Right-Sizing Your Martech License: A Strategic Approach to Cost Efficiency

HCL Unica Licensing Strategy
Over the last many years, marketing technology (martech) landscape has undergone a significant shift as platforms like Unica transition to consumption-based licensing models; we pay based on the size of our database and/or the usage levels for the capabilities we need. This evolution demands that businesses become more strategic in managing their martech licenses, ensuring they extract maximum value without overpaying for unused capacity. With these changes, right-sizing your martech license is not just a cost-saving measure—it’s an operational necessity.

Strategy for Consumption-Based Unica Licensing

Consumption-based licensing ties costs directly to usage, such as the number of audience records stored or actively engaged. While this model offers flexibility, it also introduces potential pitfalls. For example, maintaining outdated or non-responsive records can inflate your database size, driving up costs unnecessarily. Tools like Unica now continuously monitor and log database usage, making it critical for businesses to stay on top of their licensing metrics. Failing to right-size your license could leave you in a situation where you’re forced to pay for records you never intended to use. Worse, poor license management can lead to inefficiencies that directly impact your bottom line.

The Role of a Database Audit

A comprehensive database audit is the first step to right-sizing your martech license. At Pinpoint, we approach this with a structured and detailed methodology designed to uncover inefficiencies that can’t be resolved internally. Here’s what a typical audit looks like:

1. Inventory Analysis: We map your database at the audience level, identifying unique records and categorizing them by relevance and activity. This ensures that only necessary and active records are accounted for in licensing decisions.

2. Data Hygiene Review: We flag non-responsive or inactive records for removal from visibility within the platform. While simply marking records as inactive might still count toward your licensing, our strategies ensure these records are excluded from database views and reporting, aligning with Unica’s licensing criteria.

3. Usage Statistics: Leveraging Unica’s built-in tracking capabilities, we gather statistics on how records are being used. This data informs precise licensing decisions to avoid overpaying for unused capacity.

Unica License Management Database Active Versus Inactive Records

Strategies for Effective License Management

To make the most of a consumption-based licensing model, consider these best practices:

1. Understand Your Active versus Inactive Records,  and how they impact your licensing requirements. Ensure your license covers only the records you need to use for campaigns and engagement. Regularly review and update your audience mapping to reflect current business needs. In some cases, it may not be worthwhile to forfeit a perpetual license.

2. Avoid Unnecessary Licensing: Implement systems and database views that exclude unused or irrelevant records from counting toward your license. This step is essential to avoid paying for data you don’t need.

3. Partner with Experts: Right-sizing your martech license requires deep technical expertise and a clear understanding of platform-specific nuances. Pinpoint’s experience ensures you’re licensing efficiently without compromising your marketing capabilities.

Trust Pinpoint to Optimize Your Martech Investment

Managing a consumption-based model doesn’t have to be overwhelming. With the right partner, you can turn this challenge into an opportunity to streamline operations, reduce costs, and improve efficiency. At Pinpoint, we specialize in helping clients navigate this shift, delivering tailored strategies to ensure their martech licenses are aligned with business goals.

Don’t let unused records inflate your costs. Reach out to Pinpoint today, and let’s get started on optimizing your martech investment for the future.

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