Insights — Channel Creation & New Revenue Streams — 3 min read
Productised Service vs Consultancy: Which Model Wins?
The choice between a productised service and a consultancy model is a choice between scale and depth. Both have their place, but they require very different commercial strategies.
In short
Consultancy is built on depth, bespoke solutions, and high-trust relationships, making it ideal for complex, high-stakes problems. A productised service is built on speed, predictability, and repeatable outcomes, making it ideal for well-defined tasks that occur frequently. Consultancy scales through talent; productised services scale through process.
For decades, professional services have been synonymous with consultancy: a senior expert charging for their time to solve unique problems. But the rise of the 'productised service' has challenged this dominance. As buyers increasingly demand speed, price certainty, and proven results, the traditional 'discovery-first' consultancy model is coming under pressure.
However, this isn't a zero-sum game. A productised service is not a 'better' version of consultancy; it is a different commercial tool. Understanding when to use which—or how to combine them—is a critical skill for any service business owner looking to grow their revenue.
Comparing the Models
The fundamental difference lies in where the value is created. In consultancy, the value is created in the *thinking*. In a productised service, the value is created in the *packaging and delivery* of that thinking.
| Feature | Consultancy | Productised Service |
|---|---|---|
| Scope | Evolving / Bespoke | Fixed / Pre-defined |
| Pricing | Hourly / Day Rate | Flat Fee / Tiered |
| Sales Cycle | Long / Discovery-led | Short / Proposition-led |
| Delivery | Senior-led | Process-led / Delegated |
| Client Value | Deep transformation | Specific result / efficiency |
The Scalability Problem
Consultancy is notoriously hard to scale. To double your revenue, you usually have to double your senior headcount, which is expensive and risky. Productised services scale more like products. Because the delivery process is standardised, you can increase volume without a linear increase in senior management time.
The Hybrid Model: The Best of Both Worlds?
Many successful businesses don't choose one or the other; they use both. They use a productised service as a 'Lead Product'—a low-risk way for a client to start working with them. Once the trust is established and the initial problem is solved, the client is naturally upsold into a more lucrative, bespoke consultancy relationship.
When to choose consultancy
If your value proposition is 'we solve problems no one else can solve', you should remain a consultancy. High-end legal advice, complex M&A, and high-level political lobbying cannot be productised because the variables are too great and the stakes too high for a standardised process.
Evans Sales Consultancy helps you decide which model fits your goals. We look at your margins, your market position, and your desire for scale. The objective isn't to force everything into a productised box, but to ensure that the model you choose is the one that creates the most economic value.
Could your business support another route to revenue?
Evans Channel Creation identifies, validates and builds additional revenue channels from capabilities a business already has — B2B to D2C, D2C to B2B, product to service, recurring revenue or partners — and says so plainly when a channel should not be built. Programme from £1,995 + VAT per month over six months.
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