Salestoolsnowaccountforovera quarteroftotalSaaSspend
Shareofspendforsales softwareapplications increasedfrom21%to28% betweenQ1andQ2of2023, accordingtonewdatafrom Vertice.
Thismeansthatthetoolsusedby salesteamsnowaccountfor morethanaquarterofa company’stotalsoftwarespend, farhigherthananyothertypeof software.
Whilemanyorganizationsarebecoming increasinglyselectiveaboutthetoolsthey subscribeto,thefactthatshareofspendfor salessoftwarecontinuestorisesignifiesjust howimportantthesetoolsaretocompanies andthattheyremainfocusedoneither sustaininggrowthorscale.
Whiletheincreaseinshareofspendbetween thefirsttwoquartersof2023hasbeen significant,ithadalreadyincreasedfrom18% to21%betweenJanuaryandFebruary, furtherconfirmingthecrucialrolethesetools areplayinginwhatisanincredibly challengingtimeformanybusinesses.
Despitethis,theutilizationof thesesalessoftwarelicenses remainsahugechallengefor many,forthesimplefactthat theyhavethelowestutilization rates.
Whileutilizationwasmarginallybetter thaninQ1,thefactthesetoolsnow representafargreateramountofan organization'stotalSaaSspending meansthatitcouldbecontributingto anevengreateramountofwasted spend.
Giventhatcompaniesspendanaverageof $9,000onsoftwareforeverysalesemployee, whichisalmostdoublewhatisspenton employeesinotherdepartments,andthat 49%oftheselicensesaregoingunused,this couldrepresentasmuchas$4,410ofwasted SaaSspendperemployee,peryear.
Forasalesteamof100, thisisclosetohalfamillion dollarsinwastedsoftware licenses.
Verticeexiststotacklethis problem,bynotonlyproviding organizationswithcomplete oversightoftheirsoftwarespend, butalsovisibilityintohowthese toolsarebeingusedacrossthe organization.
Combinedwithextensive vendorpricingintelligence, Verticecandelivermaximum savingsacrossallsoftware contracts.
