Slack
$19,680–$260,227per year
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Median buyer pays
$63,870
Based on data from 580 purchases, with buyers saving 12% on average.per year
Median: $63,870
$19,680$260,227
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About Slack
Slack Overview
Slack is the category leading cloud-based messaging and collaboration platform, helping teams communicate and collaborate in real-time. Slack is owned by Salesforce. Slack's pricing model is based on a per-user, per-month subscription fee, with different pricing tiers based on the level of features and support needed. Slack is considered critical infrastructure and user retention is extremely high.
Slack's 2 Products
GovSlack is a secure collaboration platform built specifically for government work. It allows teams to work together across teams, time zones, and locations, while integrating compliant tools and apps and meeting key government regulations for processing and storing sensitive data.
Slack brings all your communication together in one place. It’s real-time messaging, archiving and search for modern teams.
Compare prices for similar companies
| Supplier | Slack | |
|---|---|---|
| Avg Contract Value | $63,870 | $538,983 |
| Deals handled | 1149 | 789 |
| Unique Purchasers | 635 | 458 |
| Avg Savings | 12.16% | 16.56% |
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Negotiation insights
Discount levers
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Low chances of successMedium chances of successHigh chances of successVendr community insights for Slack
Company with 201-1000 employeesA while ago
"We secured a price of $307.20/yr for Enterprise Grid after multiple rounds of negotiation.
"Company with 1-200 employeesA while ago
"Slack was acquired by Salesforce, so their compliance docs are now here: https://compliance.salesforce.com/en"Company with 201-1000 employeesA while ago
"We were able to secure a higher discount due to an increase of users from our previous term."Company with 1-200 employeesA while ago
"We leveraged a 3 year agreement to get an 5% additional savings on our renewal."Company with 1-200 employeesA while ago
"You cannot downgrade from Enterprise Grid, so we avoided moving to that tier as part of our negotiation to maintain flexibility."Company with 1-200 employeesA while ago
"Slack will tell you that 10% is their discount ceiling, however, they can go higher. We were able to get 17% discount on list rate by moving from a monthly subscription to a 1 year term. "Company with 1-200 employeesA while ago
"We asked for to go from a 5% to a 10% discount on a 2 year deal. They couldn't accommodate this but could agree to a 5% for year 1 and 15% for year 2 due to the growth in the contract."Company with 201-1000 employeesThis year
"We were able to reduce the cost of our upgrade to Enterprise Grid by 25% by leveraging hard budgetary figures and the significant delta between Business+ and Enterprise Grid."Company with 201-1000 employeesThis year
"Slack will focus pricing and discounts around the volume band, with growth and size of contract as the main driver in pricing. "Company with 1-200 employeesA while ago
"April is end of quarter for Slack, so a quick turn around on getting signatures can achieve high savings."Company with 201-1000 employeesThis year
"We were able to retain our previous pricing, remove auto-renewal, and institute a 5% uplift cap for our next renewal term by leveraging a 24-month agreement and the immediate competitors in our tech stack."Company with 201-1000 employeesThis year
"We were able to leverage growth and previous rates provided to garner around a 10% discount on renewal for the same term length"Company with 201-1000 employeesA while ago
"Slack was willing to keep a discount (5% per seat) on a descope of 15 seats (725 to 710) but 5% discount fell off when reduced to 700. In the past - Slack has not identified usage tiers or bands, but with the move to Salesforce and on to their paperwork, there may be some now in play. "Company with 201-1000 employeesA while ago
"Slack is holding firm they will not offer additional discounting without seeing growth, added products, or upgraded plan type. Flat renewal ended up being best case scenario for this customer since none of the other levers applied. "Company with 201-1000 employeesA while ago
"We were able to get a 20% discount off of list price by upgrading from Business + to Enterprise Select. "Company with 201-1000 employeesThis year
"We learned that Slack's deal desk term doesn't accept descopes within 5 business days of their month end. This seems to have stemmed from organizations "gaming" the system by artificially lowering their user counts just before their renewals which was not the situation on this one. If a substantial decrease in headcount does occur close to a month end renewal date either by RIF or other means, I would encourage asking about their QELA model. This would mean quarterly true-ups instead of annual, but they are more flexible with adjusting the scope closer to the renewal."Company with 201-1000 employeesA while ago
