Redefining Expert Networks: A Journey Toward Fairness and Value

In his thought-provoking article "A Rake Too Far," venture capitalist Bill Gurley explores the nuances of platform pricing strategies, emphasizing the importance of finding an optimal balance that benefits both service providers and users. This concept resonates strongly within the expert network industry, where traditional players like GLG have long dominated the market with pricing models that often seem skewed in favor of the platform rather than the experts or the clients.

The Traditional Model: A Triple Markup Dilemma

In the conventional expert network model, legacy platforms charge clients a significant markup on the expertise they provide, sometimes as much as three times the rate paid to the expert. This pricing structure has two immediate consequences: it places a financial strain on clients, who are forced to pay inflated rates for access to knowledge, and it diminishes the value proposition for experts, who receive a fraction of the fees charged, resulting in both lower demand and reduced compensation. 

Consider this: an expert who might command a rate of $300 per hour is offered only $200 by the platform, which then charges the client $1,000 for the same hour of expertise. The discrepancy is stark and raises questions about fairness and sustainability in the long run.

A New Paradigm in Expert Networks

At Exsight, we believe there is a better way. Inspired by the principles outlined in Gurley's analysis, we have crafted a pricing model that eliminates markups entirely, ensuring that our clients enjoy access to top-tier expertise at prices 50-75% lower than those found elsewhere in the industry.

Rather than obfuscating the price of expertise, we share it with our customers. Rather than charging a markup on this expertise, we charge value-added service fees. 

• An Expert Call is $150 + expert costs
• Our Exsight custom market research report is $2,500 + expert costs (vs $5k previously and obv a lot more anywhere else)
• An Expert Panel is $2,000 + expert costs

Here is a recent example, where we facilitated calls with 6-8 experts with eco-certification experience in a market our customer was exploring. We shared each Expert's profile, including their background, qualification information related to this specific search, and pricing for an hour-long call which is composed of both the expert price and our search fee (a flat $150/expert call). 

Our approach is simple yet revolutionary: we prioritize transparency and value over margins. By doing so, we offer a more equitable distribution of fees, ensuring that experts are fairly compensated for their knowledge while clients benefit from cost-effective insights that drive their businesses forward.

The Benefits of a No-Markup Model

The advantages of Exsight's no-markup model are manifold:

• Fair Compensation for Experts: By eliminating the middleman markup, experts receive a larger share of the fees, making it more attractive for top-tier professionals to engage with our platform.
• Lower Costs for Clients: Clients benefit from significantly lower prices, making expert insights more accessible and enabling more frequent and diverse consultations.
• Increased Demand: With more competitive pricing, clients are more inclined to seek expert advice, leading to increased demand and more opportunities for experts.
• Sustainability: A fair and transparent pricing model fosters long-term relationships and trust between clients, experts, and the platform, paving the way for a sustainable ecosystem. e

Our mission at Exsight is to create a transparent, equitable ecosystem where clients and experts alike can thrive. By prioritizing value over margins, we aim to redefine the expert network space, making it more accessible, fair, and valuable for all parties involved.

We invite you to join us on this journey. Together, we can transform the way expertise is shared and leveraged in the business world.