Advisory Report: Negotiating SAP RISE Add‑Ons (BTP, AI, Analytics)

Advisory Report: Negotiating SAP RISE Add‑Ons (BTP, AI, Analytics)

RISE with SAP is an all-in-one cloud offering that bundles SAP S/4HANA Cloud (ERP) with essential tools and services under a single contract. Beyond the core ERP, many enterprises require add-ons like the SAP Business Technology Platform (BTP) for extensions/integrations, SAP’s AI capabilities, and analytics solutions (e.g., SAP Analytics Cloud).

If managed cost-effectively, these SAP-provided services can unlock significant innovation. This report examines how BTP credits, AI tools, and analytics services are priced and incorporated into RISE contracts, common patterns in enterprise negotiations, and strategies for successfully negotiating these add-ons.

Key focus: We will only cover SAP-provided services (not third-party tools). The goal is to help you understand pricing models, contract options (bundled vs. separate), real-world negotiation insights, pricing benchmarks, and best practices for negotiating RISE add-ons.

Pricing Models for SAP BTP, AI, and Analytics Services

SAP Business Technology Platform (BTP) Credits: SAP BTP is licensed primarily on a consumption-based model using Cloud Platform Enterprise Agreement (CPEA) credits.

Under a CPEA (also called BTP Enterprise Agreement), you prepay for a pool of “cloud credits” which can be spent on any BTP services (integration, extensions, database, etc.) as needed.

Key points include:

• Consumption & Flexibility: Credits act like currency—consuming any BTP service (from AI to integration) draws down your credit balance. This provides the flexibility to use various services without separate licenses for each. Credit pricing is usage-based (e.g., a certain number of credits per hour of compute, per GB of storage, per API call, etc.). SAP’s Discovery Center catalog lists each service’s “rate” in credits.
• Commit vs. Pay-as-You-Go: Enterprise customers typically commit to an annual credit purchase (e.g., minimum ~€10K per year commitment) for discounted rates. The more you commit, the bigger the volume discount on services. By contrast, Pay-as-You-Go (PAYG) is available with no upfront commitment – you’re billed monthly purely on usage, but at full list prices (no volume discounts). Many start with PAYG for pilot projects and then switch to a CPEA once usage patterns are clear for better pricing.
• Subscription Options: Some BTP services can also be licensed via fixed subscriptions instead of credits. For example, you might subscribe to a SAP Integration Suite package (with X number of messages/month) or SAP HANA Cloud with a fixed capacity. In these cases, you pay per year for a defined quota (providing cost predictability if you have steady usage). Subscription metrics vary – some are per user, others per resource or transactions. This model can be ideal for a known high-volume service to avoid drawing down too many credits, but it is less flexible if you want to reallocate resources across services.

AI Tools and SAP Business AI: SAP’s AI offerings (such as SAP Business AI services, AI Business Services, and the new generative AI features) are generally usage-based.

SAP has introduced a concept of “AI Units” as a virtual currency for consuming AI services.

Important aspects:

• Generative AI (e.g., SAP’s Joule AI Copilot): With RISE’s new Premium Plus tier, SAP bundles some generative AI features but ties them to usage limits. Premium Plus includes several bundled AI units, which can be used for various AI scenarios. Different AI actions (e.g., generating an insight, processing a request) consume a specified number of units. Once the included AI units are used up, customers must purchase additional units to continue using that AI feature. In other words, generative AI pricing under RISE is a mix of bundled usage and pay-per-use beyond that – an “opaque mix of bundled and usage-based pricing” as one analysis noted. This means estimating cost requires understanding how many AI units each use case will consume, how many units you get bundled, and the cost per additional unit. (As of late 2023, experts have flagged that SAP’s AI pricing lacks transparency and could be complex for customers to predict.)
• SAP AI Business Services (e.g., Document Processing, Cash Application): These are typically cloud services on BTP, charged per use (often via BTP credits). For instance, SAP Cash Application (an AI tool for matching payments) might be licensed as a service; historically, AI-driven extensions could be separate subscriptions or included in higher S/4HANA editions. As SAP moves to the “embedded AI” approach, many AI features are included in the ERP but may require an AI consumption license. SAP has signaled that entry-level pricing for SAP Business AI is very accessible – “every customer should be able to afford €700 a year to start leveraging SAP Business AI”. This suggests SAP offers low-tier packages (on the order of a few hundred euros) that provide a baseline of AI units or services for features like AI-driven ticket recommendations, etc. (For example, one SAP blog calculated an AI feature cost of ~€0.05 per execution, yielding enormous ROI in certain scenarios) In summary, expect AI tools to be consumption-based (per API call, document, or “unit”), with small starter packages available and larger volumes requiring more spend.
• Pricing Transparency: It’s worth noting that SAP’s move to the AI unit model is new – negotiating clarity on how those units translate to business outcomes is vital. You should ask SAP for the unit consumption rates of relevant AI scenarios (e.g., how many units one invoice auto-match consumes, how many units are needed for a chatbot conversation, etc.) and what the cost per unit is under your agreement. This will help you avoid surprises once you start using AI at scale.

Analytics Services (SAP Analytics Cloud and Data Analytics): SAP’s flagship analytics offering is SAP Analytics Cloud (SAC), often paired with S/4HANA for reporting, dashboards, and planning.

