SAP HANA Cloud: One Product, Three Consumption Methods
In the second of our three-part blog series looking at SAP HANA Cloud pricing and packaging, we’ll be discussing the various ways in which organizations are able to consume SAP HANA Cloud services.
As we discussed in the first blog in our series, SAP HANA Cloud provides organizations with a unified cloud platform in which they can consume all SAP cloud database services under a single pricing metric of Capacity Units. We’ll now be looking at the three different ways organizations can consume SAP HANA Cloud: Subscription, Cloud Platform Enterprise Agreement, and Pay-As-You-Go models. We’ll examine these consumption models through the lens of three hypothetical customer use cases, each with very different requirements.
Subscription: The Organization That Knows What They Want
The CTO of a manufacturing company has a clear understanding of his organization’s SAP HANA Cloud usage requirements, use case, and duration of usage. As such, he values service cost and budget predictability. His organization is willing to commit to a contract period of several years in exchange for the peace of mind in knowing their budget is protected at a low total cost of ownership.
In this case, a subscription model would be the ideal way to consume SAP HANA Cloud. A subscription model provides organizations with the lowest cost of ownership in exchange for a fixed-term upfront commitment. The subscription model, like all consumption models for SAP HANA Cloud, uses the Capacity Unit pricing metric for complete transparency.
Cloud Platform Enterprise Agreement (CPEA): Flexible Credit Based Agreement for Multiple Services
The IT Director at a financial services company wants to use SAP HANA Cloud to build applications and solutions for her department. She’d also use it with various other SAP cloud services, such as SAP Business Application Studio and Master Data Integration. However, she doesn’t yet know her department’s exact projected usage for SAP HANA Cloud or other SAP cloud services, so she’d like the flexibility to turn usage on or off as required. She also values budget predictability and needs to ensure that any overage is charged only for usage exceeding her department’s planned commitment.
In this case, the Cloud Platform Enterprise Agreement (CPEA) model would be the ideal fit. A CPEA contract provides her department with the flexibility to use SAP HANA Cloud as well as try out various other SAP cloud services her organization may been interested in, all while keeping a high degree of budget predictability due to an upfront contract commitment.
Pay-As-You-Go: No Commitment with Maximum Flexibility
The Head of Analytics for a growing startup is interested in exploring SAP HANA Cloud, as well as other SAP cloud services, but isn’t yet sure what his ideal solution might look like. His department may also require the flexibility to use SAP HANA Cloud services for a limited time, as well as turn services on and off to support various ad-hoc projects they are running. Due to this uncertainty, he requires the flexibility to consume, switch, and scale services as needed. Like all organizations, his department values budget predictability but would like to avoid fixed fees with no commitment for maximum flexibility.
In this case, SAP’s Pay-As-You-Go model for SAP Business Technology Platform is the logical choice. It provides organizations with the flexibility to try out SAP HANA Cloud and other cloud services as they see fit, with no upfront budget commitment. Organizations are billed in arrears under this consumption-based model with payments reflective of services used. The Pay-As-You-Go model also affords the ability to transition to a fixed term contract model at any time, without the loss of any content or prior work, making it ideal for customers just starting their cloud journey. And because there is no upfront budget commitment, getting started with SAP HANA Cloud under a Pay-As-You-Go model can be done quickly and easily online at the SAP Store or by contacting your SAP Account Representative to set up a Pay-As-You-Go experience today.
A Solution for Every Stage of the Cloud Journey
As we’ve seen, SAP HANA Cloud offers a several robust consumption models for organizations with very different needs. Whether it’s a mature organization rooted in stability, an organization that needs tough-to-predict usage from several different SAP cloud services, or one that needs complete and total flexibility, SAP HANA Cloud has a consumption model to meet your needs.
Interested in trying SAP HANA Cloud? Download a Free Trial here.
Build your custom SAP HANA Cloud configuration or simply choose from one of our easy to use pre-configured deployment sizes here.
In the final blog of this series, we’ll look at how SAP HANA Cloud is the successor to SAP HANA as a service and an option for SAP ASE & IQ customers looking to move or extend to the cloud.
Note: Pay-As-You-Go availability may vary by region.