An IT Services Hyperscaler Case Study

$18B CPG Company Obtains $30M in Increased Vendor Investments and Discounts from Google and Accenture

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Client Profile

An $18B Consumer Goods 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.

We Align Service Costs to Consumption While Ensuring Productivity Improvements Each Year of Your Term.

We take a holistic approach to your managed services needs across a multitude of commercial issues and employ a highly flexible methodology that enables us to develop a strategy that aligns with your specific requirements while ensuring transparency to cost. Whether you’re looking to renew an existing Managed Services contract for another multi-year term, going to market to replace an incumbent, looking to outsource a portion or all of your in-house support, our market intelligence can empower your decision making every step of the way.

Greg Hall
Greg Hall

Managed Services
Practice Leader

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