Cost of unused SaaS

The financial impact of wasted SaaS spend

Companies stand to save millions of dollars by rightsizing their contracts and eliminating unused tools and licenses.

Organizations with between 100 and 500 employees waste an average of $865,000 a year on tools that are either entirely unused or underutilized. This figure only increases as a company scales, surpassing $1.5 million a year for those with more than 500 employees, and as much as $10 million a year for enterprises with more than 10,000 employees.

This trend highlights the growing complexity of managing sprawling software stacks and the lack of visibility into actual usage. With such vast sums at stake, even modest SaaS management improvements can yield major savings. Rightsizing contracts based on real usage data is one of the most effective ways that organizations can cut unnecessary costs and improve operational efficiency.

Last updated
Jul 2025

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