Gartner Research

Key Leverage Factors for Negotiating More Cost-Effective and Lower-Risk SaaS Deals

Published: 25 May 2016

ID: G00303665

Analyst(s): Jo Liversidge , Dawn Hubbard


Technology procurement leaders often fail to identify the factors that increase their organization's leverage during contract negotiations. This research identifies key SaaS leverage elements that will assist technology procurement leaders in achieving more cost-effective and lower-risk outcomes.

Table Of Contents
  • Key Challenges



  • Leverage the Extreme Competitive Nature of the Market to Achieve Optimal SaaS Pricing and Terms
    • Recommendations
  • Leverage the Fact That Some of the Larger Providers Are Offering Up Large Commissions to Sales Associates and Managers to Close SaaS Deals
    • Average Compensation and Quotas
    • SaaS Commission and Its Effects in the Sales Environment
    • Recommendations
  • Factor in the Likelihood of Switching and Its Cost When Negotiating SaaS Contract Terms
    • Recommendations

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