Key pricing characteristics:

• SAP Analytics Cloud (SAC): SAC is typically licensed on a subscription per user basis. There are different user types: a Business Intelligence (BI) user (for reporting, basic analytics) and a Planning user (for planning and predictive features). The planning license is more expensive as it includes all BI features plus planning capabilities. As a benchmark, an SAC planning user has been reported to cost around $250–$300 per user/month, while a basic BI user might cost roughly $180 per user/month. (Exact prices vary by region, as well as negotiated discounts.) SAC subscriptions are usually sold as an annual SaaS license, based on the number of named users. In some cases, SAP has also introduced a pay-as-you-go option for SAC via the BTP consumption model (meaning you could consume SAC capabilities via BTP credits), but this is less common for enterprise deals. Most large companies opt for the named-user subscription model for SAC to get predictable costs.
• SAC in RISE Packages: In RISE with SAP Premium Plus edition, SAP explicitly includes “integration with SAP Analytics Cloud for planning and analytics”. This implies that the Premium Plus bundle has some SAC usage rights (for example, it may include SAC Planning licenses for certain users or an embedded SAC tenant for planning scenarios). Indeed, Premium Plus focuses on advanced financial management, forecasting, and group reporting – areas that leverage SAC. If you opt for Premium Plus, clarify how many SAC user licenses (or how much SAC capacity) is included. Outside of Premium Plus, SAC is usually an add-on: standard RISE contracts don’t automatically include full SAC rights. You would need to license SAC separately (or as an addition to the RISE order form) if you want enterprise-wide analytics and planning, unless you negotiated it into the bundle.
• Other Analytics (SAP Datasphere): SAP Datasphere (formerly SAP Data Warehouse Cloud) is a BTP-based data warehouse and analytics service. Its pricing can be consumption-based or subscription-based. Often it’s sold in fixed-capacity blocks (e.g. 128 GB of storage & compute bundle per month) or via cloud credits. In some RISE contexts, SAP might include a limited Datasphere entitlement for certain use cases (one RISE entitlement table referenced small SAP Datasphere user limits in a premium package). However, generally, Datasphere would be a separate subscription if an enterprise plans to use it heavily (priced by the capacity of data and users). Ensure that you discuss with SAP how any analytics data warehousing needs will be met via BTP credits (pay per use) or a subscription.
• SAP BusinessObjects or Others: Traditional on-premise analytics tools (like BusinessObjects) are not part of RISE (if they were still used, they would be separate licenses). RISE’s analytics focus is on cloud tools like SAC. If you’re transitioning from old BI tools as part of your S/4HANA move, consider negotiating SAC as the strategic replacement.

Summary: BTP credits give flexible, consumption-based access to a broad range of services (integration, extension, data, AI) on SAP’s platform. AI services are charged by usage (now managed via “AI units” for generative AI), sometimes with inexpensive entry options to encourage adoption.

Analytics services like SAC are usually subscription-based per user (with a premium paid for planning features) unless bundled in a premium RISE package. Understanding these models is crucial to structuring a cost-effective contract.

Add-Ons in SAP RISE Contracts: Bundled vs. Separate

A major benefit of RISE with SAP is contractual simplicity – it attempts to bundle essential components into one agreement.

However, not everything is automatically included. Here’s how BTP, AI, and analytics add-ons are typically incorporated:

