It's safe to say SaaS has taken over. From productivity tools to chatbots, it's hard to imagine the world of on-premise software before SaaS. While SaaS has made purchasing software easier, it has also become easier to overspend on your software stack. Things like duplicate subscriptions, overlapping, or unnecessary tools slip through the cracks. Here are 6 simple ways to optimise your SaaS spend and put you back in control.
1. Remove duplicate tools
As your company scales, it becomes harder to track subscriptions. Different teams sign up for tools they need, and without visibility, it's not uncommon for duplicates to appear.
How to identify duplicate subscriptions:
Find out all the tools your company is subscribed to, engaging stakeholders where needed. Check this against invoices, transactions, and other accounting data. Check for duplicates and consolidate subscriptions or licenses where possible. If you use a software management platform like Hudled, duplicate tools are automatically identified for you.
2. Consolidate overlapping tools
Overlapping tools are not the same as duplicate tools. Overlapping software is when two different tools serve the same purpose e.g. Notion and Evernote. Without good visibility of what you already have, it's easy for new tools to overlap. To cut down unnecessary spend, identify and consolidate overlapping tools.
How to identify overlapping subscriptions:
Ask your team to identify a list of tools they use and what they use it for. Review the information to identify software that overlaps and share the same purpose. For example, if your team uses Dropbox and Google Workspace (both file-sharing services), find out why. Compile this information and consolidate tools where appropriate.
3. Set SaaS spend controls
Setting SaaS spend practices for your business can give you greater control of company finances. This will help you optimise your SaaS spend, avoiding costs that can add up over time.
Tips for setting SaaS spend controls:
Set clear precedents with the wider company and have a software buying process. Ask employees to send invoices to one email and use company cards for any purchases. Clearly communicate any spending limits and budgets.
4. Set up software renewal reminders
As soon as you purchase a new tool, set a reminder for its renewal date. That way, you'll know in advance when you're charged next. If needed, you're also able to cancel a tool before its renewal.
Ways to set up a software renewal calendar:
Make it a note to list down renewal dates as soon as you purchase a new subscription. Consider creating a spreadsheet, listing down the subscription and renewal dates. Another option is to put renewal dates in your general calendar.
5. Look at employee feedback
Every employee has an opinion about the tools they use. Look at feedback to understand which tools are necessary to an employee's job and which tools are loved or hated by the team. Knowing this information will help you to make SaaS spend optimisation decisions.
How to gather employee feedback
Run periodic surveys with your employees to ask them about the tools they use and the value they receive. Ask them to rate, on a scale of 1-10, how important the tool is to their role and how much they like the tool.
6. Take advantage of SaaS management software
As your company scales, you'll onboard more employees and add new tools. Managing it all quickly becomes a full-time job and it becomes worthwhile to invest in a SaaS management platform. It'll help to reduce the manual work needed to track and manage SaaS spend. Things like identifying duplicate software and overlapping tools are common features in these platforms. Tools like Hudled, directly integrate with your accounting system. You can sign up to Hudled for a 14-day free trial. In less than 5 minutes, you'll start gaining visibility over your SaaS spend.
Follow these guidelines and you'll be well on your way to cutting unnecessary SaaS spend and optimising your software stack.