Episode #15 - Renegotiating your SaaS contracts with Daniel Casselli, President at BuyQ

Procure-to-Pay Software

Control Spend. Save Money.

Procurify is the AI-enhanced procurement and AP automation platform for the mid-market. We make it easy for organizations to take control of spend and save money.

Procurify offers the most complete procure-to-pay system, seamlessly integrating purchase requests, approvals, expenses, purchase orders, contracts, vendors, budgets, receiving, invoicing, bill payments, spending cards, and more.

EPISODE

Host: Daniel Casselli, President at BuyQ

Connect with Daniel on LinkedIn 

School / Organization: BuyQ

Website: https://buyq.org/

EPISODE SUMMARY

In this episode, Daniel Casselli shares a seven-step process for renegotiating software contracts to reduce costs. He highlights the importance of identifying the right opportunities and gathering the necessary data to lay the foundation for a strong renegotiation. Understanding the cost model and knowing the incentives of the subscription providers are crucial in driving successful negotiations. Casselli emphasizes the significance of knowing the asks and the gives, as well as promoting complexity in the negotiation process. He concludes by encouraging listeners to rinse and repeat the process to continuously optimize software subscription costs.

EPISODE TAKEAWAYS

• Identify the right opportunities for renegotiation by focusing on sizable contracts that are up for renewal or multi-year contracts.
• Gather data on product value, usage, intended ROI, and future usage to lay the foundation for a strong renegotiation.
• Understand the cost model of the software subscription, including per license, per site, enrollment-based bands, and per usage models.
• Know the incentives of the subscription providers, such as the threat of non-renewal, timing, payment terms, and total margin.
• Create a list of asks and gives, understanding what is important to your organization and what concessions can be made.
• Craft the new deal by providing a comprehensive list of asks and engaging in a conversation with the account manager.
• Continuously rinse and repeat the process to optimize software subscription costs and improve negotiation skills.

RESOURCES

Enhancing your Negotiating Skills: https://24395742.fs1.hubspotusercontent-na1.net/hubfs/24395742/BUYQ%20Roundtable%20Keynote%20Negotiation%20June%202023%5B10%5D%20%20-%20%20Read-Only.pdf

30-Min Webinar: What happens to K-12 nonprofits and vendors when ESSER ends?: https://edunomicslab.org/2023/11/15/what-happens-to-k-12-nonprofits-and-vendors-when-esser-ends/

CHAPTERS

00:00 Introduction

00:59 Opportunity for cost reduction

06:10 Understanding the cost model

10:45 Knowing the incentives

15:00 Knowing the asks and the gives

19:46 Rinse and repeat

ABOUT OUR HOST

Daniel Casselli is a life-long learner whose passion for education has driven his professional endeavors. He is a former classroom teacher and youth ministry director whose entrepreneurial spirit landed him in the world of education technology. At EVERFI Inc., Daniel helped run the business development efforts for EVERFI’s Financial Education Program and the company was eventually sold to Blackbaud for $750M in 2021. Shortly before EVERFI’s acquisition, Daniel joined Class Technologies as one of the earliest sales hires and went on to lead K12 Enterprise Sales and helped the company land its first 100+ K12 customers across public, charter, and private schools. Daniel brings his unique experiences to BuyQ where he is focused on growth, operational excellence, business strategy, and client satisfaction. He is a graduate of Grove City College where he studied Religion and History. 

You can listen to Charter School Insider: Lessons from the Nation's Top Charter School Operators on your favorite podcasting platform...

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