The situation
A top U.S. regional bank was renewing a $22M agreement covering Salesforce and MuleSoft across multiple business lines.
The agreement spanned Salesforce and MuleSoft, the integration platform Salesforce acquired. MuleSoft is licensed on its own metrics, and those metrics have been revised more than once since the acquisition. The structure was convoluted enough that it was hard to say with confidence what was being charged for, or whether it still matched how the platform was used.
What we found
Deal IQ engaged a subject matter expert with Salesforce background. The work was unpicking the MuleSoft licensing structure first, so the bank could see what it was actually buying, and then rebuilding the commercial case around how the platform is genuinely used.
Once the structure was clear, the commercial case could be built on what the bank actually runs rather than on the shape of the quote in front of it.
The result
- Latest vendor quote
- $22.1M
- Final negotiated price
- $9.7M
- Reduction against quote
- 56%
- Savings
- $12.3M
The bank retained Salesforce across every business line that was using it.
Takeaways
- MuleSoft licensing unpicked before any price was discussed
- A structure the bank could finally see, and then negotiate against
- Every business line kept the platform it was using
Frequently asked questions
Why is MuleSoft licensing so hard to price-check?
MuleSoft carries its own licensing metrics, separate from core Salesforce, and those metrics have changed more than once since the acquisition. Working out what you are actually buying comes before working out what it should cost.
How much can a Salesforce renewal actually move?
This agreement moved 56%. How far a renewal moves depends on vendor dynamics, timing, licensing structure, the size of the commitment and a number of other factors, which is why the analysis drives the pricing strategy.
Do we have to reduce what we buy to lower a Salesforce bill?
No. Deal IQ does not reduce what you buy unless you want to. Savings come from price, and on this agreement the bank kept everything it was using.
DEAL IQ IN NUMBERS