In the rapidly evolving digital landscape, nonprofit organizations and small to medium-sized businesses (SMBs) face significant challenges in managing the cost of technology, particularly when it comes to cloud software subscriptions. A vivid example of this challenge was recently seen in the experience of a client who was confronted with an 11% price increase for their donor management platform subscription, following a 13% increase the previous year. These increases were justified by the technology vendor due to additional features that our client had no intention to use now or in the future, but were being forced to pay for as "part of the new package". This situation underscores a common predicament: technology costs can escalate quickly, eating into the budgets of organizations that can least afford it. Failing to plan and manage them from a value-focused perspective leaves organizations at the whims of vendors that are tasked to grow their revenues at the unfortunate expense of those ill equipped to challenge these bloating costs before it's too late.
We understand that the key to managing technology expenses effectively lies in aligning costs with the actual value received from software subscriptions. When faced with the client's potential price increase, our approach was to meticulously review the contract and engage in a dialogue about pricing, emphasizing the client's value-for-dollar (or ROI). Our goal is to help organizations navigate these financial challenges not by merely reacting to price increases but by adopting a proactive stance that evaluates the worth of technology investments in light of their contribution to the organization's mission.
Our services are designed to equip our clients with the knowledge and skills to assess technology offerings critically, negotiate more agreeable terms, and ultimately make informed decisions that support their operational and financial goals. By focusing on research, comparison, and the contracting process, we aim to create a foundation for sustainable technology procurement that prioritizes the needs and values of the organizations we serve. In doing so, GreenMerits seeks to be a partner in not just cost management, but in ensuring that technology serves as a tool for advancement rather than a financial burden.
*As for our aforementioned client, a bit of internal discussions followed by some pointed logical questions/concerns to the vendor resulted in a flat (0% increase) renewal, saving our client thousands of dollars that would have otherwise been paid without any incremental increase in value. Let us do the same for you.