"We moved from monthly to annual pricing and we were able to save almost 17%. "Company with 201-1000 employeesA while ago
"We were able to move to their ELA contract to avoid any further price increases for new users during the next year long contract. Slack agreed to keep the license count at our current active users count and we will not be charged for growth in users throughout the next contract period."Company with 201-1000 employeesA while ago
"We were able to secure a rate of $11.88 per user on Business Plus for 320 users. "Company with 201-1000 employeesA while ago
"We managed to get ~20% discount ($106,000) when upgrading to Enterprise Grid by committing to a multi-year contract. We also managed to get ~15% discount ($10,000) on the Professional Services element."Company with 201-1000 employeesA while ago
"By combining elements of the agreements such as Corporate Workspace and Slack Pro, we were able to secure better rates with no true ups throughout the term."Company with 201-1000 employeesA while ago
"Slack was willing to give a 4% discount on a flat renewal of the pro tier with less than 200 users based on our budget being tight due to market conditions."Company with 201-1000 employeesA while ago
"Due to the increasing cost per user, Slack was willing to let us sign for 10 less users than our usage report was reflecting, essentially getting 10 users for free (paying for 165 instead of 175)."Company with 201-1000 employeesA while ago
"We were able to renew with a 10% discount, even while descoping a third of our seats, by leveraging our strict budget and upgrading a sister company's Slack instance to Business Plus and co-terming it with our contract."Company with 201-1000 employeesA while ago
"due to our security requirements, we were forced to upgrade tiers for SSO - positioning budget, and agreeing to muti year with the ELA growth commitment, we received 25% discount on the total cost."Company with 201-1000 employeesA while ago
"Enforcing 5% uplift on every renewal this year, even if usage is increasing. I advised the team to lower their GFE (good faith estimate) to a more conservative user number to cut costs which led to around a $29k savings. Check usage reports with Slack. They will try to have you renew as-is in user counts, including the 5% uplift. Confirm the team is actually utilizing the full amount of users being paid for, because if not you can drastically descope! "Company with 201-1000 employeesA while ago
"We were able to keep costs per user the same YoY at renewal by keeping the auto-renew clause on the term "Company with 201-1000 employeesA while ago
"11.67pupm on an upgrade of 105 users to Slack Business Plus."Company with 201-1000 employeesA while ago
"7% discount on upgrade to Business + for 105 users. "Company with 201-1000 employeesA while ago
"Slack will approve bi annual payments and discounts in exchange for growth in user count. "Company with 201-1000 employeesA while ago
"We were able to move from "self-service" and paying via credit card, to their "QELA plan" by adding 2 users to the contract. "Company with 201-1000 employeesA while ago
"We were coming up for renewal for our contract with 165 users. We had dropped to 150 so they considered anything above that growth. We were paying $12.50 and got to $11.38 with a 2 year term, committing to 165 again"Company with 201-1000 employeesA while ago
"Even though they claim otherwise, Slack will allow a reduction in headcount if you press extremely hard and stand firm. We leveraged our proactivity in communicating the reduction (via RIF) to Slack sufficiently ahead of the renewal term along with the dissatisfaction of executive team after we were told we would have to upgrade our licenses to the next tier in order to receive a reduction."Company with 201-1000 employeesA while ago
"Slack enforced a 5% uplift, and were firm. "Company with 201-1000 employeesA while ago
"Was able to get a flat per license rate on a 1 year renewal with the addition of 15 seats."Company with 201-1000 employeesA while ago
"Was able to secure an additional 10% discount per user by committing to a multi-year and signing before their end of quarter. "Company with 201-1000 employeesA while ago
"Slack on same fiscal year as Salesforce with end of year being 1/31."Company with 201-1000 employeesA while ago
"In this case they were able to get Slack International Data Residency for free on their 12 month agreement. "Company with 201-1000 employeesThis year
"We were able to recognize savings by consolidating workspaces on Enterprise Grid.
