Are you struggling to keep track of your organisation’s growing list of SaaS subscriptions?

No worries, you’re not alone.

In today’s tech-driven business world, managing multiple software-as-a-service (SaaS) tools has become a significant challenge for IT managers and business owners like you.

The statistics are alarming: Redline Digital mentions that more than 50% of SaaS licences remain inactive for over 90 days, and on average, only 47% of SaaS licences see active usage.

This means you’re likely paying for software that’s gathering digital dust.

Without proper management, you risk wasting thousands on unused licences, exposing your company to security vulnerabilities, and watching productivity plummet as your team grapples with disconnected systems.

But don’t worry—there’s a solution.

What you need is a SaaS subscription management strategy.

This strategy will help you to manage your software portfolio, cutting costs and boosting operational efficiency.

Now, let’s explore more about this strategy on how to manage multiple SaaS subscriptions. We also include several software recommendations, just in case your SaaS subscriptions are growing out of control.

So, without further ado, let’s get to it.

More in Nexalab’s blog: What is SaaS Subscriptions? Understanding the Modern Software Model for Businesses

What is SaaS subscription management?

SaaS subscription management is your compass in the vast sea of cloud-based applications. It’s the process of overseeing, optimising, and controlling all aspects of your organisation’s SaaS tools. Here’s what it involves:

• Inventory Management: Keeping a detailed list of all your SaaS applications, including vendor information, contract terms, and renewal dates.
• Cost Optimisation: Analysing how your team uses these tools and finding ways to cut costs by eliminating redundant or underused subscriptions.
• Security and Compliance: Ensuring all your SaaS applications meet your organisation’s security standards and comply with relevant regulations.
• User Access Control: Managing who has access to what, ensuring security, and optimising licence usage.
• Integration and Workflow Management: Coordinating how your various SaaS tools work together to maximise productivity.

SaaS subscription management gives you clear visibility into your software ecosystem when implemented effectively. Not only that, it also helps you reduce unnecessary spending, mitigate security risks, and improve your overall operational efficiency.

How to Manage Multiple SaaS Subscriptions

Managing multiple SaaS subscriptions might seem daunting, but with the right approach, you can turn this challenge into an opportunity for optimisation.

Here’s your roadmap to effective SaaS management:

Step 1: Conduct a comprehensive SaaS audit

Start by creating a complete inventory of all the SaaS applications used across your organisation.

This isn’t just about listing names—dig deeper. Include details like vendor names, contract terms, renewal dates, and costs. This audit serves as your foundation, giving you a clear picture of your current SaaS landscape. It might be eye-opening to discover just how many applications your organisation is using (and paying for).

Step 2: Consider using a SaaS management platform

A SaaS subscription management can be a game-changer in your SaaS management strategy.

These tools offer real-time visibility into your SaaS ecosystem, automating many aspects of subscription management.

They track usage, manage renewals, and identify cost-saving opportunities. With a SaaS management platform, you’re not just managing subscriptions—you’re gaining insights that can drive strategic decisions about your software investments.

Step 3: Regularly review usage and ROI

Keep a close eye on how each SaaS application is being used and assess its return on investment.

This data-driven approach is crucial for making informed decisions about your software portfolio. Are you getting value from that expensive analytics tool? Is that project management software actually improving productivity?

Regular reviews help you decide which subscriptions to keep, upgrade, downgrade, or eliminate, ensuring every dollar spent on SaaS is justified.

Step 4: Optimise licence allocation

Many organisations overpay for unused licences, essentially throwing money away.

Regularly review user access and reallocate or remove licences as needed. This isn’t just about cutting costs; it’s about making sure that your team has access to the tools they need when they need them. Proper licence allocation can significantly reduce waste while improving productivity.

Step 5: Create a SaaS governance policy.

Develop and enforce clear guidelines for SaaS usage, procurement, and security across your organisation. This policy should cover everything from how new applications are requested and approved to security requirements for SaaS tools to user access protocols.

A well-crafted SaaS governance policy helps prevent shadow IT, ensures compliance with security standards, and provides a framework for sustainable SaaS management as your organisation grows.

5 Best SaaS Subscription Management in 2024

Having the right tools at your disposal can make all the difference, especially when your SaaS subscription is going out of control. Managing a small amount of SaaS can be done manually.

But when your business uses more than 10 SaaS with different billing cycles and user access levels, it becomes essential to invest in a subscription management tool to make sure you are not missing any important details or overspending on unnecessary subscriptions.

