Presenting a competitive alternative is one of the best negotiation tactics at play here, especially when dealing with Varonis. If you find another vendor quoting a lower price for similar functionalities, leverage that during your negotiation. Emphasize to the supplier that your finance team requires you to evaluate multiple options given the stark price differences. This not only heightens the urgency for the supplier to give a better offer but also positions you as a savvy negotiator who is weighing all potential options carefully.
With Varonis, if you plan on increasing your usage or licenses, emphasize the need for an economy of scale and how the price per user should decrease as your usage grows. Remind the supplier that larger contracts usually come with more favorable pricing and you expect a reduced rate as you scale up the use of their platform. This positions you to potentially reduce unit costs in your negotiation.
It’s beneficial to request the removal of any auto-renewal terms from your contract with Varonis. This will give you negotiation leverage in subsequent years and prevent being locked into a price increase without your consent, allowing you to reassess your options more freely. The buyer should explain this is a new requirement of their finance team to keep contracts flexible and avoid unexpected renewals.
If you face uplift pricing on the renewal, it will be crucial to advocate for its removal. Leverage your previous spending patterns and underutilization concerns to reinforce your request for no uplift on the current contract. Convey to the vendor that maintaining consistency on costs is vital for your partnership, especially as you are not looking to expand but instead aim for financial stability.
Leverage your willingness to act as a reference or partake in a case study to provide mutual publicity, which could be a worthwhile give that Varonis might consider in exchange for better pricing terms. By offering this, you can solidify a partnership mindset rather than just a transactional relationship, which can help in negotiating discounts.