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Procurement Market Intelligence Report

Payroll Services
Sourcing Guide & Market Trends

Comprehensive intelligence for making smart purchasing decisions

Learn about actual and potential costs

How much should I pay for Payroll Services?

What is the average price of Payroll Services?

This procurement report includes pricing information to help you purchase Payroll 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 Payroll 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 Payroll 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 Payroll 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 Payroll 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 Payroll Services?

Among the estimated 10,500 providers of payroll services, the top four players account for less than 30.0% of total market revenue, indicating a low level of concentration. Most operators are small companies servicing a narrow geographic region, thereby hindering their ability to garner a significant amount of revenue. For example,... Subscribe to learn more.

Questions to ask potential suppliers

How can I gain leverage during negotiations?

Pricing & Contracts

What pricing models do you use and how do you determine what to charge each client?

Will any work need to be subcontracted out? Will subcontracting add to the project's costs?

Can I opt for different payroll frequencies? How will that impact price?

If my company adds additional services to this contract, will I receive a bundle discount?

Accuracy

How do you ensure the accuracy of your service? What systems do you have in place to minimize the number of errors? How often are these systems checked and updated?

What checks and balances are in place to ensure that my project has received a thorough evaluation? Who completes these checks and identifies errors?

Who normally identifies errors when they occur?

How do you balance quick turnaround times with maintaining the maximum possible accuracy?

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Key elements for every RFP

What should my Payroll Services RFP include?

Project Budget

Buyers should disclose the annual budget for payroll services, if relevant.

Buyers should state their preferred pricing model and terms of payment.

Selection Criteria

Buyers should evaluate vendors' ability to meet their service requirements.

Buyers should evaluate vendors' experience serving comparable clients.

Buyers should evaluate vendors based on their proposed fees for the project.

For other selection criteria requirements, buyers should reference the Buying-Decision Scorecard section of this report.

Project Schedule

Buyers should include the date when proposals are due and any other relevant dates (e.g. interviews) prior to the contract award.

Buyers should include the date when services will begin.

Evaluate major factors to mitigate risk

How risky is the Payroll Services supply chain?

The supply chain risk for payroll services is low. Key first tier suppliers include computer and software wholesalers, commercial real estate lessors, office supply wholesalers and law firms. Inputs from these upstream suppliers are largely purchased on an ad hoc basis, so any fluctuations in the prices of these goods... Subscribe to learn more.

HIGH

MEDIUM

LOW