Hello everyone,

I work for a company that we want to offer our skills of development and delivery of classroom training to one of our clients. To make sure our costs are in line with industry standards, will you respond with what you beleive to be cost ranges for development of training and then the delivery of training?

I'd love to give some answers, and google can help, but lots more info is needed. When you say "classroom training" do you just use PowerPoint or are you using rich media (e.g. video), web, web 2.0, computer-based exercises, computer simulations, whatever? I suggest you make a list such as:

For a two day course:
* 20 hours SME consulting
* 4 x 15 minute videos
* 6 x 30 minute workshops
* 6 x 20 minute "lecture sessions"
* x hours for instructor guide creation
* time for document prep and editing
* technical editing time
* whatever else

and then try to estimate development time for each. I say this because it takes different amounts of time for different tasks. A class on email etiquette may require a lot less technical support and exercise development time than a course on Advanced SQL Server management, for example.

When it comes to delivery, it also depends on the content. For technical professionals delivering technical or technical management
content, I am currently seeing 400 - 2000 US dollars per day depending on experience in the content area and experience training. The management trainers I know are making 800 - 1200 per day. Both of those are straight training fees - no "back of the room" sales.

HTH,

Fist I like to ask what is your breakeven point?

Price=Indirect Cost - Direct Cost

Bigger firms have more direct cost and their prices usually reflect this.
Based upon your breakeven and Position in the market...(High/MID/Low) you can determine your price.

While competitive pricing is important you never want to have to pay for the training. For my first gig I didn't take into account the "direct cost" for producing handbook per student...needless to say my competitive pricing as a small business owner went out the window... because I had to go to kinko’; no in-house copier