• Entitlements in RISE: Most RISE contracts include some BTP usage credits as a standard entitlement. SAP aims to encourage a “clean core” ERP with customizations done on BTP, so they bundle a starter amount of BTP capacity. Typically, RISE with SAP (public cloud edition) comes with ~2,000 up to 16,000 BTP credits per year, and the private edition comes with ~4,000 up to 16,000 credits, depending on the size of the S/4HANA deal (annual contract value). In practice, SAP often provides a “voucher” of BTP credits ranging from a few thousand to 16k to jumpstart your BTP usage. These credits are essentially prepaid and included in your RISE subscription fee. For example, a medium-sized RISE contract might include 5,000 BTP credits annually at no extra charge, which you can use for building extensions, integrations, or trying out SAP Build apps. Some specific BTP services may also be included as fixed entitlements: SAP has noted that RISE customers need to enable necessary extensions. Always check your RISE contract/order form for a section detailing “BTP entitlements” or included services. If you have RISE Premium or Premium Plus editions, the included BTP credits are higher – SAP explicitly ties higher RISE editions to greater BTP consumption allowance. Higher tiers might also bundle other tools (e.g., Signavio processes transformation tools are included in Premium, AI capabilities, and sustainability tools in Premium Plus). In short, RISE does bundle a baseline of BTP and other tools, but the amount can be limited.
• Bundled AI & Analytics in Premium Plus: With the introduction of Premium Plus (around 2023), SAP began bundling some of its newest innovations. Premium Plus “adds generative AI capabilities (SAP’s AI copilot Joule) for smarter insights” and “integration with SAP Analytics Cloud for planning and analytics,” among other advanced features. If you opt for Premium Plus, you’re not just licensing S/4HANA – you’re also getting certain AI scenarios (e.g., perhaps AI-driven forecasting or AP invoice automation) and likely some SAC planning license to perform those integrated planning and analysis functions. However, even in Premium Plus, note that some of these capabilities have usage caps. As mentioned, generative AI comes with a bundle of AI units; beyond that, you pay per use. So, while the subscription includes access to the feature, heavy use will incur additional fees. SAC integration in Premium Plus likely means you can use SAC for S/4 planning (possibly an embedded SAC tenant or a limited number of users). If your analytics needs go beyond that (for instance, enterprise dashboards for hundreds of users), you might still need additional SAC licenses. In summary, Premium Plus bundles more innovation, but on SAP’s terms, some portions are “all-you-can-use,” and others are metered.
• Separate Add-On Subscriptions: The included entitlements are a starting point for many SAP customers. If you need more BTP capacity or additional cloud services, you will attach add-ons to the RISE contract. There are two main ways this happens:
  • RISE Add-On via Cloud Supplement: SAP can include additional services in your RISE order form (like extra BTP credits, SAC licenses, etc.) but still tie them to the RISE agreement. For example, you could negotiate an additional block of BTP credits above the free amount and include that (with its price) in the RISE contract. You might also add several SAP Analytics Cloud licenses as a line item. These add-ons would typically co-terminate with your RISE subscription (same end date) and be governed by the same overall contract (often via a Cloud Services Addendum). The pricing for these would be negotiated, ideally with package discount considerations, since it’s part of a bigger deal.
  • Standalone Contracts (Linked to RISE): Alternatively, you might keep some services on a separate contract (especially if they predate RISE). For instance, if you already had SAC or SuccessFactors, you might not fold them into RISE; rather, you should align the terms or use separate agreements. SAP prefers to consolidate as much as possible into RISE for simplicity (and stickiness), but it’s not mandatory. Be aware: if you keep an add-on separate, you might lose some leverage on the discount a bundled deal could provide. Conversely, a separate contract might offer flexibility to terminate or adjust that service without affecting the core ERP deal.
• Bundled vs Separate – What to Watch:
  • Bundling advantages include fewer contracts to manage, better bundle discounts (SAP might give a higher discount on SAC or BTP if it’s part of the big RISE negotiation), and a unified renewal. SAP often pitches RISE as combining everything into one price. For example, RISE Premium includes SAP Business Network documents, BTP credits, etc., all in one fee. Enterprises have leveraged this to get much value “included” in RISE instead of buying piecemeal.
  • Bundling drawbacks: Lack of transparency in cost breakdown and possible over-commitment. When SAP bundles, you might not see the exact price of each component. This can make it hard to tell if the SAC portion is priced competitively. Also, if you need an add-on drop, you’re stuck with it for the term. Some customers prefer to keep fast-evolving tech (like AI) on shorter contracts to maintain flexibility.
  • Separate add-on advantages: Granular control – you could have a one-year trial of an AI service, for instance, rather than locking it into a 3-5 year RISE term. You also maintain the ability to swap out a service for a competitor if it’s not part of the monolithic RISE contract (though, as per instructions, we focus on SAP services, it’s still a negotiation leverage if SAP knows you could go elsewhere for, say, analytics).
  • Separate drawbacks: Potentially higher costs (no bundle discount), and the headache of managing multiple renewals and vendor discussions. Unlike negotiating it upfront, SAP might offer less favorable terms if you buy an add-on later outside the initial RISE deal.
• Typical Approach: Many enterprises negotiating RISE will initially bundle as much as possible to maximize their discount and incentives from SAP, but with a clear understanding of each component’s scope. For example, a company might ensure the RISE contract includes all required BTP credits for known projects, a set of SAC licenses for current users, and perhaps SAP Enable Now (training platform) if needed, rather than buying them later. They leverage the big RISE deal to get it all at once, often at a better price. However, they will also negotiate flexibility (we’ll cover this in the next section) to adjust those entitlements if needed. Some organizations start with just the included basics (to avoid over-buying) and plan to expand later once they better grasp usage. However, note that your leverage to negotiate a good price is highest before you sign the RISE contract. After you’re locked in, SAP knows adding a service later is less optional for you, which can weaken your bargaining position.

In summary, SAP-provided add-ons can be bundled or separate, depending on your needs and negotiation. RISE bundles a baseline of BTP (and limited AI/analytics in higher tiers), but anything beyond that baseline can be negotiated into the contract or bought separately.

It’s critical to identify what’s included vs. excluded upfront. For example, implementation services are not included in RISE (those come via partners), and similarly, advanced analytics or AI may not be included unless you choose the package that contains them. Clear delineation will help you avoid surprise gaps in functionality or budget.

Enterprise Negotiation Patterns and Case Studies

Many enterprises have navigated RISE with SAP add-ons, and several common patterns and lessons have emerged:

