Voted Best Answer
Sep 06, 2017 - 05:47 AM
Few points, I'd review your contract as Oracle tends to leave a clause in there that prevents you from disclosing discounts. Not sure if that is the case for you but, reegardless I would stay anynomus until you confirm.
As for discount strategy...
I would treat renewals and NetNew purchase as different transactions. Oracle separates their sales staff into renewals and NetNew and it is encumbant on your to follow suit to ensure maximum discounting.
Renewals: Your current discount -9% isn't too bad as a penalty for reducing number; however, there are things you can do.
What is your total Spend? Is less 75 User more or less than 9% of total spend?
How many usrs are you renewing? Is 75 equal to 9%?
In your original contrcat did you negotiate a pricing table for discounting levels? If so is the 9% less in discounts aligned?
Essentially you could make an argument that 9% discount should invalidate the previous discounting levels.
Oracle works on sales targets for both a quarterly and yearly basis. Since you are standing up a Sandbox you could delay (or at oeast use that tactic with the sales folks) to maintain or reduce the unit price of the material. On NetNew purchase a 50% discount isn't unheard of espacially if that is the focus of Oracle for that quarter/year. Meaning, use that knowledge to drive further discounts. The other point you should make to teh sales folks, is that this is a sandbox and if the developper like teh features, capabilities, etc, there is a high possibility to expand the NetSuit footprint. This may not get you anything initially, but its worth a shot.
Overall, align all purchase to the Oracle EOY if possible but at minimum you should align renewals to a single date.
Hope this was helpful on giving you some tangible tactics/strategies for your Oracle transactions. :)