The rise of Software as a Service (SAAS) applications has provided businesses with numerous benefits such as increased efficiency, reduced costs, and scalability. However, managing the spend on these various SAAS platforms can become a daunting task, especially for growing businesses.

In this blog post, we will discuss five tips and tricks to help you streamline your SAAS spend management and ensure you're getting the most out of your investments.

Monitor SAAS License Usage

Regularly monitoring your SAAS license usage is crucial in ensuring you spend wisely on unused or underutilized licenses. By keeping track of license usage across your organization, you can identify areas where you may be paying for more licenses than needed or where there is a mismatch between the number of licenses you have and the number of active users.

To effectively monitor license usage, consider implementing a SAAS management tool or platform that provides a centralized view of all your SAAS subscriptions and their current usage. This will enable you to easily identify any discrepancies and take action to optimize your spending.

Review SAAS Pricing Pages

SAAS vendors often update their pricing structures and offer new plans, features, or discounts. Reviewing the pricing pages of your SAAS providers helps you identify any changes that could potentially save your business money.

For example, a vendor may introduce a new plan that better suits your organization's needs or offer a discount for long-term commitments. By staying up-to-date with these changes, you can proactively adjust your subscriptions and take advantage of any cost-saving opportunities.

Allocate Users to the Right Service Level

Not all users within your organization will require the same level of access or features from a SAAS platform. Allocating users to the appropriate service level, based on their needs and job roles, can help optimize your SAAS spend and prevent you from paying for unnecessary features or functionality.

To achieve this, work closely with your team leads or department heads to determine the specific needs of each user and assign them to the appropriate service level accordingly. This will not only reduce your overall spend, but also ensure your employees have access to the tools and features they need to perform their jobs effectively.

Archive or Cancel Unused Licenses

Over time, your organization may have accumulated unused or inactive licenses due to employee turnover, changes in job roles, or project completion. Identifying and archiving or canceling these licenses can significantly reduce your SAAS spend.

To do this, regularly review your license usage and identify any inactive users. You can then either archive the license, which typically allows you to retain the user's data while suspending access, or cancel the license altogether, depending on your needs and the specific vendor's policies.

Centralize Your Spend Management

Managing your SAAS spend across multiple platforms and vendors can be a time-consuming and complex task. By centralizing your spend management through a dedicated SAAS management tool or platform, you can gain a complete overview of your subscriptions, usage, and expenses.

A centralized spend management system can help you identify areas of overspending, streamline your license management, and provide valuable insights into your SAAS investments. Additionally, it can help you automate billing and reporting, making it easier to track and monitor your SAAS spend over time.

Final Thoughts

Effectively managing your SAAS spend is key to ensuring you're getting the most value from your investments while keeping costs under control. By implementing these five tips and tricks, you can optimize your SAAS spend management, reduce waste, and drive better results for your business.

Does your business need a tool for SaaS spend management? Check out Varisource. Varisource is a technology-buying and management platform designed to help you save more, shop better, and manage your technology services easier. Get a free savings analysis to get started today!