• Negotiating Additional BTP Credits: It is very common for customers to find the bundled BTP credits insufficient for their plans (especially if they intend to build multiple extensions or use integration services heavily). Successful negotiators treat BTP credits like a utility and negotiate upfront for what they need. For example, one large enterprise realized the standard 5,000 credits per year wouldn’t cover their planned integration workloads. During negotiation, they pushed SAP to include a larger BTP credit pool at a discounted rate as part of the RISE deal. Eager to close the RISE sale, SAP agreed to bundle extra BTP usage credits at no additional cost (effectively giving them 10,000 credits/year bundled instead of 5,000). In practice, this meant the customer didn’t pay more, but got significantly more BTP capacity – a win-win: SAP secured the deal and the customer got more value. Case in point: After tough price talks, a pharmaceutical company accepted SAP’s overall price but asked for “sweeteners” – SAP threw in free extra sandbox systems and a “bundle of BTP usage credits” at no charge. This increased the total value the customer received without increasing cost, effectively a deeper discount in value terms. Lesson: If SAP hesitates to cut the subscription price further, ask for value-adds like more BTP credits, test systems, or training services. These often cost SAP little but save you a lot.
• Bundling SAC or Analytics in the Initial Deal: Companies that foresee a need for SAP Analytics Cloud often negotiate it upfront rather than later. For instance, an enterprise replacing its legacy BI with SAC requested SAP to bundle a set of SAC licenses into the RISE contract. SAP’s sales team, keen to showcase RISE as a comprehensive solution, was willing to provide SAC Planning licenses for 50 users at an attractive rate folded into the RISE annual fee. The customer avoided a separate SAC purchase (which might have been at higher list prices). Additionally, having SAC tied to the RISE contract gave them a unified renewal and potentially leveraged the total contract value for a better discount. SAP may bundle SAC in tiered packages (sometimes they have promotions like a discounted add-on for “RISE with SAC” if purchased together). However, some customers choose a different route: one company opted not to bundle SAC immediately, instead starting a small trial on a monthly plan (via BTP pay-go) to assess usage, then converting to a full SAC subscription in the second year of RISE. They were able to negotiate at that later point using internal data to show they would only need a certain number of licenses (avoiding overbuying initially). Lesson: If analytics usage is clear from the start, bundling can lock in a good price; if not, consider a phased approach, but recognize you may pay a bit more later once the initial deal is signed.
• Volume Discount and “Higher Tier” Strategies: Like core RISE user counts (where buying slightly more users could push you into a better pricing tier), similar logic can apply to add-ons. Case example: A global manufacturer negotiating BTP credits found that the per-unit credit cost dropped significantly if they committed to a higher annual spend on BTP. SAP provided volume discount brackets for BTP consumption – at €50K/year, commit the credits were priced maybe 20% lower per unit than at €20K/year. The company realized their likely usage would grow to that higher level in a couple of years, so they negotiated a larger commitment upfront to lock in the lower unit cost. In exchange, they demanded (and received) flexibility such as the ability to carry over unused credits to the next year and a mid-term adjustment clause (more on that below). This is analogous to how some enterprises slightly increase their RISE user count to hit a better price per user. Lesson: Always ask SAP for the pricing tiers or volume discounts on any add-on (BTP credits, number of SAC users, etc.). You might find that a marginally larger purchase greatly improves unit pricing, which can save money over the contract term if you grow into that volume.
• Overestimate/Underestimate Pitfalls (Real-World Outcomes): A pattern seen among early RISE adopters is misjudging BTP consumption. SAP itself noted that a huge amount of purchased BTP credit value went unused across customers, on the order of $600 million of BTP credits left on the table in recent years. For example, one company enthusiastically negotiated 10k BTP credits/year (wanting to ensure they had “enough”), but after two years, they had used barely 40% of that allotment. Those unused credits expired (since most contracts have a use-it-or-lose-it policy each year), meaning hundreds of thousands of dollars of value evaporated. Conversely, another company underestimated their needs: they took the included 2k credits, but their integration workloads blew past that mid-year. Without a plan, they were charged overage at full list prices, which gave them a nasty bill shock. They had to scramble to negotiate a new CPEA mid-term. Lesson: Aim for accuracy in forecasting usage. If you must err, slightly over-commit with protections, rather than grossly over-committing or under-committing. Unused capacity is wasted budget, but under-provisioning can trigger punitive pay-as-you-go rates. Many customers have learned to negotiate a true-up mechanism: the right to purchase additional BTP credits at the same discounted rate as the initial contract if they start to run out. One enterprise’s contract had a clause that if they hit 90% of their credits by Q3, they could buy a top-up at the pre-negotiated rate (avoiding the list price default). This kind of clause was born from seeing others get burned by overages. On the flip side, try negotiating some rollover or flexibility on unused credits: e.g., “if we don’t use 100%, allow 20% to carry to next year”. SAP may not always agree, but some customers have gotten partial rollover or an extended usage period for credits as part of large deals.
• Generative AI and Premium Plus Negotiations: Premium Plus is new, so enterprises are still digesting how to negotiate it. A notable early pattern is skepticism around the “AI units” model. SAP customers and advisors have publicly expressed concern that the complexity of AI units makes it hard to value the offering. Some clients have responded by demanding clarity and safeguards when considering Premium Plus. For example, an enterprise interested in generative AI insisted that SAP include sufficient AI units upfront (to cover their first year of expected use cases) at a fixed cost. Further, they negotiated a fixed rate for additional units they might buy. Essentially, they didn’t want an open blank check for AI usage. Eager to get a flagship customer onto Premium Plus, SAP agreed to a detailed rider: X number of AI units bundled per year, and a price of $Y per additional 1,000 units if needed, valid for the contract term. This gave the customer cost predictability. Additionally, savvy customers are asking for the option to downgrade if the promised AI value doesn’t pan out – e.g., A clause to revert from Premium Plus to regular Premium after a year or two if the AI features under-deliver. We’ve seen at least one case where a client got a contractual checkpoint at 18 months: if the AI usage was minimal or ROI not realized, they could switch off Premium Plus (reducing fees in the future
  ). Lesson: Treat new offerings like Premium Plus with caution – negotiate trial periods, clear unit pricing, and the ability to adjust once actual usage is observed. SAP will likely be somewhat flexible here because they want references for these new AI-laden packages, so use that to your advantage.
• Benchmarking and Competitive Leverage: Many enterprises have quietly benchmarked SAP’s prices for these add-ons against alternatives. While ultimately they choose SAP’s solutions for compatibility, they use the threat of competition as negotiation leverage. For instance, one company evaluating SAP Analytics Cloud also considered a competitor’s BI tool and let SAP know that SAC’s price was coming in higher. SAP responded with a deeper SAC discount to close the gap and keep the analytics in-house. Similarly, some customers use the option of building on a hyperscaler (AWS/Azure) platform as leverage against BTP pricing. E.g. “If BTP credits are too costly, we might just build this extension on AWS directly.” In one case, a financial services firm in RISE negotiations highlighted that running certain high-availability applications on BTP looked more expensive than their direct AWS setup – this pushed SAP to improve the commercial offer for BTP to avoid the customer offloading that part of the project. Lesson: Even if you plan to stick with SAP’s platform, benchmarking and mentioning alternatives can be valuable. SAP knows it must stay competitive if it’s not locked in yet. This has led to some customers achieving 30–50% discounts off list on cloud services by showing SAP they have a Plan B.
• Case Study – Phased Adoption: A multinational conglomerate took a phased approach in their RISE journey, illustrating a thoughtful pattern. In Year 1, they focused on deploying S/4HANA and didn’t immediately ramp up custom extensions. They negotiated their RISE contract to include a moderate amount of BTP credits (say 3,000) and a small number of SAC users for planning, knowing those would cover initial needs. They did not purchase the full envisioned amount for 5 years upfront. Instead, they included a contractual clause that SAP will evaluate usage after 18 months and allow an increase of BTP credits at the same discount rate if needed. This way, they weren’t paying for capacity not used in year 1 but had a pre-negotiated expansion path. Sure enough, after migrating and stabilizing core ERP, they started building extensions and using more analytics in year 2. They triggered the option to add more BTP credits in year 2 at the pre-agreed rates, rather than renegotiating from scratch (or paying overage). This phased approach saved them from over-buying on day one, but still locked in reasonable pricing for later growth. Lesson: If your transformation will roll out in phases, align your contract similarly. To avoid paying too much upfront or premium prices later, negotiate flexible growth provisions – e.g., “we can add up to X more users or Y more credits in year 2 at Z% discount”.

