Fixed fee is great as long as the scope is limited.
Whenever I've hired companies to do stuff on a fixed fee basis, they typically lose due to unforseen circumstances.
Whenever I've hired companies to do stuff on a fixed fee basis, they typically lose due to unforseen circumstances.
In addition, the upfront cost of specifying the job is also lost. This is not always trivial to 0do upfront, as both the world, insights, etc change over time (hence many have moved away from the waterfall approach).
That’s a feature for a productized service.
It also works for well-scoped tasks. I wouldn’t pay someone by the hour to cut the grass.