How will Agentic architecture change how software is sold?

Software pricing models are being revolutionized by AI. Kevan Yalowitz, Global Software and Platform Lead at Accenture, explains how agentic architecture is shifting software from seat-based pricing to value and outcome-based models. He details why this transformation represents a revolutionary rather than evolutionary change, creating a disconnect between what software companies currently offer and what IT consumers increasingly demand.
About the speaker

Kevan Yalowitz

Accenture

 - Accenture

Kevan is Global Software and Platform Lead at Accenture

Accenture Software & Platforms

Episode Chapters

  • 00:00: Agentic Architecture's Business Impact

    Agentic AI will transform software pricing models from seat-based to outcome-based, fundamentally changing how software companies monetize their products.

  • 00:30: Evolution of Pricing Models

    The shift from subscription-based to usage-based pricing has been happening gradually, but agentic AI will significantly accelerate this transformation.

  • 00:58: Accelerating Business Change

    Agentic AI serves as a major catalyst for business model evolution, creating a revolutionary rather than evolutionary shift in how software functions and is sold.

  • 01:18: Customer-Vendor Misalignment

    A gap exists between software companies' readiness to adopt new business models and customers' immediate desire for outcome-based pricing structures.

Episode Summary

  • How Will Agentic Architecture Change How Software Is Sold?

    Introduction

    In this episode of the MarTech Podcast, Benjamin Shapiro speaks with Kevan Yalowitz, Global Software and Platform Lead at Accenture, about the transformative impact of AI on the advertising landscape. With extensive experience helping technology and media executives identify and capture growth opportunities, Yalowitz offers valuable insights into how agentic AI is fundamentally reshaping software business models and creating new challenges and opportunities for marketing technology professionals.
  • The Transformation of Software Business Models

    The conversation centers on a critical question for marketing technology leaders: How will agentic architecture change software sales models? According to Yalowitz, the impact will be revolutionary: "It's going to flip it on its head. Software today is sold largely speaking, in seats... Agentic AI is going to shift this because agents are going to do more of the work and it's going to shift the pricing model in most cases to be focused on value and outcomes." This represents a fundamental disruption to how marketing technology has traditionally been purchased and deployed within organizations.
  • From Seat-Based to Value-Based Pricing

    The traditional software pricing model has been built around human users, with companies paying for individual "seats" or licenses. As AI agents increasingly perform tasks previously handled by humans, this model becomes obsolete. Marketing technology vendors are being forced to reconsider their pricing structures, moving toward models that charge based on the value delivered or outcomes achieved rather than the number of human users. This shift aligns pricing more directly with business results, potentially offering greater ROI transparency for marketing leaders.
  • Evolution vs. Revolution

    While the software industry has been gradually moving from long-term subscriptions to usage-based and hybrid pricing models, Yalowitz emphasizes that agentic AI is acting as "a major accelerant" to this transition. The change isn't merely evolutionary but represents a revolutionary shift in how marketing technology functions and delivers value. This acceleration creates both opportunities and challenges for marketing leaders who must now evaluate technology investments through a different lens, focusing more on potential outcomes than traditional implementation metrics.
  • The Adoption Gap

    A significant tension exists in the current marketplace: most software companies aren't prepared to transition to outcome-based pricing models, while end consumers of IT are eager to make this shift immediately. This creates a potential competitive advantage for forward-thinking MarTech vendors who can successfully implement value-based pricing ahead of competitors. For marketing leaders, this means carefully evaluating not just the technology capabilities of potential solutions but also the business models of vendors to ensure alignment with long-term objectives.
  • Key Takeaways for Marketing Technology Leaders

    The implications of agentic AI for marketing technology are profound. As AI agents take over more tasks previously performed by humans, marketing leaders should prepare for a shift from seat-based to outcome-based pricing models. This transition will require new approaches to technology evaluation, budget allocation, and ROI measurement. While the fundamental functions of marketing technology aren't changing, the pace of transformation is accelerating dramatically, requiring marketing leaders to adapt quickly to remain competitive in an increasingly AI-driven landscape.
About the speaker

Kevan Yalowitz

Accenture

 - Accenture

Kevan is Global Software and Platform Lead at Accenture

Accenture Software & Platforms

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