The negotiation patterns boil down to maximizing value and minimizing risk. Customers who have succeeded with RISE add-ons:

• Get SAP to “throw in” extras (credits, services) when direct discounts hit a wall.
• Insist on transparency and protections (for consumption metrics, overages, renewals).
• Leverage timing and alternatives to extract better pricing.
• Align purchases with actual deployment to avoid shelfware.
• Use SAP’s incentives (like cloud credits for migrations, which 2024 offered up to 100% of first-year ACV rebated for public cloud moves) to their advantage – essentially, be aware of programs where SAP is more generous, and time your deal to ride those waves.

Real-world stories consistently show that those who come armed with data, a clear plan for what add-ons they need, and a willingness to push for better terms end up significantly more value in their RISE contracts.

Pricing Benchmarks and Contract Term Insights

When negotiating BTP, AI, and analytics components, it helps to have benchmarks and understand typical contract terms:

• BTP Credit Consumption Benchmarks: As noted earlier, many SAP customers receive 2k–16k BTP credits/year, which are included with RISE. As a rough guide, 1 credit = €1 of list price value (credits are essentially pegged to currency). If you need additional credits, consider that SAP often sells CPEA credits in blocks with volume discounts. For example, committing ~€100K/year in BTP spend might get you a 20–30% discount off list service prices, whereas a minimal €10K/year might be little to no discount. Always ask SAP what discount level your credit pool reflects. As a benchmark, entry-level CPEA commitments start around $10K/year (minimum), but large enterprises might commit several hundred thousand per year to BTP if it’s strategic. Remember that unused credits expire annually in standard terms (unless negotiated otherwise), so size the commitment to what you can use in a year.
• Cost of Common BTP Services: While rates change, a few examples: Integration Suite might cost on the order of €0.10 per message (so 50k messages = €5k), SAP Build Process Automation might be a certain number of credits per workflow execution, and SAP HANA Cloud database might be several hundred credits per month for a small instance. These specifics can be obtained from SAP’s price list or estimator tools. The main point is to identify your biggest consumption drivers – e.g., “AI text extraction costs one credit per 100 pages” or “Analytics computational engine costs X credits per hour” – and estimate volumes to translate into credit needs. Many have found that databases and heavy integration traffic are big credit consumers, whereas light extensions or occasional AI calls are minor. This analysis will inform how many credits to negotiate.
• AI Pricing Metrics: For AI, SAP’s “AI units” are the key metric for new AI services. Unfortunately, SAP has not publicly published a simple price per AI unit (as of 2025), which likely varies by license bundle. However, from what we’ve gleaned, SAP might bundle a few thousand AI units in Premium Plus. We know from SAP insiders that relatively cheap AI entry options exist: e.g., ~€700/year for a base AI package. That could correspond to a certain number of AI unit credits included. Benchmarking generative AI: If SAP’s Joule (GPT-based) assistant is used, compare it to market prices (OpenAI APIs, etc., which charge per token). If SAP’s effective cost per AI call is way higher, you have room to negotiate. Because SAP’s AI is new, push for introductory pricing or pilot discounts. Many customers are negotiating at least the first year of AI usage at a steep discount or even for free, given that SAP still proves its value in this area. Don’t be shy to ask: “We’ll try these AI features, but we want all AI unit consumption to be free for 6 months, and then capped at $X for the first year until we see value.” SAP might agree to a cap or a pool of free AI credits to encourage adoption.
• SAP Analytics Cloud Pricing Benchmarks: As mentioned, SAC Planning professional licenses often list around $250–$300 per user per month, and BI-only around $150–$180 per user/month (list price). However, significant discounts (30-50%) are achievable for large numbers of users or large enterprises. Also, SAP sometimes offers bundle deals (e.g., a 25-user planning package for a fixed price). Consider negotiating site licenses or capacity-based pricing for SAC if your user counts are high. For example, some customers have negotiated an enterprise SAC subscription that isn’t metered per user but based on an overall metric to allow broad deployment without counting licenses. Those deals are bespoke but possible if SAC is critical for you.
