Let’s face it: pricing is always a hot topic for service providers, and for good reason. Without the proper due diligence with vendor SD-WAN pricing model — and when pricing their own solutions for customers — details can be missed and the potential for greater profit margins can disappear.
Vendor SD-WAN pricing models are complex and some make it difficult for service providers to make a profit. Beware of SD-WAN pricing models that appear cheap but include hidden charges in the form of support contracts or bandwidth-based pricing. When SD-WAN pricing models are based on bandwidth, they can increase dramatically as the bandwidth required at each end-customer site increases.
Another consideration when evaluating SD-WAN pricing models is the cost of core nodes. Some vendors restrict multi-tenant core notes so the true provisioning cost per customer can be very high.
Most SD-WAN pricing models that exist today make the quoting and sales processes complex for service providers.
SD-WAN Pricing Model that Delivers a Return on Investment
There’s a massive opportunity for service providers to deliver SD-WAN solutions to the enterprise. Gartner forecasts that 80% of enterprises will shut down their traditional data centers to migrate to cloud services by 2025 and 60% will deploy SD-WAN by 2024.
Gartner also predicts that the overall WAN market will trend toward more managed services. But this will only happen if managed service providers can see a positive return on investment (ROI).
After all, ROI is the raison d’être for most business technology decision-makers.
“We’re not re-selling Multapplied’s service, we’re licensing it and selling it to our customers as our own. From a technical standpoint, this has given us greater independence and control over our infrastructure.”
— Mike Gach, VP Sales at Tierzero (MSP)
SD-WAN pricing models in the market are overly complex and provide no real relief from traditional telecom-tiered bandwidth pricing models. SD-WAN is supposed to simplify, but most competitor models don’t deliver on that promise and also don’t deliver on the cost-relief that end-customers expect. That’s why alternative SD-WAN pricing models are so important to the service provider communities.
Multapplied’s SD-WAN pricing model is one of the top reasons service providers choose Multapplied over mainstream SD-WAN vendors.
Mike Gach, VP of Sales at Tierzero, recently stated, “The flat-rate model used by Multapplied really made it easy to cost things.” Gach continued to describe how competitive SD-WAN pricing models were “super confusing.”
In contrast, Multapplied’s SD-WAN pricing model is simple and scalable. It is a flat-rate monthly subscription that is based on a per-site or per-port fee that scales up or down on a monthly basis, depending on the growth of your customer base.
Business Benefits of Multapplied’s SD-WAN Pricing Model
Internet service providers (ISPs), telecoms, or managed service providers (MSPs) can benefit from Multapplied’s SD-WAN pricing model in five ways:
1. Subscription-Based SD-WAN Pricing Model
Multapplied has a subscription-based SD-WAN pricing model, you can set your own margins — often by 200 or 300 percent above cost. Our pricing model is built to grow as your revenue does as we provide you with unlimited core software licensing.
2. Build Your Brand With Our White-Label Solution
Multapplied is a fully white-label, white-box platform, so you can build your own brand instead of reselling somebody else’s. Multapplied provides you with your own SD-WAN product — you license it, you manage it, and you control it. Keep full ownership of your customers and the tools to tailor your solutions to their specific needs.
Plus, unlike other vendors who make you buy their hardware with markup, we encourage you to buy hardware from any vendor you want! We leave the final decision in your hands and are willing to provide recommendations if you require them.
3. Maintain Your SLAs
With Multapplied, you can deliver services over your network with full monitoring and management — end-to-end — even in deployments where you use another provider’s internet. This ensures you have the ability to maintain your SLA with end-customers.
4. Expand Your Reach
With Virtual CPE or white-box deployments, you can virtualize edge devices and deploy more containerized services per CPE to be more efficient and flexible. This allows you to increase your product portfolio and boost profit per site.
5. Deliver Better Services
With Multapplied’s multi-tenant SD-WAN, you can deliver higher quality services, higher-margin services such as Desktop as a Service, Firewall as a Service, CCTV, Voice over Internet, Disaster Recovery, and more.
Multapplied is a proven market leader offering SD-WAN solutions for service providers of all sizes. From a feature and ROI perspective, If you are nervous about upfront and ongoing costs of implementing an SD-WAN, don’t be. Multapplied is a partner-centric SD-WAN provider and we’ve got you covered.