Presenting competition as a viable alternative often yields strong negotiation outcomes. If you mention that other suppliers are providing similar services at a lower cost, it introduces pressure on the existing supplier to improve their offer. Make sure to present the competitor's price alongside highlighting any specific value adds they offer.

If your finance team seldom commits to multi-year contracts without significant justification, use this to negotiate for increased discounts or even to shorten the term. Emphasize that multiple-year commitments for new software purchases are rare within your organization, thus creating urgency to secure better pricing.

If your company expects to pay flat usage without the uplift, anchor your negotiations around this expectation. Clearly, communicate that the uplift wasn’t accounted for in your previous budget and press that continuation without it is necessary for the renewal.

Highlight that a key requirement from your finance/legal perspective is the removal of any auto-renewal clauses to maintain leverage in future negotiations. Communicate that without this clause, your organization feels more comfortable entering this contract.

Conduct a thorough review of your organization’s usage of the software before the negotiation. This will help in ensuring that the proposal fits your actual use case without overpaying for unused features. Leverage the findings to negotiate better terms that match your utilization.