• Contract Term (Years) and Renewal: SAP RISE contracts are typically 3-year subscriptions by default, though SAP will happily sign 5-year or longer if you commit. SAP often incentivizes multi-year terms with an extra discount. It’s a benchmark that moving from a 3-year to a 5-year term might get you an additional ~10–15% off annually. We saw an example where a company got 15% off the price by switching to a 5-year term. Use this only if you’re comfortable with the longer lock-in. Crucially, negotiate renewal caps. A common industry practice (and a smart one to emulate) is to cap any price increase at renewal to, say, 5% or 7% or a single-digit percentage. Without a cap, some customers have been hit with 20 %+ hikes at renewal for cloud services. In one case, a CIO ensured their 5-year RISE deal had a clause that the price per FUE user could not increase more than 5% at the renewal. This term “locks in” your savings over the long run. Ensure any add-on services bundled in RISE are also subject to that cap (or have their cap).
• Co-Termination and Alignment: Aim to have your add-ons co-term with the core RISE contract. This simplifies renewal negotiations – you can address everything together. If you end up with a separate contract (e.g., you signed SAC for 2 years last year, and now RISE for 3 years), try to align them eventually (maybe extend SAC 1 year to match RISE, or vice versa). A unified renewal gives you more leverage (since the spend at stake is bigger). It also prevents SAP from picking you off on smaller renewals individually. If you do co-term, ensure the renewal notification windows are the same across services, so you don’t accidentally miss a notice for one component.
• Payment Terms and Ramp-Up: Many projects don’t use full resources on day one. A savvy negotiation move is to ask for a ramp-up schedule. For example, if you are migrating over 2 years, ask to pay 50% of the BTP subscription in year 1 and 100% in year 2+ (or some stepped approach). One customer negotiated their RISE fees such that the first 6 months were at 50% cost, then 75%, then full, matching their user deployment rollout. SAP did this by effectively front-loading credits/infrastructure in later months. This can be applied to add-ons too: if you won’t start heavy SAC usage until year 2, perhaps negotiate a lower SAC fee in year 1 or include it to kick in later. SAP may agree to this kind of ramp discount to secure the deal, as it doesn’t impact their long-term revenue but helps your short-term budget.
• Incentive Programs: Keep an eye on special incentives. As noted, SAP launched a “RISE with SAP Migration and Modernization” incentive in 2024, offering huge credits for new RISE sign-ups (up to 100% of first-year contract value rebated for certain public cloud moves). These incentives might come in cloud credits (usable for other SAP SaaS) or straight discounts. Leverage these in negotiations: if SAP is giving, say, a 1-year credit, you might ask to apply that value to cover the cost of an add-on (e.g., “use the credit to pay for our first year of SAC,” effectively making it free). SAP’s goal is to get you on RISE; your goal should be to capture as many of these incentives as possible to offset your costs.
• Support Costs for Add-Ons: Remember that standard SAP support (e.g., Enterprise Support at 22% of net price) applies to software subscriptions, but in cloud contracts, SAP often bundles support in the subscription fee. Clarify whether services like SAC or BTP have separate support fees. Usually, they are included in the cloud subscription (unlike on-prem, there’s no separate maintenance line). However, premium support offerings (like SAP Preferred Success) are optional and cost extra. If you want enhanced support for BTP or SAC, consider negotiating it as part of the package (possibly as one of those freebies if SAP won’t budge on price). For example, “include Preferred Success for BTP at no charge for the first year”. Some enterprises have gotten that thrown in.
• Exit and Flexibility Terms: While not pricing, it’s important in the contract to define what happens if you need to drop or replace an add-on. Maybe you need SAP Data Intelligence now, but if the project doesn’t go forward, can you swap that value to another service? Negotiating a “value swap” or the ability to reallocate unused subscriptions can be very valuable. E.g., “If we determine within 12 months we don’t need Analytics Cloud, we can repurpose that subscription value toward BTP credits or another SAP service.” These terms are not standard, but some customers with clout have gotten them, essentially treating the contract like a flexible spend pool. Even if SAP doesn’t give full flexibility, you might secure the right to drop a certain add-on at renewal without impacting your core RISE agreement (so you’re not stuck paying for something unused till term end).

In summary, the benchmarks show that SAP’s add-on services can be pricey, but also highly negotiable. There is often significant “wiggle room” between list prices and what big customers pay (with 30-50% discounts not uncommon on cloud services).

Use multi-year commitments carefully to get upfront savings, but always lock in protections like renewal caps.

Ensure your contract terms for add-ons align with your project timeline. Flexibility in ramp-up and adjustments can save you from overpaying and underutilizing. Having these benchmarks and terms in mind will let you confidently enter negotiations, knowing what is reasonable to ask for.

