Overview
A $60B multinational consumer goods company needed to reduce their Salesforce footprint by over 50% to right size their portfolio which included a significant amount of shelfware. They had previously oversubscribed after entering into a strategic Enterprise Licensing Agreement (ELA) with Salesforce which bundled their portfolio of products.
The client attempted to reduce their footprint on their own, but this initial reduction effort resulted in an extension of their already bloated contract.
Approach
UpperEdge guided the client through determining their current product usage and forecasting their future requirements at a granular level. We provided relevant benchmarks and insights from working with similar organizations facing steep renewal cost increases and stern pushback while reducing their Salesforce footprint.
Negotiated Outcome
As a result of the comprehensive approach UpperEdge laid out, the client was able to achieve a competitive, Best-in-Class Salesforce deal with savings of $17M over 3 years.
Salesforce ELA Deal Highlights:
- Established an enhanced strategic partnership that set the organization up for downstream success with Salesforce beyond the negotiation effort.
- Drove commercial improvements by organizing go-forward requirements and leveraging potential areas of growth including Salesforce acquired products.
- Rightsized their product portfolio while simultaneously achieving a framework for potential future growth under an optimized ELA.
- Restructured contractual relationship that included highly competitive pricing and protections that removed downstream exposure to uncapped price increases.
- Provided pricing and commercial terms assessment of the existing ELA as well as submitted proposals and final offer.
- Improved per-unit pricing and ELA discount over the course of negotiation.
Explore our Salesforce sourcing and negotiation advisory services to learn how UpperEdge can help you maximize the value of your Salesforce investment. Ready to discuss how we can help you with your Salesforce purchase or renewal? Contact us today.