"Company with 201-1000 employeesThis year
"We were able to negotiate a 40% discount on the Enterprise plan after Slack removed a one time discount of $85K, due to the move to Salesforce. "Company with 201-1000 employeesThis year
"Slack is unable to approve a move to quarterly payments for renewals if the annual spend is decreasing, they are only able to approve if the annual spend is increasing. "Company with 201-1000 employeesThis year
"We were able to maintain flat pricing for the same scope as last year on the Slack Business Plan. "Company with 201-1000 employeesThis year
"We were able to avoid SFDC's 9% uplift at renewal, as well as any price adjustment on our currently discounted enterprise per-user rate, despite descoping by ~100 users. We accomplished this by signing a 3 year agreement with minimal growth only committed between years 1-2."Company with 201-1000 employeesThis year
"We were able to secure $2k off the initial proposal through mentioning budget constraint. "Company with 201-1000 employeesThis year
"We were able to secure an 18% discount on Business+ with some pushback. This was on a 12 month term, with Net 30 payment terms and we also managed to get the auto-renewal removed to provide flexibility."Company with 201-1000 employeesThis year
"Upon renewal we were able to bundle products, cite previous rates, and the organizations cost cutting initiative to save an additional 5% even with already competitive rates"Company with 201-1000 employeesThis year
"We were able to add a true up schedule into our contract vs committing more upfront "Company with 201-1000 employeesThis year
"We were able to descope and maintain flat pricing for our renewal on a 1 year term for Business Plus."Company with 201-1000 employeesThis year
"Slack contract on Salesforce paperwork. Contract had to go through Salesforce deal desk and there was far less flexibility on pricing and payment terms. Rep informed us that they were unable to get approval for non-annual payments if the contract was not growing at time of renewal. Addition of users along with a multi year term were mentioned as the best flexibility for the per unit cost to be negotiable. "Company with 201-1000 employeesThis year
"Slack will push for co-terming the renewal with the Salesforce contract. Push for discounts and superior terms if co-terming is beneficial for the team. "Company with 201-1000 employeesThis year
"Slack originally proposed a ~4% uplift on the per lic cost for Enterprise Select. We leveraged growth and EOY signature to secure a flat renewal on a 12 month term. "Company with 201-1000 employeesThis year
"We were able to garner the best pricing by agreeing to a 3 year agreement as well as building in growth and citing the previous rates the team had achieved."Company with 201-1000 employeesThis year
"We were able to keep flat pricing despite descoping on a 12 month term. We also had some credit applied from the previous year bringing our costs down. "Company with 201-1000 employeesThis year
"Negotiated a 3% uplift upon renewal and semi-annual payment terms with minimal growth."Company with 201-1000 employeesThis year
"We were able to leverage user growth (10%) and a multiyear agreement to successfully reduce our proposed user pricing by 3%. We secured a price lock in Y2 and free usage above our contracted rate in-between quarterly true-ups."Company with 201-1000 employeesThis year
"Increased our discount from 3.7% to 5.5% through voicing budget constraints and licenses we were paying for that weren't being used. "Company with 201-1000 employeesThis year
"Was able to negotiate a 10.5% savings per user by leveraging user count growth and budget constraints from moving users over from Teams. "Company with 201-1000 employeesThis quarter
"We were able to find savings by changing to their quarterly true up model."Company with 201-1000 employeesThis year
"We descoped as well as agreed to an annual plan vs the self serve for no overages to garner a year over year lower investment point as well as investment free growth"Company with 201-1000 employeesThis year
"We were able to successfully refute SFDC's attempt to revoke our Net45 terms by referencing our previous agreement. User count is the most important thing to SFDC at renewal time, even beyond multiyear. Leverage growth heavily. Prepare for a hard fight against 9%+ uplift if staying flat or descoping."Company with 201-1000 employeesThis year
"We had a descope in users and Slack kept pricing per user flat, we also managed to get the auto-renewal taken off. "Company with 201-1000 employeesThis year
"We were able to limit our license count to reflect actual usage without SFDC's standard requirement for "growth" by citing a recent reduction in force and clear foresight into our projected growth for the future. We were able to remove auto-renew and retain our annual true-up clause also."Company with 201-1000 employeesThis year
"We were able to achieve a 10% discount on our renewal by leveraging a 24-month term and the addition of 20 additional users to our GFE."Company with 201-1000 employeesThis year
"We were able to improve on the initial quote by over 10%+ discounts by opting for a two year deal with 5% user growth in the second year."Company with 201-1000 employeesThis year
"With over 80% growth, we were able to push Slack to improve our rate for the Enterprise grid by 2.5%, achieving a total discount of 49.5%. This saved our team a total of $75K over 24 months. "Company with 201-1000 employeesThis year
"We were able to lock in a 10% discount at renewal by leveraging a 36-month term with a price lock for all subsequent years."Company with 201-1000 employeesThis year
"We've were been given a 10% discount on quarterly payments instead of upfront purchase"Company with 201-1000 employeesThis year
"We moved away from Self Serve to Annual Invoices to have net30 payment terms"Company with 201-1000 employeesThis year
