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A SaaS price increase: negotiate, switch or build

Your SaaS provider has sent a higher renewal quote, and someone has suggested building an application instead. Before that becomes a project, establish what the company would be paying for and when it could realistically stop using the current product. The renewal deadline may require a different decision from the eventual choice of system.

Author

Syntalith

Published Updated 3 min read

Syntalith can help assess a proposed custom software scope alongside staying with the product or switching providers. Start with the features in use, the workarounds that remain necessary, and the conditions for moving. A useful first discussion covers the renewal proposal and one workflow that currently requires a separate spreadsheet or application.

Two decisions on different timelines

Suppose a company uses a customer service suite. The new quote includes a broader plan because the team needs one integration capability. A director wants to replace the suite with a custom application, but open cases, communication history, and integrations must continue working during the transition.

For the renewal deadline, the company may need to discuss a shorter term, a different scope, or alternative conditions, if the provider offers them. It can assess the long-term system in parallel. This creates a comparison of feasible options instead of assuming new software will be ready by the date on the quote. Confirm the availability of any proposed arrangement with the provider.

Connect that discussion to the actual need. Does the required capability demand that particular plan? Can an add-on preserve the current scope? Which people need to work in the product, and which only receive its output? The answers should describe the offer for your company; products do not all license access the same way.

For example, HubSpot distinguishes assigning seats from reducing the number purchased. Removing unassigned seats can take effect at renewal and is subject to subscription conditions. That is a reason to confirm the effect of a specific change rather than assuming that disabling an account changes the purchase commitment.

Compare the work after a change

Another packaged product may cover the required scope well. In the example, assess the integration and the transfer of open cases and history. A similarly named feature may involve a different way of working. Someone handling cases should see what continuing a case looks like after the move.

Custom software is a serious option when the required scope is clear, stable, and materially different from available products. Include development, transition, maintenance, and team support in the comparison. A SaaS increase alone does not establish that building will be the better choice. A narrower extension may also be worth assessing when one connection is driving the need for a broader plan.

The comparison should show what the company retains, gives up, and becomes responsible for. A packaged suite may include features used rarely but needed at an important moment. Service staff, administrators, and IT can identify those situations before the custom scope is considered complete.

Connect renewal planning with the exit plan

Before deciding to leave, establish export options, access after termination, and what happens to integrations. Confirm those conditions with the provider. Allow for staff time spent preparing data and for a period when both products remain necessary.

For a custom option, agree who handles incidents, integration changes, and user support. Access to code, data, and documentation should support a future change of maintainer. These operating responsibilities belong in the comparison with the product offer.

Talk to Syntalith about the reason for the increase and the capabilities your team needs to retain. We can discuss a proposed application scope and the information needed to compare it with renewal and a provider switch. Our pricing page explains how estimates work.

Syntalith is a member of Claude Partner Network, Anthropic's partner program.

Denotes membership in Anthropic's partner program for Claude. Not an endorsement of Syntalith's services by Anthropic.

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