Strategic Guidance for Negotiating SAP RISE Add-Ons Effectively

To wrap up, here are actionable strategies and best practices when negotiating BTP credits, AI tools, and analytics services as part of a RISE with SAP deal:

1. Inventory and Understand Your Included Entitlements: Before negotiating extras, fully understand what you’re already getting in the RISE bundle. Obtain a detailed list of included services and limits – e.g., “3,000 BTP credits/year, 2 SAP Signavio user licenses, 2,000 Ariba network documents,” etc.. Many customers overlook things that are already paid for. For instance, if you have 5,000 BTP credits bundled, use them – plan projects to take advantage (integration, Fiori apps, etc.) rather than leaving them idle.

There’s little point negotiating for more until you’re sure you’ll exhaust the included amount. Likewise, check if any AI or analytics features are included in your edition of S/4HANA Cloud (SAP often includes some free ML/predictive scenarios like Cash Application in S/4).

Knowing the baseline prevents double-paying and focuses your asks on true gaps.

2. Align Add-Ons with Business Value: Map how each add-on will drive value in your organization. This internally justifies the cost and is a narrative you bring to SAP to get concessions. For example: “We need 10k extra BTP credits to build 5 critical extensions that will save us $X—help us by pricing this so it’s feasible.” If SAP sees you have a well-thought-out plan to use their platform (not just buy shelfware), they may be more flexible.

Additionally, prioritize must-haves vs nice-to-haves. Negotiate the must-haves first (e.g., you know you need Integration Suite or SAC for financial planning), and consider arranging options for the nice-to-haves (e.g., an option to license a new AI service in year 2 at locked pricing). Keep some powder dry for later – you don’t need to buy every possible service up front if it’s uncertain.

3. Bundle for Discounts, but Isolate for Clarity: It’s a balancing act – you want the big picture discount of a bundled deal, but you also want to ensure each component is fairly priced. In negotiations, press SAP to break down the bundled pricing. Get a BOM (bill of materials) that shows the list price and discount for each piece (ERP, BTP, SAC, etc.). This transparency lets you see if one component is under-discounted.

For instance, maybe S/4HANA is 50% off, but SAC is only 10% off in the bundle – that could be unacceptable, and you’d push for better on SAC. Use benchmarks: “We know others got 30% off SAC – why are we only seeing 10%?”

Don’t let the bundle obscure such details. At the same time, leverage the total contract value in discussions: “We are investing €XM over 5 years in RISE, including these add-ons – given this commitment, we expect enterprise-level discounts across the board.” Make SAP feel the entire deal could hinge on getting the add-ons right.

4. Negotiate Overage Protections and True-Ups: For any consumption-based component (BTP credits, AI units, etc.), never accept open-ended overage at list price. Insist on terms like:

• Notification: SAP must notify you (e.g., via email or dashboard alert) when you reach, say, 80% of your credits.
• Opportunity to Purchase More: You can buy additional credits or units at the same discounted rate as your contract, instead of paying an on-demand rate. Ideally, you want to true up annually at the contracted price.
• No Service Shutoff: Ensure the contract states that if you exhaust credits, SAP will not shut down services—rather, they’ll work with you to extend them (SAP usually won’t cut off a production system, but it’s good to have it in writing for smaller services).
• Carryover: As mentioned, try to get a carryover of unused credits, or at least a grace period (e.g. 3 months into the next year) to use leftover credits. If SAP resists, maybe negotiate an extra one-time pool of credits as buffer instead.
• Adjustable Commit: If you’re unsure about consumption, consider a clause that allows a downward adjustment of the commit after Year 1 by some percentage without penalty. This is hard to get, but some have secured a one-time recalibration. Alternatively, a mid-term review should be conducted where both sides assess usage and can mutually agree to resize the contract (perhaps swapping some unused part for something else of equal value).

These safeguards turn a potentially risky consumption model into a more predictable arrangement.

5. Use SAP’s Quarter/Year-End to Your Advantage: SAP sales reps have quotas, and timing is key. Plan your negotiation for final approval when SAP is hungry to close (e.g., Q4 or Q-end). You might notice SAP offering larger incentives around year-end, like the migration credits program for 2024, which we discussed. You can often squeeze out extra perks by timing your deal for these moments (maybe SAP will double the BTP credits or include that AI pilot for free).

One strategy: get a quote early, then wait – as the quarter end nears, reiterate that you could sign if terms improve. We’ve seen companies explicitly tell SAP, “We plan to decide by December,” and then watch SAP increase the discount or add concessions as December approaches.

Just be careful: don’t let SAP’s timing rush you into a subpar deal; be ready to walk if needed (sometimes saying “we’ll slip to next quarter” can itself yield a last-minute incentive). The key is that SAP’s urgency can translate to customer advantage if you manage it shrewdly.

6. Consider Multi-Year but Protect Yourself: If you are comfortable with a longer commitment, a 5-year RISE contract can bring significant cost benefits (as noted, possibly an extra 10-15% off, or even free additional services). SAP loves longer terms because they lock in revenue. Only do this if: (a) you negotiate strong price protections (caps on increases, fixed pricing on add-ons), and (b) you have escape hatches for new technology.

For example, you might commit to 5 years for core ERP and known add-ons, but what about something like SAP’s AI that evolves quickly? You might include a re-opener clause that, in 2 years, you can renegotiate the AI component in light of market changes. Or ensure any completely new SAP products are not automatically bound to the same term (you want the ability to adopt new offerings on a shorter-term basis). Also, a mid-term business review with SAP should be included and a formal check-in where both sides evaluate progress and value.