"We were upgrading from Business licensing to Enterprise Grid. Due to our large growth, upgrading & looping in our leadership week we were able to lower our PPU by 7% for the 3 year contract. "Company with 201-1000 employeesThis year
"We were able to reduce Slack's original $30k uplift to only 3% by leveraging a multiyear term with a price lock in Y2. We also capped our uplift at 5% for our next renewal, roughly half of SFDC's current average uplift rate."Company with 201-1000 employeesThis year
"The supplier kept pricing flat for our renewal with no increase. We checked for any early renewal discounts and were advised that there are no discounts offered with the Slack Pro plan."Company with 201-1000 employeesThis year
"Slack is heavily pressing their AI tool and will discount their licenses aggressively if included in the purchase. Be wary of pre-committed user increases in multiyear contracts. Slack is very inflexible if you are later unable to meet those targets and derive value from them. Amendments to the agreement are often only offered if the contract's total value is increasing further."Company with 201-1000 employeesThis year
"We were able to recognize savings by agreeing to a 2 year term, right sizing the contract, avoiding uplift in a year from now, and moving from Quarterly to Annual True Ups (i.e. avoiding overages entirely for 12 months vs adding users each 3 months)."Company with 201-1000 employeesThis year
"Slack is offering discounts as low as $2.50 user/month on their Pro plan in India. Payment terms have shown to be as flexible as Quarterly for annual agreements."Company with 201-1000 employeesThis year
"Slack commonly presses Pro agreements to move to Business+ or Enterprise, but this is not required. Teams may remain on Pro for as long as the feature set suitably meets the needs it is targeted to satisfy."Company with 201-1000 employeesThis year
"Organizations on the Pro plan may not have an assigned account rep. These are traditionally assigned when a purchase has been made or interest has been established at the Business+ level or above."Company with 201-1000 employeesThis year
"We successfully renewed Slack by leveraging Vendr to help us upgrade to Enterprise Grid, resulting in a 32% discount, despite a 40% reduction in users. This adjustment allowed us to meet our budget cap, bringing the total contract value exactly where we needed it for a 12-month term, achieving approximately $37,194 in savings.
"Company with 201-1000 employeesThis quarter
"In some cases, it makes more sense to stay on annual true up model and agree to more licenses then less licenses on quarterly true up due to the slightly higher rates on quarterly true up. Ensure to project growth and find the breakeven point for your specific scenario"Company with 201-1000 employeesThis quarter
"Salesforce will extend renewal signatory deadline when negotiating legal redlines"Company with 201-1000 employeesThis year
"Slack's initial renewal offer included their standard 9% increase in rate. We pushed back, leaning on budget constraints and received the same rate (no uplift) and lowered our scope to better align with our usage. "Company with 201-1000 employeesThis year
"We were able to recognize slight savings by agreeing to a 2 year agreement, building in growth year over year, and citing the previous rates extended to the team."Company with 201-1000 employeesThis year
"We were able to work together to identify 25 licenses that were not necessary as well as getting the same rate proposed for a 2 year agreement for a 1 year term."Company with 201-1000 employeesThis year
"We were able to negotiate with Slack due to the upgrade to Grid that was solely due to only needing a few features. Additionally, we were able to mitigate a 9% uplift year over year after years 1 and 2 by agreeing to a 3 year contract as well as having language added to cap the uplift at 5% after year 3."Company with 201-1000 employeesThis year
"We were able to retain our previous 10% discount and rebuff a requirement to growth by 15% in the second year of our 24-month term along with a 7% uplift cap for our next renewal."Company with 201-1000 employeesThis year
"The team decided to pivot to the quarterly true up model considering the lack of growth expected. While there is no discount per license, it did allow the team to renew at the current license count rather than provide a good faith estimate."Company with 201-1000 employeesThis quarter
"We were able to recognize savings by agreeing to a 3 year term which saved the team on the rate but also mitigated the standard 9% increase upon renewals by keeping the rate flat each year. We were also able to build in language for no more than 7% increase upon renewal after the 3 year term."Company with 201-1000 employeesThis quarter
"Slack was unable to provide enough incentive to justify the added cost of moving to Business+ from our current Pro tier. We opted to add the users we require and remain on the entry level tier."Company with 201-1000 employeesThis quarter
"We were able to upgrade our payment terms to quarterly despite a slight reduction in users on a 12-month term by simply requesting it of the sales rep."Company with 201-1000 employeesThis quarter
"When looking at the two different billing models that slack offers, ELA (Annual True Up) and QELA (Quarterly True Up), Please note that you are not able to descope during the true up each quarter. Slack will sometime present a higher unit price for QELA for allowing the team to purchase only the provisioned licenses but this often times is best when no growth is expected or the team intends to gradually descope."Company with 201-1000 employeesThis quarter
"Slack has recently release Slack AI at $10 PUPM List as an add on regardless of tier the team is currently using"Company with 201-1000 employeesThis quarter