Here are five top SaaS management tools for 2024:

1. Octobits by Nexalab

Octobits is a comprehensive SaaS Management Platform (SMP) designed specifically for Managed Service Providers (MSPs) and IT departments like yours. It offers a range of features to streamline your SaaS management:

• Centralised Dashboard: Gives you a unified view of all your SaaS applications and their performance metrics.
• Automated Reporting: Generates detailed reports on usage, performance, and costs, saving you time and effort.
• Custom Alerts: Allows you to set up alerts for critical issues and performance anomalies, keeping you one step ahead.
• Enhanced Cybersecurity: Monitors active and inactive users on each SaaS platform, bolstering your security posture.
• Efficient Offboarding: Streamlines the process of identifying and managing user access during offboarding, reducing risk.

Octobits stands out for its focus on MSPs and IT departments, offering tailored solutions for businesses managing multiple clients or complex organisational structures.

2. Zylo

Zylo is a leading SaaS management platform known for its powerful discovery engine and comprehensive optimisation features:

• Automatic Discovery: Uses machine learning to identify and categorise all SaaS applications in use across your organisation.
• Utilisation Insights: Provides detailed usage data to help you optimise licences and reduce waste.
• Renewal Management: Tracks contract renewals and provides recommendations for optimisation.
• Benchmarking: Offers industry benchmarking to help you understand how your SaaS usage compares to your peers.

3. BetterCloud

BetterCloud focuses on SaaS operations management, offering robust automation and security features:

• Workflow Automation: Allows you to create complex workflows for onboarding, offboarding, and other IT processes.
• Policy Enforcement: Automatically enforces security policies across your SaaS applications.
• Data Loss Prevention: Provides tools to prevent data leaks and unauthorised access.
• Extensive Integration Library: Offers a wide range of pre-built integrations with popular SaaS applications.

4. Torii

Torii is known for its user-friendly interface and powerful automation capabilities:

• Automated Discovery and Mapping: Automatically discovers and maps all SaaS applications in use in your organisation.
• Intelligent Workflows: Offers AI-powered workflows for routine SaaS management tasks.
• Cost Optimisation: Provides actionable insights to reduce your SaaS spending.
• Licence Management: Helps you optimise licence allocation and usage across your organisation.

5. Blissfully

Blissfully offers a comprehensive approach to SaaS management with a focus on security and compliance:

• Automated IT Workflows: Streamlines IT processes like employee onboarding and offboarding.
• Vendor Management: Provides tools for managing your vendor relationships and contracts.
• Security and Compliance: Offers features to help you maintain security standards and comply with regulations.
• Employee App Management: Allows your employees to request access to apps through a self-service portal.

Each of these tools offers unique features and strengths.

When choosing a SaaS management platform, consider your organisation’s specific needs, size, and the complexity of your SaaS ecosystem.

Octobits, with its focus on MSPs and IT departments, offers a compelling solution if you’re looking for a tailored approach to managing multiple SaaS subscriptions across various clients or departments.

Why You Need SaaS Subscription Management Software

Investing in SaaS subscription management software is no longer a luxury—it’s a necessity.

When the number of your SaaS subscriptions is increasing, having a centralised platform to manage subscriptions will help you effectively manage them.

Here’s why you need to consider implementing such a solution:

• Cost Control and Optimisation: SaaS management software gives you visibility into your entire software ecosystem, helping you identify unused or underutilised subscriptions. This insight can help you eliminate waste and optimise spending, potentially saving your organisation thousands of dollars annually.
• Enhanced Security and Compliance: With the increasing number of SaaS applications comes a greater security risk. SaaS management tools help you maintain security by monitoring user access, ensuring proper offboarding, and identifying potential security threats.
• Improved Productivity and Efficiency: By streamlining the management of multiple SaaS applications, these tools reduce the time and effort required for manual tracking and administration.
• Better Decision Making: SaaS management software provides valuable data and insights about software usage, costs, and ROI. This information empowers you to make informed decisions about software investments, renewals, and strategic planning.
• Scalability and Integration: As your organisation grows, manually managing SaaS subscriptions becomes increasingly complex. SaaS management software scales with your business, providing a sustainable solution for long-term software ecosystem management.

Investing in a SaaS subscription management software is not just about managing costs; it’s about creating a more secure, efficient, and productive software environment for your organisation.

More in Nexalab’s blog: Managed Services vs SaaS: Key Differences, the Pros, and the Cons for Your Business

Conclusion

In summary, SaaS subscription management is something that you should consider for your business. Either you do it through manual strategy or using software, it will help you control costs, keep the security, and maintain SaaS ecosystem.

However, without the right approach and tools, these challenges can become overwhelming.

Octobits by Nexalab offer tailored solutions for MSPs and IT departments like yours, providing the necessary features to streamline your SaaS management processes. With its centralised dashboard, automated reporting, and enhanced cybersecurity features, Octobits empowers you to take control of your SaaS subscriptions effectively. Contact Nexalab today to learn how Octobits can help your SaaS subscription management strategy.