The technology expense management market is trapped in a race-to-the-bottom pricing mindset that hurts enterprises and providers alike. Endless discounting leads to under-resourced service teams, offshoring without proper knowledge transfer, and inconsistent data quality that undermines trust. In this environment, buyers may feel they “won” on price, only to discover they lost on value, outcomes, and stability.
Breaking this cycle starts with redefining how buyers evaluate TEM and mobility partners. Instead of comparing proposals primarily on the percentage of savings or per-invoice fees, enterprises should scrutinize the provider’s operating model, QA standards, and approach to retaining tribal knowledge. Questions like “Who will work my account?”, “How is quality measured and enforced?” and “What happens when your ownership or leadership changes?” are as important as price points. Buyers should insist on co-developed savings and transformation plans that explain how results will be achieved, not just promised.
Providers also need to change the story they tell. When marketing focuses solely on “We’ll save you X%,” it invites shallow comparisons and unrealistic expectations. Leading vendors are repositioning around total value: clean inventory, accurate data, transparent reporting, informed recommendations, and ongoing optimization that factors in risk, compliance, and user experience. They explain what full-service support includes and what low-touch, invoice-only offerings do not.
The RFP process often reinforces race-to-the-bottom behavior. Long spreadsheets and generic templates encourage checkbox responses rather than meaningful dialogue about vision, fit, and shared success. Enterprises can improve outcomes by clarifying intent up front, whether they prioritize price, service, transformation, or a blend, and by using live sessions, day-in-the-life workshops, and reference calls to validate claims. A smaller, better-qualified vendor shortlist often yields better results than a broad, blind RFP.
Ultimately, both sides have a role in shifting the market. Enterprises must resist the temptation to let procurement metrics over-privilege immediate price cuts, and providers must have the courage to walk away from deals that demand unsustainable discounts. When partnerships are built on value, transparency, and realistic commitments, everyone benefits – providers can invest in talent and innovation, and enterprises gain reliable outcomes they can depend on year after year.
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