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SaaS spend optimization

SaaS spend optimization is the practice of auditing every software subscription a business pays for, removing unused licenses, duplicate tools, and over-tiered plans, and renegotiating renewals against market benchmarks. Stackstone does this work as an independent advisor: the assessment is free, and compensation for optimization work is disclosed per engagement, typically standard supplier commissions, usually at no direct cost to you.

Where does SaaS spend get wasted?

SaaS is easy to buy and easy to forget. Subscriptions get added by individual teams, renew automatically, and rarely get reviewed against actual usage. Over a few years, that adds up to a meaningful share of software budget going to things nobody uses. The waste concentrates in five places:

  • Unused licenses, seats still assigned to people who left, changed roles, or never logged in. Most admin consoles expose them through last-login data; someone just has to look.
  • Duplicate tools, two or three products solving the same problem because different teams bought them separately. Project management, e-signature, and file sharing are frequent offenders.
  • Over-tiered plans, paying for an enterprise or premium tier bought for a feature or a peak that passed, while most users only touch the basics.
  • Auto-renewals, contracts that roll over at list price, sometimes with built-in uplifts, because nobody flagged the renewal date in time to negotiate.
  • Shelfware, software bought for an initiative that stalled. It still bills every month, and every renewal quietly re-commits you.

None of this shows up as a single painful line item, which is exactly why it persists. For a closer look at the size of the problem, see our guide to how much the average business wastes on SaaS.

What does a SaaS spend optimization engagement include?

The work follows a straightforward sequence. You share invoices, subscription lists, and admin access where appropriate; the advisor does the analysis and the legwork:

  1. Full inventory. Every subscription is pulled from accounting records, expense reports, and SSO logs, including the tools that never went through procurement.
  2. Usage vs. license comparison. License counts are checked against active usage and current headcount to surface unused and under-used seats.
  3. Duplicate and overlap mapping. Tools with overlapping functions are identified so teams can consolidate onto one, usually the one they already prefer.
  4. Tier right-sizing. Each plan level is checked against the features actually in use, and mismatches are flagged for downgrade at renewal.
  5. Renewal calendar and benchmarking. Every renewal date gets mapped, and upcoming renewals are benchmarked against market pricing so negotiations start from data, not the vendor's proposal.
  6. Negotiation and execution. The advisor handles the renegotiations, cancellations, and downgrades, without disrupting the tools your teams rely on.

This is the software slice of a broader technology spend assessment, which also covers telecom, connectivity, and vendor contracts.

Advisor or SaaS management software: which do you need?

The main alternative to hiring an advisor is buying a SaaS management platform such as Zylo, Zluri, or Vendr. Those platforms are legitimate tools, and for large organizations that want continuous, in-house monitoring, they can make sense. But they answer a different question. A platform gives your team visibility; an advisor delivers the outcome.

 Independent advisor (Stackstone)SaaS management platform (Zylo, Zluri, Vendr)
Who does the workThe advisor runs the audit, the analysis, and the negotiationsYour team, using the platform's dashboards and data
What you buyNothing upfront; no platform, no implementationAnother SaaS subscription, plus setup and integrations
How it's paidStandard supplier commissions, disclosed per engagementRecurring fees, whether or not savings materialize
Renewal negotiationHandled for you, benchmarked against market pricingVaries; often data support for your own negotiation
Best fitBusinesses that want the savings without adding headcount or toolingLarge organizations with a procurement team to run it

The two are not mutually exclusive. Some businesses use an advisor to capture the first round of savings, then decide whether ongoing tooling is worth it. The difference that matters on day one: an advisor costs nothing to start, and is only paid when your software bill actually goes down.

How much can SaaS spend optimization save?

A focused SaaS audit typically recovers 15–25% of software spend (industry benchmarks; results vary), with more available where tool sprawl is high across teams or locations. Where the same review extends to telecom and connectivity, recoveries of 20–30% are typical in those categories. The assessment puts a dollar figure on your specific situation before you commit to anything, and our case studies show what that looks like in practice. SaaS is one part of the broader picture covered in our guide to cutting SaaS, telecom, and vendor costs.

How does Stackstone get paid?

The assessment is free. For optimization work, we're typically compensated through standard supplier commissions on the contracts we help you source and manage, so there is usually no direct cost to you. We never charge hourly or retainer fees; if an engagement ever includes a fee at all, it's only a share of savings actually realized, agreed in writing up front. We disclose how we're paid for your engagement so you can weigh the advice accordingly. We are independent. We work across the provider market, not for any single vendor, we don't sell software, and in most cases clients keep their existing vendors. The full picture is in how technology consultants get paid and independent advisor vs. reseller.

When is the right time to review your SaaS stack?

  • 60–90 days before a major renewal, while you still have negotiating leverage
  • After headcount changes, growth, layoffs, or a merger, since license counts rarely get adjusted on their own
  • When software spend has grown organically without a dedicated review in the last 12–24 months
  • When finance can't produce a complete list of active subscriptions, which is more common than anyone admits

Timing matters because most SaaS savings are captured at renewal. Our guide on when to review technology contracts covers the calendar in detail.

By Shane Stewart, Founder of Stackstone Advisory, independent technology spend advisor.
Last updated: July 2026.

FAQ

Common questions

What is SaaS spend optimization?

SaaS spend optimization is the practice of auditing every software subscription a business pays for, removing unused licenses, duplicate tools, and over-tiered plans, and renegotiating renewals against market benchmarks. Done well, it typically recovers 15–25% of software spend (results vary) without taking away tools people actually use.

How is an advisor different from SaaS management software like Zylo or Zluri?

SaaS management platforms give your team dashboards and usage data; your team still does the analysis, the cancellations, and the negotiations. An independent advisor does that work for you. There is no platform to buy, no seat-based subscription, and no implementation project. Stackstone is typically compensated through standard supplier commissions, disclosed per engagement.

How much does SaaS spend optimization cost?

The assessment is free. For optimization work, we're typically compensated through standard supplier commissions on the contracts we help you source and manage, so there is usually no direct cost to you. We never charge hourly or retainer fees; if an engagement ever includes a fee at all, it's only a share of savings actually realized, agreed in writing up front. We disclose how we're paid for your engagement so you can weigh the advice accordingly.

Do we have to switch tools or vendors?

Usually not. Most SaaS savings come from fixing what you already have: reclaiming unused seats, consolidating duplicate tools, moving to the right plan tier, and renegotiating renewals. Clients keep their existing vendors in most cases. Where switching is clearly the better move, we tell you and help you do it.

How much can we save on SaaS?

A focused SaaS audit typically recovers 15–25% of software spend (industry benchmarks; results vary), with more available where tool sprawl is high across teams or locations. The assessment quantifies your specific number in dollars before you commit to anything.

How long does SaaS spend optimization take?

The assessment takes under 30 minutes of your time; you share invoices and subscription lists, and the advisor does the analysis. A full savings breakdown typically follows within days. Capturing the savings depends on renewal dates, since the biggest reductions land when contracts come up for renewal.

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