Client Profile
An $18B Consumer Foods Manufacturer and Retailer was undergoing a Data Center Transformation in support of their digital transformation objectives. Their goal was to move their entire existing workloads out of their own data centers and into the public cloud with one of the hyperscalers.
In addition to the agreement with their chosen hyperscaler, the client also required the support of a Tier 1 cloud migration provider to support the execution of their data center migration to the cloud.
Approach
UpperEdge supported the development of a holistic Negotiation Strategy for the hyperscaler services. This negotiation strategy included parallel solicitations to multiple hyperscalers in order to maximize the client’s leverage within the negotiation process.
The client solicited hyperscaler proposals from GCP & Azure, and Cloud Migration proposals from Accenture & Capgemini.
Leveraging knowledge of the market and proprietary tools, the UpperEdge team supported the Evaluation & Selection process, providing detailed analyses and vendor comparisons focused on driving out material proposal differences.
As a result, the client mitigated critical risks and optimized the overall commercial value of the resulting vendor agreements.
Negotiated Outcome
As a result of the approach laid out, the client achieved a Best-in-Class market deal for their hyperscaler Services with Google & Accenture, enabling their digital transformation and establishing an agreement that would support their growth for years to come.
Deal Highlights:
- Achieved $30M increase in vendor investments & discounts from the original proposal
- Eliminated Year 1 Fees (via consumption & migration credits)
- Reduced Support & Maintenance Fees, applicable to current and future workloads
- Consumption & Product SKU Discounting exceeded market benchmarks based on Committed Spend
- Achieved Discount Protected Renewal Options
- Negotiated the financial framework with Accenture for cloud migration services, driving a high degree of vendor accountability and providing cost and timeline certainty
UpperEdge helps companies form strategic relationships with their chosen cloud services providers and achieve best-in-class deals. Explore our cloud advisory services to see how we can help you maximize the value of your key IT agreements.
