SAP ERP Pricing

Srinivasan Kuppuswamy - PeerSpot reviewer
Founder Partner & Chief Consultant at Sagesse Abundance

The solution has moved from a licensing model to a rights-based, subscription model in the cloud. Licenses are a capital expenditure so they have done away with them. Subscriptions are based on the number of users. 

The solution is very expensive, no doubt about it. There are different options for different market segments such as small to medium, micro, or large enterprises. 

The solution created SAP Cloud Private Edition for large enterprises. This option might run $200,000 for the subscription with 60 user licenses. The Fully Equivalent License allows one license to be shared across two to five users. For example, the 60 licenses could be extended to accommodate 180 to 200 users. 

The Public Cloud is a good option and is intended for small to medium enterprises. 

Business By Design SAP is intended for the micro category. 

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Mariia Gondal - PeerSpot reviewer
Senior Business Consultant at FG Business Consultant

The pricing depends on the implementation functions. I work with implementations, and the cost varies depending on whether it's an internal or external team and the contractual basis or employees involved. Typically, it could start from 100,000 EUR and go up to 1 mio EUR and be much higher if we include more SAP solutions, locations, and cycles. The cost would vary greatly based on the specific requirements.

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SEAN Justine - PeerSpot reviewer
Professor at a university with 1,001-5,000 employees

I am not sure. However, extensions cost approximately $100,000 or$200,000.

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Buyer's Guide
SAP ERP
March 2024
Learn what your peers think about SAP ERP. Get advice and tips from experienced pros sharing their opinions. Updated: March 2024.
767,995 professionals have used our research since 2012.
VishalChopra - PeerSpot reviewer
VP Global Sales and Marketing at VC ERP CONSULTING PRIVATE LIMITED

I rate the product's price a seven on a scale of one to ten, where one is cheap, and ten is expensive. SAP ERP is a costly tool. If you compare SAP ERP with its competitors like Microsoft or Oracle, then you may find that the products from SAP are a little bit cheaper when compared to the tools offered by Oracle. Compared to Microsoft, SAP is expensive.

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TZ
CEO at Lifestyle Services Group (part of Phones4U)

The solution is expensive and is best-suited for large enterprises.

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Githinji Githogora - PeerSpot reviewer
ICT Manager at Dawa Life Sciences

The pricing is based on the license per user, which I think makes the solution a bit costly, especially for Africa and Kenya. The price for the solution is the same for everybody, so they are able to generate the same revenue from companies in Europe. Basically, the prices of the solution are high, and we don't have that much revenue. We have to choose a mix of licenses for SAP ERP, so we can't choose just one type of license. Even though the mix of licenses has both expensive and cheap ones, one has to buy the expensive ones since there is a minimum ratio to be considered while purchasing their licenses. Additionally, our company had to pay 22% of the amount for the solution's licenses for maintenance and support.

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Sameer Ghewade - PeerSpot reviewer
Manager, Information Technology at Parag Milk Foods Ltd

The price of SAP ERP is much higher when compared to the other products in the market. My company makes early payments towards the licensing costs attached to the product. There are no additional costs apart from the charges paid toward the subscription-based license offered by SAP.

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PedroJimenez - PeerSpot reviewer
Solution Advisor at NBTeam

SAP is now the cheaper option, but if you compare pricing and the scope of the solution, SAP is the best option in terms of pricing because the scope is more comprehensive than other cloud solutions.

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Desmond Festus - PeerSpot reviewer
Senior Officer ERP at Swakop Uranium

From my perspective, when you deploy it, the SAP instantly comes with several users and a pre-given user license. Each additional user added charges differently, and additional license fees are applied. Regarding HANA, there is a split in finance core asset management, inventory management, and supply chain, and they have buckets with the ERP on the previous version. There can also be add-ons. However, the standard things required by the business must be structured together and not charged as stand-alone as they are now with the HANA cloud versions.

Currently, the estimate for the license per user is between 20,000 to 40,000 USD. Although I am unsure of the exact number it costs in that range, every time I request a new user, I have to justify the need to my company because they claim it falls in that range per user license.

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Sara Sara - PeerSpot reviewer
IT Engineer at Maroc Telecom ADSL

There is another technical team that is responsible for the licenses and the number of users. I don't directly handle pricing.

