Thursday, January 31, 2008

Stop wasting money on your software purchases!

LOL...OK, don't misread my title...you probably still need to spend money on software purchases - my point is, you should stop the waste that goes on in most purchases.

Are you getting the most you can out of your software purchases? I doubt it. Frankly, I've proven time and time again that companies aren't...you see, there really are "tricks" to doing this right and unless your purchasing agent has lived the experience from both the consulting and the reseller side, they're not going to know them.

A couple of examples of major savings we negotiated this past year:
  • $260,000 on a $1.6m purchase through leveraging publisher relationship
  • $65,000 in free services on that same purchase through leveraging vendor relationship
  • $150,000 in savings on hardware purchase associated with that same software purchase
  • $180,000 in savings through education on product use rights options
  • $15,000 in free services on a $200,000 purchase through leveraging vendor relationship
  • $52,000 in free services on a $900k purchase through leveraging vendor relationship
  • $250,000 in savings through education on product use rights options

Now, these were all fairly large purchases....but percentage wise these are still sizeable dollar savings. In all cases, these companies had saavy purchasing agents...but these are not deals those purchasing agents would have been able to negotiate. It requires someone who specializes in this industry to know the ins and outs and negotiate the best deals.

CIO Insight says 44% of the CIO's reported "cutting costs" as a top priority for 2008 (http://www.cioinsight.com/c/a/Research/Management-Priorities/).

CIO's know they are going to have to watch their spend this year...unfortunately too many assume that they're getting their best deal on their software because they've compared prices and negotiated agreements. But they don't know the money they're leaving on the table.

Call us before you make that next purchase...let us show you how much money we can save you - money you can spend on new projects rather than on just maintaining your software!

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