This is not a legal clause to exit, but it creates a forum to discuss adjustments and keeps SAP accountable to delivering value throughout the term. Always weigh the risk of lock-in vs. the reward of savings if you lock in long, and double down on the flexibility clauses discussed (true-ups, ability to swap unused services, renewal caps).

7. Don’t Forget Training and Support: Often overlooked, training or premium support can be negotiated as part of the package. If you’re adopting new tech like BTP or SAC, ask for enablement services—e.g., “Include 100 hours of SAP training or advisory services to help our team get up to speed on BTP extensions.” One customer negotiating RISE got 1,000 hours of premium support and training at no charge.

This can be extremely valuable to ensure you actually use what you’re buying (and use it well). Similarly, if you want Preferred Success support for your cloud products, try to bundle it at a discount or for free for the first year. SAP often has some flexibility to include these as they are seen as accelerators for your success (which in turn makes you more likely to renew and expand).

8. Monitor and Govern Your Usage: Negotiation doesn’t end at signing. To ensure you negotiate from strength in the future, implement good governance of your BTP and SAC usage. Use SAP’s tools (BTP Cockpit’s usage analytics, SAC’s license consumption reports) to track consumption monthly. Many companies establish an internal “Cloud consumption committee” that reviews these metrics quarterly.

This helps in a few ways:

• If you’re under-consuming, you can take action (e.g., launch an initiative to utilize the credits or negotiate a reduction at renewal).
• If you’re trending over, you have time to engage SAP early for more capacity at a reasonable price (much better than getting an overage bill afterward).
• You’ll build data to show ROI for each service, which is gold in the next negotiation (e.g., “We used SAC to roll out planning to 500 users and saved X hours; now we need 200 more licenses. Here’s the value case—give us the same unit price as before.”).

Essentially, actively managing what you negotiated sets you up to fully leverage it or smartly adjust in the next round. SAP sales teams appreciate well-informed customers (it makes discussions more concrete), and you can negotiate future expansions or reductions based on facts rather than guesswork.

9. Leverage Peer Insights and Expert Help: It was mentioned earlier, but it’s worth stressing – use benchmarking to your advantage. There are consulting firms and user groups that aggregate anonymous deal data. Knowing that, for instance, “Company X of similar size got 40% off BTP list prices and a free sandbox,” gives you a target to shoot for.

You don’t have to reveal your sources to SAP, but you can say, “We’ve done our homework; similar SAP customers are getting better rates on this service – we expect the same or better because [give reason: loyalty, scope, etc.].”. If negotiations are complex, consider bringing in an independent licensing advisor to help behind the scenes (ensuring that all final decisions align with your business needs). The investment in expert advice can pay for itself if they identify an obscure contract term or a discount lever you didn’t know about. Maintain control – use experts to inform your strategy, but you drive the negotiation with SAP in line with your priorities.

10. Maintain a Partnership Mindset with SAP (but be Prepared to Walk): Lastly, remember that negotiating with SAP (especially for a strategic program like RISE) is as much about relationships as numbers. You want SAP to be a partner in your success. Make it clear that you are looking for a win-win – you want a fair deal that enables a long-term partnership. Express your commitment to adopting SAP’s technology (which is what they want) and your expectation that SAP will invest in your success via reasonable pricing and support.

That said, always keep your BATNA (Best Alternative to a Negotiated Agreement) in mind – maybe it’s staying on-prem a bit longer, or using a different tool for a certain process. If SAP senses you genuinely have alternatives and are not afraid to choose them, your leverage increases. Be cordial but firm: “We want to go all-in with SAP, but our board has made it clear we must stay within budget X – let’s find a way to make that happen or we might have to reconsider the scope.” When SAP sees that the deal could fall, final concessions come through in the 11th hour.

By following these strategies, you can significantly improve the outcome of your SAP RISE negotiations. In essence: know what you’re entitled to, forecast what you need, demand clarity, leverage timing, and insist on flexibility. SAP’s add-on services can drive tremendous value, but only if obtained under terms that make sense for your business. A well-negotiated contract sets the foundation for a successful SAP transformation with no ugly surprises down the road.

Conclusion

Navigating SAP RISE contracts with add-ons like BTP, AI, and analytics requires a combination of licensing savvy, strategic foresight, and negotiating skill.

These SAP services are typically consumption-based or user-based subscriptions, each with different cost implications and optimization levers. Enterprises should capitalize on what SAP bundles in RISE (to avoid paying twice) and carefully negotiate any extra capacity or tools needed beyond that.

Real-world cases show that by demanding transparency, securing protective terms, and leveraging SAP’s eagerness to close deals, customers have attained significantly better pricing and more value-added extras (free credits, support, etc.) in their agreements.

Key takeaways include always aligning purchases with actual needs (to avoid shelfware like the millions in unused BTP credits industry-wide), locking in discounts for the long haul but keeping flexibility to adjust, and never being afraid to ask for sweeteners or improved terms—the worst SAP can say is no, but more often than not, a well-substantiated ask will yield something.

With the insights and tactics outlined above, you can approach your SAP RISE add-on negotiations as a well-informed buyer, ready to achieve an agreement that delivers innovation on paper and in practice, without breaking the budget. Good luck, and happy negotiating!