3 years of growth and SaaS buying:
One of our customers had over $2.2M in annual SaaS spend. Focused on hypergrowth over the past 3 years,
- The employee growth which was seen across engineering, sales, marketing teams was not reflected in the IT, Operations and Finance team hiring which is very common in growth stage companies.
- Individual teams had bought over 70+ SaaS applications just in the last 10 months.
- Finance Operations team focused on negotiating the top vendors with highest spend. However, for the rest of the applications they had no time for the lengthy negotiations nor had any benchmarking data to verify if they were overpaying for the apps.
Changing market conditions of 2022:
With uncertain times ahead, the customer wanted to
- Identify any opportunities for savings with the current SaaS stack
- Renegotiate for a better price wherever possible
- Have a team focused on SaaS saving
How CloudEagle helped:
CloudEagle SaaS buying experts analyzed all the SaaS contracts and started working on the contracts which were coming up for renewal in the next 120 days. Here are some highlights of how we saved them $300,000 in the first 120 days of renegotiations.
- Customer had bought video conferencing software licenses in the “enterprise” plan with unlimited cloud storage, hosting up to 500 participants, unlimited whiteboards, etc. When the CloudEagle team looked into the usage, less than 20 employees ever used the whiteboard functionality and none of the employees had crossed the 1GB cloud storage limit. With this insight, the license was changed from the “Enterprise” to “Pro” plan for 80% of the employees which saved them $45,000.
- The customer had a CRM with all the sales and marketing team on it. Looking at the usage data, the CloudEagle team recognized that 70% of the marketing team who were mainly working on content creation, blogs, social media, paid-Ad marketing never used the CRM. We recommended that the 70% of unused licenses from marketing team be deprovisioned from the CRM. This saved them an additional $28,000.
- CloudEagle team identified 33 applications that were bought at higher prices compared to company’s peers. CloudEagle’s SaaS buyers were able to renegotiate for 33 of these applications, saving them additional $200K.
CloudEagle team successfully saved the customer over $300,000, countless hours of negotiation time, and continues to work with the customer for the rest of the renewals and new SaaS buying needs. CloudEagle’s team is to help the customer get the best product at the best price, saving them thousands of dollars and hundreds of hours.
If your team is looking to save on their software spend, you can schedule a free SaaS savings report and demo here.