How to Create Renewals in AWS
Too often, organizations hesitate to take renewals through AWS Marketplace when they first get started. However, avoiding this motion can lead to missed opportunities. Neglecting your existing ARR is a common pitfall—nothing is worse than hitting your new logo number but falling short on retention, forcing you to use that new logo revenue to backfill what should have been guaranteed revenue.
Having spent most of my career comped on renewals and expansions, I’ve learned that what sets successful renewals and expansion sellers apart is their ability to leave no stone unturned. These sellers constantly look for ways to bring value to their customers, identify risks at every stage of the cycle—right after securing the renewal, mid-contract, and especially 90 days out—and work proactively to address those risks behind the curtain to get ahead of it.
A strong renewals or CS rep knows their book of business better than anyone else, but it’s just as important to not assume you know everything. Staying open to new insights is crucial, even when things are going well in the account.
So, how can AWS Marketplace renewals fit into your broader Cloud GTM strategy? Let’s explore why this motion is essential.
Why AWS Marketplace Renewals Matter for Your GTM Strategy
AWS can help identify risks, but they can also inform you about new opportunities. AWS has deep, strategic relationships with their accounts—they know who is who from decision-makers to procurement folks. They often have insights into customer initiatives and advice on how to execute them, having conversations at an executive level. By collaborating on your renewals, you create an opportunity to be part of those conversations and align more closely with AWS’ strategic priorities.
If you wait for AWS to come to you, you miss out on the value of real-time collaboration. Instead, proactively share your renewal initiatives, highlight what you have noticed, and ask AWS to share their insights. Don’t forget that you also bring value to the table.
We often refer to renewals in marketplace as “low-hanging fruit” because the closing timeline is more predictable and reliable. When you’re first getting started, these consistent wins help you gain visibility with AWS reps and get them more familiar with your product. Plus, AWS also meets you halfway by offering the lowest marketplace fees on renewals in the industry at 1.5%—💡remember to click that box when creating the private offer!
Now that we’ve established the “why,” let’s dive into the “how” with a step-by-step guide to successfully renewing in AWS Marketplace.
5 Steps to Successfully Renew in AWS Marketplace
So, what is best practice? Let’s walk through a step-by-step guide for renewing in AWS.
1. Identify the Right Opportunities 🔎
Not every renewal needs to go through AWS, so be intentional. Use Tackle Prospect to identify which accounts in your pipeline have a high likelihood to purchase through AWS Marketplace. Share those opportunities and work with your sellers to engage with AWS. Prioritizing the right opportunities makes sure AWS engagement drives the most value.
2. Engage AWS Early 🤝
AWS can help you spot renewal risks, but they can also uncover new opportunities. Start conversations with AWS reps early, share insights, and align on mutual customer goals from the jump.
3. Enable Your Sellers 🗣️
If this is a new motion for your organization, it’s critical to make sure you enable your sellers on what it means to engage with AWS. Provide enablement through ad hoc sessions (lead by your Tackle Coach or with AWS), office hours, LMS guides, or ideally a combination of all three.
4. Close the Deal ✅
The process for closing an AWS renewal is the same as closing a direct deal—just make sure to let them know it’s a renewal (part of the private offer flow) to unlock the lower marketplace fees. Close/launch the opportunity in ACE, and celebrate the win!
5. Track and Optimize 📈
Every renewal closed in AWS Marketplace is an opportunity to refine your approach. As a best practice, keep track of wins to get more sellers on board, optimize future deals, and show AWS how your team is helping drive their success.
While these steps provide a clear roadmap, it’s equally important to avoid common pitfalls. Let’s discuss how to engage AWS strategically without creating unnecessary noise.
Avoid Unnecessary Noise and Be Intentional with AWS Engagement
Should you share every renewal in your pipeline with AWS? Not necessarily. The goal is to be intentional and strategic when you talk to AWS. Flooding AWS with every deal in your pipeline without clear direction creates noise instead of value.
We want to identify where these conversations are going to be a good use of AWS’ time, as well yours. Focus on the renewals where AWS collaboration will have the greatest impact, and ensure your sellers understand how to engage proactively.
Ready to get started? Here’s how you can begin maximizing renewals with AWS Marketplace today.
Start Maximizing Renewals with AWS Today
If you’re just getting started with AWS Marketplace renewals, start with Tackle Prospect to identify high propensity opportunities. Then, work with your Tackle Coach, AE, or CSM to build out a use case.
While you might need to check a box to mark a renewal in AWS, don’t treat marketplace renewals like a checkbox exercise—marketplace renewals are your fastest path to revenue, stronger relationships, and greater relevance.
Not a customer yet, but want to learn more? Reach out to us at sales@tackle.io.
Frequently Asked Questions
Still have questions about AWS Marketplace renewals? Here are answers to some of the most common questions we hear:
- FAQ #1 Why should companies renew deals through AWS Marketplace?
Renewing deals through AWS Marketplace offers several advantages. It helps you maintain and grow your existing ARR while avoiding the risk of losing guaranteed revenue. AWS Marketplace also offers the lowest renewal fees in the industry at just 1.5%, making it a cost-effective option. Additionally, renewing through AWS strengthens your relationship with AWS reps, increases visibility for your product, and aligns you with AWS’ strategic priorities, which opens the door to new opportunities. - FAQ #2 How does AWS Marketplace renewal pricing work?
AWS Marketplace offers a competitive renewal fee structure, charging only 1.5% for renewals–the lowest in the industry. When creating a private offer for a renewal, ensure you check the box indicating it’s a renewal to unlock this discounted rate. This pricing model makes AWS Marketplace an attractive option for maximizing revenue while minimizing costs. - FAQ #3 What’s the best way to engage AWS for contract renewals?
The key to successful AWS engagement for renewals is being proactive and strategic. Start by identifying high-propensity opportunities using tools like Tackle Prospect. Engage AWS early in the renewal process to leverage their insights into customer risks and opportunities. Enable your sellers with the right training and resources to effectively collaborate with AWS. Finally, focus on renewals where AWS collaboration will have the most impact, avoiding unnecessary noise and ensuring every interaction adds value.
