SAP’s Latest Shareholder Meeting: Sales Growth, New Customers, and Product Innovations

SAP’s Latest Shareholder Meeting: Sales Growth, New Customers, and Product Innovations

SAP’s latest shareholder meeting showcased impressive growth in sales, a surge in new customers, and significant product enhancements. With SAP expanding its cloud-first approach and AI-driven solutions, businesses need to understand the implications for their IT investments. More importantly, customers looking to purchase or renew SAP solutions must employ strategic negotiation tactics to maximize savings.

SAP’s Performance in 2024: Key Sales and Customer Growth

Strong Revenue Growth

SAP reported a 10% increase in total revenue, reaching €34.18 billion, fueled by its shift to cloud services. The cloud revenue saw a 25% surge to €17.14 billion, highlighting the company’s aggressive push toward SaaS and subscription-based models. Additionally, the cloud backlog grew by 32% to €18.08 billion, demonstrating SAP’s strong market position and demand for its solutions.

Expanding Customer Base

SAP continues to acquire high-profile customers across industries such as manufacturing, financial services, and retail. Fortune 500 companies are adopting SAP’s solutions, further cementing its leadership in enterprise software.

Innovative Product Enhancements

SAP unveiled multiple product innovations aimed at improving automation, efficiency, and decision-making capabilities:

  • SAP Business AI: Enhanced AI functionalities to drive automation and predictive analytics.
  • RISE with SAP Improvements: Streamlining cloud migration for easier adoption.
  • Sustainability & Compliance Tools: New features supporting ESG reporting and governance.

These advancements reinforce SAP’s commitment to innovation and digital transformation, making it essential for businesses to align their IT strategies accordingly.

How SAP Customers Can Find Savings in New Purchases and Renewals

Given SAP’s growth and pricing trends, businesses must implement effective negotiation tactics to optimize costs. Here’s how:

1. Utilize Market Benchmarking

Compare SAP pricing with industry benchmarks to gain negotiation leverage. Understanding competitive rates ensures you get fair pricing.

2. Choose the Right Licensing Model

Assess your software usage and select the most cost-effective model—cloud subscription, perpetual licensing, or hybrid—to avoid overpaying.

3. Negotiate Early for Better Discounts

Starting negotiations well before the renewal deadline provides room for securing multi-year discounts and additional incentives.

4. Bundle Solutions for Cost Efficiency

Consolidating multiple SAP solutions (e.g., SAP S/4HANA, SAP SuccessFactors, and SAP Business AI) can unlock bulk discounts and added service benefits.

5. Scrutinize Indirect Usage Fees

SAP’s indirect access policies can lead to unexpected fees. Carefully review and negotiate these terms to avoid hidden costs.

6. Take Advantage of Cloud Migration Incentives

SAP offers promotional pricing and migration credits for businesses transitioning from on-premises to cloud solutions—leveraging these incentives can reduce expenses.

7. Consult SAP Negotiation Experts

Engaging specialists like KontractOne ensures you receive optimized pricing, improved contract terms, and significant cost reductions in your SAP agreements.

Optimize Your SAP Costs with KontractOne

SAP’s continued expansion and product innovation make it essential for enterprises to take a strategic approach to negotiations. KontractOne helps businesses navigate SAP contracts, uncover savings opportunities, and align IT investments with operational needs.

Contact KontractOne today for a free consultation and start securing maximum savings on your SAP deals.

Stay Updated & Save More

Subscribe to our newsletter and follow KontractOne for expert insights on SAP negotiations and IT contract strategies.