By presenting competitors' offers during negotiations, you can drive down pricing or secure better terms. Notify the supplier that you are assessing alternatives due to pricing constraints. This tactic creates a sense of urgency around improving their offer to retain your business.
Emphasizing the need for economies of scale can lead to significantly lower rates as your user count grows. Communicate your expected growth in users and request a pricing structure that benefits from this scalability, pushing for better per-user pricing due to increased user volume.
Removing auto-renewal terms can provide more negotiation leverage. Explain to the supplier that your finance team requires this change to ensure flexibility in your budgeting. Highlight that this requirement stems from previous negative experiences with auto-renewal contracts.
If there is a significant descope in users or usage, assert that the proposed rate increase exceeds your budgetary limits. Use market pricing data to negotiate a rate decrease in alignment with your contracted usage levels to ease financial pressure.
Address any unexpected uplifts in renewal discussions. Clarify that your finance team anticipated a flatter cost structure based on previous engagements. If the uplift doesn't align with market practices, ask for the increase to be removed entirely.