Vertice, a SaaS purchasing and spend management platform, releases today a complete pricing guide into project collaboration software. A Gartner survey found that between 2019 and 2021 there was a 44 percent increase in the use of collaboration SaaS tools. With this increase, 80 percent of vendors have increased their list pricing since 2019 — by an average of 10 percent annually — making it more crucial to find the best fit for your SaaS stack at the best price.
However, transparency remains a key challenge in the SaaS purchasing process. With low visibility into pricing and tool usage along with limited negotiation bandwidth, businesses are overpaying for SaaS products by between 20-30 percent on average.
While some vendors publish their pricing directly onto their websites or through certain third parties, many SaaS companies intentionally keep their pricing hidden. Research shows that only 45 percent of vendors list pricing online, while 55 percent of vendors obscure pricing from potential customers. Vertice aims to showcase a better way to purchase and manage SaaS.
“By making pricing unclear and difficult to understand, vendors often hold the most negotiation leverage, putting customers at a disadvantage since they are not able to compare pricing across a variety of vendors. With a clearer understanding of a vendor’s pricing, SaaS buyers are able to gain back negotiation bandwidth and, most likely, secure a better deal,” said Eldar Tuvey, CEO and founder of Vertice.
The Vertice Pricing Clarity score aims to provide business leaders with insight into how a vendor compares with its peers in terms of pricing simplicity, transparency and parity. For each vendor, Vertice has analyzed average discounting — the aggregate price discount that customers pay compared with list pricing.
Across the seven leading vendors in project collaboration, businesses that choose to negotiate pricing are paying an average of $15.22 per month per user, securing an average discount of 22 percent off list price. Data show businesses have been able to secure discounts in the range of 15-34 percent.
Vertice VP of Marketing Joel Windels said, “Vertice’s pricing guide aims to eliminate the inefficiencies that plague the SaaS industry. Vertice uses technology, intelligent data analysis, and real updates to give everyone the tools, resources, and information they need to get the best deal on any contract. By simplifying the entire SaaS purchasing process, this allows for the freeing of your finance and procurement teams to focus on your core business. As a result, projects run smoother; progress moves faster, and projects are completed on time and on budget.”
Read the report in full here.
For more information, please visit: https://www.vertice.one