"Slack does not offer a trial of Slack AI and therefore if your team is looking to test it out, you will need to add it on either at renewal or during your term as an amendment. In this case, we experienced a big negative in doing so, because after amending the contract to allow the team to test Slack AI for 2 months before renewal, when the team decided it did not meet expectations the Slack team raised their other line items rates noting that removing AI would be a "descope""Company with 201-1000 employeesThis quarter
"Our Slack rep offered to lower SlackAI pricing to $7/seat (180 users) for an expedited signature of EOW. Standard pricing is $10/seat/month. This was mid contract, and we wanted time to review so we are still in process of discussing, but will lean on this rate in the future if we decide to pursue. "Company with 201-1000 employeesThis quarter
"We were lowering our licensing by 7% to better align with our current usage/needs. Slack increased our rates by nearly 15%, but we were able to keep the same per license rate ($11.25) by leaning on a pre-approved budget and EOM deals. "Company with 201-1000 employeesThis quarter
"Slack AI is a new product that requires 1:1 for licenses "Company with 201-1000 employeesThis quarter
"Slack AI cannot be selectively rolled out to individual users or groups of users in your organization. It is an org-wide 1:1 match with your Slack user base. Evaluate applicability and overall cost-to-value with your team before considering its addition."Company with 201-1000 employeesThis quarter
"We were able to negotiate a slightly lowered PUPM costs for some growth"Company with 201-1000 employeesThis quarter
"Slack rarely offers discounts on their Pro tier. Discounts traditionally begin at the Business+ tier, unless your team is of significant size and/or carries some semblance of logo weight. "Company with 201-1000 employeesThis quarter
"We were able to recognize savings by right sizing the contract and utilizing QELA to renew only with provisioned licenses rather than a good faith estimate."Company with 201-1000 employeesThis quarter
"We were considering upgrading from pro to business+ licensing and due to EOM, the slack team provided 20% off and quarterly payments "Company with 201-1000 employeesThis quarter
"When entertaining longer term agreements, it is not recommended to use their quarterly true up model, especially if high growth is expected."Company with 201-1000 employeesThis quarter
"We brought up the fact that our team already uses MSFT for many communication methods so will be considering lowering our Slack licenses. With this, they allowed us to avoid an uplift and have a flat renewal. "Company with 201-1000 employeesThis quarter
"Despite a rough start generating interest and adoption, Slack's AI tool still requires payment to demo."Company with 201-1000 employeesThis quarter
"For those based internationally, it is good to double-check the cost of the US market on their website if you have below 150 users as there is often a premium for international and this was good leverage throughout the negotiations. "Company with 201-1000 employeesThis quarter
"Slack is significantly more willing to provide commercial advantages in the final month of their fiscal quarters. Take note of your renewal date and aim to sign early to take maximum advantage if applicable."Company with 201-1000 employeesThis month
"Slack AI is required to be 1:1 with licensing for business, but for enterprise licensing you do not need to do 1:1."Company with 201-1000 employeesThis month
"Slack AI has to be purchased at the same volume as the other licenses and cannot be purchased for only a few or for C-Suite members"Company with 201-1000 employeesThis month
"Slack Sales Elevate sku is only available for Business+ and Enterprise Grid plans"Company with 201-1000 employeesThis month
"We were able to keep our Slack pricing and avoid any uplift by adding the Slack Elevate sku. This did not have to be 1:1 to our Business Plus licensing. "Company with 201-1000 employeesThis month
"In the event of significant overgrowth during multiyear terms, it can be extremely advantageous to reach out to your Slack rep to see if a renegotiation will be possible prior to the automatic true-up."Company with 201-1000 employeesThis month
"We were able to save 20% on our renewal by leveraging economies of scale, an early signature, and a multiyear term. We were able to include a price lock for all subsequent years and an upgrade to Net 45 terms along with a no auto-renew clause."Company with 201-1000 employeesThis month
"When building in growth to a longer term contract, push for consistent rate year over year instead of lower rate in year 2, this will save the team funds in year 1."Company with 201-1000 employeesThis month
"At renewal we were able to achieve circa 20% savings by leveraging a multi year agreement and committed upfront growth across the entire period. "Company with 201-1000 employeesThis month
"We were able to reduce our license cost by 10% despite decreasing our user count."Company with 201-1000 employeesThis month
"Although rare, Slack has the ability to meet billing requirements without commercial concession."Company with 201-1000 employeesThis month
"We were able to add a second child account during a descope in order to keep the rate the team previously had."Company with 201-1000 employeesThis month
"We were able to save 30% on our agreement costs by leveraging a renegotiated early contract extension with 200% growth YoY and multiple years of additional commitment. "Company with 201-1000 employeesThis month
"Make sure to always ensure whether your contract is only quarterly or annual true up schedule"Company with 201-1000 employeesThis month
"We were able to maintain a flat rate for the same amount of users by moving from a 12 month to a 24 month agreement. "About Vendr
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