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Mustapha Sedki Ben Romdhane - PeerSpot reviewer
Sourcing Purchasing Manager at Nexans autoelectric GmbH

The pricing could be improved.

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RP
SAP Platform Advisory at a tech services company with 10,001+ employees

The solution can cost approximately $1 million a year for maintenance for a small-size company and can grow from there. Approximately $1 million is needed for a good-size company.

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Harish Golla - PeerSpot reviewer
SAP Consultant at Quadricit

The price of SAP ERP is high, but it is worth the money. The maintenance and support can be expensive. There should be a different price model for businesses that are not as large to be able to afford it.

If the price of the solution was less it would be able to reach more of my customer.

I rate the price of SAP ERP a three out of ten.

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EF
Information Systems Manager at a manufacturing company with 10,001+ employees

The solution is expensive so I rate cost a five out of ten. 

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Friedhelm Lefting - PeerSpot reviewer
Managing Director at GESTRA AG

SAP is quite expensive. It's a premium system. The other ERP systems are either similarly priced or cheaper. We pay a quarterly license fee for the product.

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Mohamed Nabih - PeerSpot reviewer
Head Of Information Technology at OSHCO group

There is a license needed to use this solution.

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ML
Sr. Manager at a manufacturing company with 51-200 employees

It is on the expensive side. 

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Neno Lazarov - PeerSpot reviewer
Head Of Financial Control at TED BED JSC

It was expensive. I rate SAP ERP about three out of 10 for affordability. This software is designed to meet the individual needs of each company.

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Razan Dimashkieh - PeerSpot reviewer
Human Resources Analyst at Khatib & Alami

I have no details about the pricing.

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Wael Elsagh - PeerSpot reviewer
Solutions Architect at EJADA

There is a one-time license that is needed to use the solution. The support is what is needed to be renewed annually.

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MV
Consultant at RDM Tech Solutions

When we talk about pricing it is expensive. On a scale of one to ten, it would rank a two. There are no additional fees but the user licenses are high.

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David Kunc - PeerSpot reviewer
Account Manager at Cadmium

I rate SAP ERP's pricing a six or seven out of ten.

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PrateekBansal - PeerSpot reviewer
Manager at Mitsubishi Electric in India

The solution is less expensive than its competitors. But it is costly for ERP services.

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SN
ICT Consultant, CEO, Entrepreneur at a tech services company with 11-50 employees

SAP ERP is expensive compared to competing products. The general feedback from customers is that most people say it's expensive.

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IH
Vice President at Abacus Consulting

The on-premises licensing model comes with annual maintenance whereas the cloud-based licensing model is a yearly subscription. The tool’s pricing is normal and not expensive.

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MD
IT Development Director at Lottomatica SpA

When you have a solution that is stable, reliable, and has a high performance as this solution, the price is going to be expensive. However, when you evaluate the service you are paying for the cost is quite reasonable for this solution.

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SG
Manager, Robotics & Automation Systems at a manufacturing company with 201-500 employees

I rate the product's price a nine on a scale of one to ten, where one is cheap or affordable, and ten is really expensive. The solution is expensive.

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Shady Mogawer - PeerSpot reviewer
IT Manager at Arabian Cement Company

I don't know the price, but I know its licensing is on a yearly basis.

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NJ
Consultant at a tech consulting company with 10,001+ employees

The pricing is very high. For enterprise-level organizations this may be okay, however, for smaller companies, it's likely not suitable. 

What happens is that if small companies implement it, the maintenance cost is very high for this kind of ERP. It's a problem for those companies who want to implement ERP, and they find implementation cost is higher and the license cost is extremely high. The maintenance cost is very high as well.

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AA
GLOBAL ERP (SHIFT) Logical design and Technical Integration Lead at Sanofi

I would say that the price is competitive. Some components are available at an additional cost, depending on the type of contract that you have.

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NarendraKumar2 - PeerSpot reviewer
Process Mining Consultant at AG Consultancy & Apps. Lt.

The product has high pricing. They provide a yearly basis license. The customers have to pay extra costs for support services.

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Anshuman Bansal - PeerSpot reviewer
Head - SAP & Digital Transformation at a financial services firm with 1,001-5,000 employees

There are several licensing options including paying an annual subscription or taking out a perpetual license. 

