

LOW