Incentivized Travel Expense Management (ITEM): Licensing and Pricing
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Pricing
GxWorks is so confident in ITEM that we only charge a client if ITEM reduces their T&E expenses.
GxWorks does not charge licensing fees for usage of ITEM software. Rather, GxWorks charges fees
as a percentage of the gross savings achieved by a client through ITEM implementation.
GxWorks generally charges 20% of a client's gross savings for its services, which include
providing ITEM software, management of reward distribution, and periodic audits of program
performance. Since an additional 20% of gross savings is typically used to fund employee
incentives, the remaining 60% is a client's net savings through ITEM.
ITEM's pricing model guarantees clients a positive ROI.
Every dollar spent on ITEM returns three dollars in net savings.
Since there are no startup fees and GxWorks manages ITEM as a hosted solution,
clients can expect an initial investment cost near zero. GxWorks will even assist clients
with internal marketing and education initiatives during initial ITEM rollout.
How are a client's gross savings and travel expense targets determined?
A client's gross savings is calculated as the difference between the total cost of all trips managed
through ITEM and the total targeted expense for those trips.
Travel expense targets can be set through market pricing data, or they can be set based on a client's
travel policy and T&E expenditure history.
If a client decides to use ITEM's market pricing data to automatically set travel expense targets, GxWorks
will charge service fees at the aforementioned 20% rate. ITEM's market pricing data is gathered from
major booking systems and online reservation sites, and attempts to reflect mid-market business travel
pricing as accurately as possible.
If a client decides to manually set expense targets based on their own travel policy and spending patterns,
GxWorks will determine the percentage fee on a case-by-case basis. GxWorks is also willing to work with
clients who prefer a per-user licensing fee to GxWorks' standard pricing model.
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