3 Ways to Minimize Cloud Costs
With a little creativity, you can battle soaring cloud costs and embrace a more customized cloud approach
June 28, 2023

Greg Hohenbrink

Share this

For well over a year now, small businesses and enterprises alike have been scrambling to unlock cost efficiencies in response to a persistent economic downturn. Shoring up revenue wherever possible has become mission critical, and even as business leaders eye new technology solutions to improve their workflows, keeping purse strings tightened remains top of mind.

If your company is considering migrating to the cloud and/or looking to make better use of your current cloud investments, look no further! Let's explore three ways you can minimize cloud spend while maximizing the value derived from your tech stack.

1. Start with Strategy

Creating a more efficient cloud spend requires a proactive approach. It's imperative to start at the very beginning, i.e. taking stock of every technology investment your company makes and evaluating its purpose. Don't skip the pre-work here; getting a holistic strategy in place is absolutely essential, especially in an environment where every penny counts.

Start by ensuring you truly understand the objective of every app within your tech stack and how often it's actually used. Is this a superfluous tool that employees are reluctant to adopt? Or is it a core part of their daily workflows? Once you've determined the value the tool provides your business, you can dive deeper into your evaluation by asking the following questions:

■ Do we have the proper processes in place for maximum efficiency?

■ Are we getting the most out of this application?

■ Could we execute in a more efficient way by building a custom application or investing in application integration?

You may be surprised at how many opportunities for consolidated tools you'll uncover — there are a number of multifunctional tech solutions on the market that offer more comprehensive capabilities, which means you may be able to say goodbye to a vendor or two without sacrificing any value.

If you're struggling to implement a technology strategy on your own, there are plenty of resources online you can turn to. You may also find it helpful to work with a consultant who can lead you through the process, especially if you're a smaller shop already juggling a number of priorities.

2. Customize Your Cloud Environment

Users new to the cloud may struggle to identify the true use cases for cloud technology at first. It's crucial to understand that one solution likely won't solve for all of your needs — so thoughtful and methodical customization will go a long way.

The cloud's adaptability and flexibility are two of its biggest advantages. You may consider embracing strategies like "just-in-time" services: an approach to reducing waste by ensuring you're investing in just what you need, when you need it, and nothing more. Starting small and scaling as needed is possible, so long as you're willing to evaluate alternative options to your legacy systems.

Reducing redundant applications and resources, offloading to different storage buckets, and leveraging on-demand tools and APIs are all practical strategies for increasing value and reducing waste when it comes to cloud spend.

3. Consider Adopting a Hybrid Approach

When it comes to determining whether your data belongs in the cloud or on-premises, a hybrid approach can be incredibly beneficial. Instead of trying to cut corners on costs in the short term, think about what makes the most sense for your business given your industry and the type of data in question.

For example, the heavily regulated financial and healthcare industries face more compliance around their use and storage of data, so it's wise (and in some cases mandatory) to store their most sensitive information on-premises. That said, it's easy to fall down the slippery slope of over-investing in servers and other equipment needed for on-site data storage. It's crucial to carefully evaluate what needs to be on-premises versus what can realistically be stored in the cloud.

A hybrid approach is useful for less regulated industries as well. It's not practical for businesses that work with large amounts of data every day to pull information into the cloud, process it, then bring it back down — keeping high-touch data stored on-premises may lead to more efficient processes.

Business leaders should keep in mind that while it may seem cheaper in the short term to purchase ten servers for on-premises data storage, the cost of staffing that operation is much more expensive and may be unsustainable in the long run. The same is true with equipment upgrades, repairs, and the other hidden costs that come with on-premises data centers.

The ROI for migrating even some of your data to the cloud won't be achieved right away, but with a little bit of patience, you'll begin to see the cost savings 5-10 years down the line.


No matter your relationship with the cloud, there are a multitude of opportunities to leverage this technology to your advantage without damaging your budget. Cost efficiency and streamlined processes go hand in hand. A creative and strategic approach won't just save your business money in the long run; it will also ensure you're getting the most out of the tools you actually need.

Greg Hohenbrink is Cloud Services Director at Wursta
Share this

The Latest

September 21, 2023

Companies implementing observability benefit from increased operational efficiency, faster innovation, and better business outcomes overall, according to 2023 IT Trends Report: Lessons From Observability Leaders, a report from SolarWinds ...

September 20, 2023

IT leaders are driving an increasing number of automation initiatives as a way to stay competitive, reduce costs and scale as they navigate an unpredictable social and economic environment, according to the 2023 State of Automation in IT survey conducted by Jitterbit ...

September 19, 2023

Customer loyalty is changing as retailers get increasingly competitive. More than 75% of consumers say they would end business with a company after a single bad customer experience. This means that just one price discrepancy, inventory mishap or checkout issue in a physical or digital store, could have customers running out to the next store that can provide them with better service. Retailers must be able to predict business outages in advance, and act proactively before an incident occurs, impacting customer experience ...

September 18, 2023
Digital transformation is key to ensuring companies keep up with the competitive market landscape. Putting digital at the core of a business can significantly reduce operating expenses and inefficiencies. However, this process often means changing the way internal teams work with one another. To help with the transition, this blog offers chief experience officers (CXOs) advice on how to lead a successful digital transformation project ...
September 14, 2023

Earlier this year, New Relic conducted a study on observability ... The 2023 Observability Forecast reveals observability's impact on the lives of technical professionals and businesses' bottom lines. Here are 10 key takeaways from the forecast ...

September 13, 2023
On September 10, MGM Resorts experienced what it called a "cybersecurity issue" that had a major impact on the company's systems, showing how cyberattacks can bring down applications, ultimately causing problems for a company in many ways ...
September 12, 2023

Only 33% of executives are "very confident" in their ability to operate in a public cloud environment, according to the 2023 State of CloudOps report from NetApp. This represents an increase from 2022 when only 21% reported feeling very confident ...

September 11, 2023

The majority of organizations across Australia and New Zealand (A/NZ) breached over the last year had personally identifiable information (PII) compromised, but most have not yet modified their data management policies, according to the Cybersecurity and PII Report from ManageEngine ...

September 07, 2023

A large majority of organizations employ more than one cloud automation solution, and this practice creates significant challenges that are resulting in delays and added costs for businesses, according to Why companies lose efficiency and compliance with cloud automation solutions from Broadcom ...

September 06, 2023

Companies have historically relied on tools that warn IT teams when their digital systems are experiencing glitches or attacks. But in an age where consumer loyalty is fickle and hybrid workers' Digital Employee Experience (DEX) is paramount for productivity, companies cannot afford to retroactively deal with IT failures that slow down employee productivity ...