Knowing information about how your SaaS vendors run negotiations can be hugely beneficial for your company when renewing your contract. That’s why Sastrify started this blog series: to give our best tips to SaaS buyers for negotiating subscription agreements. No reason to automatically renew and risk getting stuck in a contract if you're not 100% satisfied with your current terms.
(Sastrify is ready to help if you’d rather hand over the negotiation process to a team of experts so you can focus on more value-add tasks in your business with confidence.)
Now, let’s talk about landing your company a good deal from Mixpanel before your renewal dates.
What is Mixpanel?
Mixpanel is a product analytics tool for capturing data on users’ interactions with web or mobile applications. The company has over 7,000 paying customers and helps the world answer 81 million product questions each year.
Top tips for Mixpanel renewals
Whether you’re negotiating a Mixpanel contract renewal or your business is starting out with the tool for the first time, here are our top 5 tips to get the best deal.
1. Forecast MTU consumption as accurately as possible to achieve a lower price
Some Mixpanel pricing is by Monthly Tracked Users or MTUs. MTU pricing model is tiered based on consumption: the higher your consumption, the lower the price per MTU.
With Mixpanel, it is crucial to estimate the MTU consumption as accurately as possible to avoid paying for unused MTUs (underutilization) or overpaying in overages in the process. (Our recent SaaS Spend Management Guide has some great business tips for better forecasting – download here.)
Note that planning ahead for increases in MTU consumption can pay off: The pricing per MTU automatically gets reduced throughout the original contract duration if consumption increased based on pre-negotiated pricing.
2. Aim high for Mixpanel discounts!
Customers can achieve high discounts with Mixpanel with the right negotiation skills. Discounts vary, but our Sastrify experts have seen up to a 40% discount reached from the first business offer, so aim high during your negotiation process.
Other methods to boost discounts:
- Joint marketing activity – This can leverage your cost by 2% - 4%. If this is something you decide to do, be sure to figure it out during negotiations.
- Escalate the conversations to your leadership team – We’ve seen this unlock higher discount potential and increase the value received.
3. Try to negotiate with Mixpanel as part of an RFP
Another avenue for better discounts? An RFP, or request for proposal. Mixpanel tends to provide a higher discount when the negotiating process is part of an RFP instead of a single preferred vendor, so consider structuring your procurement and negotiation process around this with all the specific details.
4. Get the best Mixpanel discounts at fiscal year-end or end of the quarter
Mixpanel is similar to most SaaS vendors in that proper timing of negotiations is key to getting the best deal. You’re likely to get the best contract when you negotiate near the end of each quarter, especially at the end of Q4 since their fiscal year is ending.
Mixpanel sales teams will be working to hit their targets during these periods, creating an opportunity for customers to achieve better pricing and terms when they negotiate and sign the contract close to these renewal dates.
5. Ask for a Mixpanel technical optimization package if you need integration
If you need some integration assistance during the process, ask Mixpanel for a technical optimization package. Sastrify has seen Mixpanel grant customers up to $5k for free plus 15 hours from a dedicated solution architect to assist with project integration. A good indicator, right? That level of assistance can be hugely helpful in getting projects off the ground with confidence so you can start maximizing value from the tool as quickly as possible.
Get the best Mixpanel contract with Sastrify
All of these tips (and the ones in the rest of our renewals series) come from Sastrify’s SaaS procurement and negotiation experts. The team is constantly negotiating with SaaS vendors like Mixpanel to get our customers the best contract terms on the market.
Bringing Sastrify into the process from the early stages will enable us to negotiate a better deal for your business when renewing.
Already a customer and need support with subscription agreements? Your Sastrify CSM is always ready to help and figure out everything for you at lightning speed – just ask!
Haven’t started with Sastrify yet? In a few steps, you can find out how much your company can save with our free SaaS savings calculator. Before you negotiate, purchase, or sign anything, be sure to check the rest of our series on things you didn’t know about renewals for popular SaaS tools.