Scenario: pricing a 3-year framework with escalation
Costs won't hold for three years. Price the escalation openly instead of burying a guessed buffer.
A three-year framework locks a rate today for works installed years from now — here's how material and labour escalation build into a defensible blended rate.
A developer awards a three-year framework for structured cabling across a phased campus. You price one Cat6A point now, but you'll be installing it in year three at year-three costs. Freeze today's rate and you fund the client's inflation; guess high and you lose the award. The answer is to escalate each cost driver explicitly.
Split the rate, then escalate each part
A Cat6A point is roughly AED 110 of material and AED 75 of labour. They don't move at the same pace — cable and connectors track commodity prices, labour tracks the wage market.
Blend to a single framework rate
Rather than quote three different rates, you weight each year by its expected volume and blend to one figure — simple for the client to administer, and it still recovers the escalation you'll actually incur.
A flat rate across three years is a bet you'll lose in either direction. Escalating each driver, then blending by volume, gives one rate that's honest at signing and still whole at year three.
Pricing long frameworks without eroding margin to inflation is exactly what EstiWright is built for.
It's in the works.
EstiWright is in development — join the waitlist for early access.