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DM
EAM Executive at a educational organization with 5,001-10,000 employees

SAP is a bit on the costly side, but they also provide support and other things. We are paying for licenses and the use of the cloud.

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SI
ERP Project Manager & Managing Consultant at Liwa Education, Iranfava

The features on offer make it worth the price. It's not expensive in the sense that if the company needs the features, they will be willing to pay for them. They're necessary to the core business. 

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US
Senior Manager IT Business Systems Architect / SAP Project Manager at a consumer goods company with 201-500 employees

The pricing is modular. You are charged according to the business process you want to take advantage of. However, it's a bit better than Oracle. For example, if I am using Oracle's finance and manufacturing modules, I need two licenses, however, in SAP, we only need one license that captures all processes we're using.

There are no additional costs beyond the central licensing.

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Alaba Ayotunde O. OLUWAYIMIKA - PeerSpot reviewer
It Asset Management Lead at Dangote Industries Limited

The solution is quite expensive but for an organization the size of ours, I think it's worthwhile because of the information that goes into it and what it provides.

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it_user138537 - PeerSpot reviewer
Chief Strategy Officer at a manufacturing company with 1,001-5,000 employees

The software was around US$600,000 for 230 users and the vendor implementation cost was around US$1.5 million. The day-to-day cost of using the product is low. Just electricity and user administration maintenance.

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Ra456it - PeerSpot reviewer
Digital Business Solutions - Key Account Manager at a tech services company with 201-500 employees

It could always be cheaper. They don't have a very easy model of licensing, but large entities would get the upper hand in negotiating the license.

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it_user311268 - PeerSpot reviewer
SAVP Accounting Information System Manager at a insurance company with 1,001-5,000 employees

Look around at three or four vendors.

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Jayabarath S - PeerSpot reviewer
RPA Developer at Atominos consulting

I do not have details about the price.

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DS
Digital Transformation Manager at a construction company with 1,001-5,000 employees

There is an annual subscription for the use of SAP ERP.

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AM
Head of Product Operations Planning at a pharma/biotech company with 1,001-5,000 employees

SAP ERP is expensive.

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EY
Team leader SAP Development at Ness Technologies | נס טכנולוגיות

SAP ECC is not cheap but I consider it the best system for managing an organization's data and processes.

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Veerender Kumar - PeerSpot reviewer
Product Owner at Software Technology

We pay annually for the use of this solution.

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AM
SAP Architect/ Business Analyst BPC, BW , SAC , FI at a educational organization with 10,001+ employees

The licensing costs are slightly on the higher side. They need to make it more competitive.

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PV
Project and Service delivery Manager at a tech services company with 11-50 employees

It's definitely not the cheapest system to license and run. It could be cheaper. 

Typically, they offer yearly licensing agreements. 

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MH
SAP Professional at a tech services company with 10,001+ employees

To optimize the Licensing cost, please choose different SAP Users.

To minimize the implementation cost, try to adopt Rapid Deployment Solutions

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it_user177144 - PeerSpot reviewer
Senior System Analyst at a energy/utilities company with 1,001-5,000 employees

Not known but costly.

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MB
Associate Director at a tech company with 201-500 employees

This solution was initially costly until we moved to internal consulting which brought the overall cost of ownership and maintenance down. 

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OP
Azure Cloud Solution Architect(CSA) at a tech services company with 1,001-5,000 employees

The costs are high in terms of licensing. It will be too expensive for many companies if they are considering using this solution.

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it_user881271 - PeerSpot reviewer
CIO at Kolektor Group d.o.o.

The pricing of the solution could be a bit lower. It's on the more expensive side, as far as solutions go.

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ND
Java Software Engineer at a tech services company with 10,001+ employees

SAP is more expensive than some of its competitors.

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AM
Solution Application Development Manager at a real estate/law firm with 201-500 employees

This is a costly product.

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FH
SAP Basis Consultant at a energy/utilities company with 1,001-5,000 employees

There are licensing costs.

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Buyer's Guide
SAP ERP
March 2024
Learn what your peers think about SAP ERP. Get advice and tips from experienced pros sharing their opinions. Updated: March 2024.
767,995 professionals have used our research since 2012.