How we helped a company save 40% on their Marketing Automation Software?
We recently supported a European Internet platform provider in their SaaS negotiation when it was time to review their Marketing Automation Software.
This Internet platform provider gives their customers powerful plug-and-play services to build sleek consumer-facing websites and applications. Marketing Automation is an important part of their go-to-market strategy in maintaining relationships and touch points with their users.
A well-recognised Marketing SaaS tool was being used to do email marketing, social media, and digital advertising to create personalised touch points to ensure the marketing was effective and engaging.
After initial discussions and our complementary SaaS Savings Analysis, they were convinced by the savings potential we uncovered and the Negotiation Guide we created. This guide provided specific instructions on what to negotiate and how we would approach it together. By trusting CloudCost Consulting with contract negotiations, they achieved a 40% saving on Marketing Automation Software – worth roughly $40,000.
40% Savings - $40,000
The Challenge
Even though they were operating as a lean business, this platform provider faced additional pressures with the cost of living crisis and inflation, necessitating further cost optimisation measures across its operations.
In light of the macroeconomic challenges, they were looking for ways to streamline costs. They aimed to achieve improved operational efficiency and tie it back to clear measurable results.
The decision was further reinforced by an upcoming renewal of their strategic marketing automation tool. Historically, they had encountered difficulties with the subscriptions they had adopted, and negotiating with some vendors had proven to be exceedingly challenging.
To make matters worse, the incumbent vendor was trying to increase the existing subscription. Sensing the urgency, it became imperative for them to find a solution.
The Solution
This is when CloudCost Consulting was introduced.
Following the SaaS Savings Analysis, the team was keen to leverage our services to deliver on our ‘Savings Guarantee’. This guarantee means we would only get paid if we delivered +20% in savings.
“At first, it seemed too good to be true” says Steve, Finance Director. “However, as we spent time with the team and delved into the process, it became clear that they had a vast amount of experience negotiating SaaS contracts and were genuine in helping us get competitive deals.”
In the end, the decision hinged on the potential cost savings outlined in the Savings Analysis, and the return on investment. “The Savings Guarantee made the investment risk free by aligning our success with the outcomes of their service.”
"We now use CloudCost Consulting for all SaaS purchases and renewals to ensure we get the most competitive deals and prices."
The Results
- 40% cost reduction – worth $39,000
- An additional 10% increase in usage limits
The partnership began with negotiating a contract for Market Automation software, and CloudCost Consulting are now being leveraged to analyse and negotiate all SaaS contracts.
In addition to the cost analysis and negotiation, CloudCost Consulting is implementing a Systematic Negotiation Process for all SaaS contracts. This ensures that any new purchase or renewal of a SaaS tool undergoes a rigorous evaluation and negotiation process to guarantee that the most competitive prices are achieved. This is also complimented with SaaS negotiation trainings to support key decision-makers.
“The financial savings aren’t the only benefit – the time-saving aspect has relieved a significant burden,” says Steve. “Additionally, it has made our team much stronger at analysing quotes and negotiating software. We are seeing similar savings across other parts of our technology stack.”
If you would like more information, please Contact Us. Our team has years of Cloud & SaaS experience, having negotiated thousands of contracts from the other side. We know what to negotiate and how.
