Kevin Bell

Why Fractional CAIOs Are the Next Big Consulting Wave

Twitter Post


There is a brand new industry forming right in front of us with fractional Chief AI Officers (CAIO)

Aspects of it have been around for a while

But it’s rapidly evolving and we’re in the Wild West stage right now.

It’s a niche of consulting

and because of that, you can use the same method to structuring pricing or business model

BUT

You have to understand a few important factors:

***note— this is a moving target right now. Things like this are evolving daily

  1. The closer you get to the money, the more valuable you are. Meaning, the more time and ultimately money you save a company, the more valuable your service

  2. As CAIO you are not just a consultant to call for advice. You are a systems strategist who owns AI implementation, measures ROI, and gets paid when you make money

  3. This is a classic, but deserves to be said. Lead with the pain point, not the AI. What pan in the butt tasks are business owners doing that you can remove?

  4. Pricing examples:

10% of Year 1 value created.

Examples:

Saving $16,800/year in labor

(You charge $1,700)

Creating $100K in new revenue

(You charge $10K)

Automating a $1,000/month task

(You charge $1,200)

So this is IMPACT over HOURS, basically.

This is just a small snippet of what I’m working on here, but hopefully this shed some light on an industry in its infancy.