Software Contract Negotiation

Too much capital is locked inside bad contracts. That money would be better invested in areas that help you grow your business.

Forrester Consulting provides an independent analysis and price benchmarking of your software vendor’s proposals and advises your procurement team on how to negotiate the best deals.

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Maximize your savings

  • Generate an extra 10% or more savings by negotiating better deals.
  • Improve terms and conditions to better protect your company and lower risk.
  • Ensure that your vendors deliver more value for less money.

We know a good deal and how to get one

Forrester’s experts partner with your CIOs, CPOs, and CFOs to help them:

  • Review contract terms, conditions, pricing, and product selection.
  • Improve the vendor deal through coaching and negotiating advice.
  • Sign an improved contract knowing they’ve achieved the best deal.

Forrester has advised thousands of businesses on how to negotiate better deals with software vendors. Leverage Forrester’s market data and knowledge of successful negotiating tactics to get better deals, too.

Forrester consultants Mark Bartrick and Charls Hurlock discuss software cost optimization and negotiation in this free webinar. (51:24)

Optimizing your time at the negotiating table


  • Microsoft reduces your negotiation window by releasing information slowly.
  • The company loves growth: Its complex product-bundling tactic causes clients to buy products that they don’t need and may never use.
  • Microsoft wants you in its cloud on subscription but doesn’t publish pricing. Gauging pricing is difficult without market data.


  • Oracle sales reps are hard-nosed negotiators who dislike decreasing spend — but you can still get significant discounts.
  • Its sales force is incentivized to move clients to Oracle Cloud, whether or not it’s right for you.
  • You can get some leverage over support costs via third-party support companies.


  • Salesforce is recruiting Oracle sales reps, and the culture is shifting accordingly.
  • The company has grown through acquisition, resulting in smaller discounts for acquired products, with core product discounting following suit.
  • The best discounts come with new products, but price hikes are common come renewal time.


  • SAP leverages multiple pricing and licensing models combined with archaic language, causing confusion between business units, proposals, etc.
  • Support costs are difficult to reduce, even if you don’t use the products anymore.
  • SAP Cloud Platform is the future, but clients are reluctant to switch, so on-premise solutions still pay the bills.

Software Audits

  • Software vendors are auditing more than ever before.
  • It’s a cash generator for them, as well as a method of keeping clients compliant.
  • Audits often result in money owed — and that steals money from other potential projects.

Reduce your software costs

Connect with a Forrester Consulting specialist and find out how we can help you analyze your software vendor proposals to identify negotiable cost-saving opportunities.

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