NetSuite pricing guide and cost analysis [2024]

How much is NetSuite pricing in 2024?

It is important to understand the breakdown of NetSuite implementation costs. The NetSuite pricing you will pay varies by organisation size, complexity and requirements. Before beginning your NetSuite journey, read my cost analysis. I’ll break down the pricing models, edition costs, user licenses, advanced modules and implementation.

**All prices are correct at the time of writing this article, or may differ in different currencies, for instance GBP and USD.**

At a glance

• NetSuite Pricing is subscription-based with tiered and volume pricing options to align costs with your business growth and financial planning.
• NetSuite has different editions, Starter, Mid-Market and Enterprise, each for businesses of various sizes and complexities. Costs range from €1,500 monthly for smaller firms to full-blown solutions for large enterprises.
• NetSuite implementation and customisation costs can be significant, ranging from €9,000 to €230,000, and there are additional fees for modules, user licenses and training. The different cost factors and phases of NetSuite implementation are planning and analysis, system setup, data migration, integrations, customisation and user training. You can manage these costs by negotiating long-term contracts and phased scaling.

Understanding NetSuite Pricing Models

NetSuite Pricing is based on two models: Tiered and Volume Pricing.

Tiered Pricing means each item is billed at a specific price tier regardless of the total number of items sold. Volume Pricing offers cost savings for businesses with more extensive requirements.

The monthly NetSuite cost can vary greatly depending on user fees, suite costs, additional modules, integrations and total users. To understand how much is NetSuite, it’s essential to calculate the total cost per user per month, considering all these factors.

Subscription-Based Pricing

NetSuite is subscription-based; businesses can choose annual or multi-year subscription terms. This framework has two main pricing options: tiered Pricing and volume pricing. This flexibility allows companies to align their NetSuite investment with their financial planning and growth projections. Establishing a NetSuite subscription offers the potential for cost predictability and negotiation.

The pricing structure is based on the number of user licenses, overall suite costs and additional modules or customisations.

Tiered Licensing Plans

NetSuite has tiered licensing plans to suit different business needs. These plans are:

• Standard
• Premium
• Enterprise
• Ultimate

Each tier has different levels of functionality and support. Higher tiers have dedicated resources and customisation options so businesses can scale as they grow.

For example, the Premium and Enterprise tiers have advanced features and dedicated support that can really help your business.

NetSuite Edition Pricing

NetSuite editions are designed for businesses of all sizes, from small startups to large enterprises. They bundle various modules into suites so businesses get the core functionality they need straight away.

The three main editions are Starter, Mid-Market and Enterprise, each to suit user license requirements and organisational complexity. Understanding oracle netsuite pricing can help businesses navigate the cost structure based on their size and selected modules.

Starter Edition

The Starter Edition is an affordable entry point for small businesses. It offers core ERP functionality and optional CRM features for €1,500 per month. This edition has the essential tools to manage financials, sales, and customer relationships, so you can be sure that NetSuite is affordable for small businesses.

Mid-Market Edition

The Mid-Market Edition has more features to suit different business needs and is for growing businesses with multiple legal entities and over 10 users.

This is for businesses that are scaling up and need robust tools to manage their growing complexity and operational requirements.

Enterprise Edition

The Enterprise Edition is for enterprise resource planning and is for large businesses with over 1,000 users:

• extensive functionality and support
• advanced ERP capabilities
• comprehensive financial management
• dedicated resources to ensure that large organisations can efficiently manage their complex operations and workflows.

User Licenses and Costs

NetSuite offers different types of user licenses to suit different business needs. These are Full User Licenses, Employee Self-Service Licenses and Vendor and Customer Licenses. Depending on the level of access required, these licenses cost between €90 and €180 per user per month. Understanding the NetSuite price structure, including the per-user licensing model and its variations, is crucial to avoid hidden fees and ensure effective subscription management.

Choosing the right mix of licenses is essential to ensure all users have the access they need without incurring extra costs.

Full User License

Full User Licenses have full access to NetSuite functionality and are priced between €90 to €180 per monthly user. These are for employees who use NetSuite regularly to:

• Financials
• Sales
• Operations
• Customer service

They are ideal for those who work extensively with these functionalities and ensure that key personnel have the tools to perform their roles effectively.

Employee Self-Service License

The Employee Self-Service License is for employees with limited access to perform specific tasks such as submitting timesheets, expense reports or purchase requisitions. This license is €110 per year and is a scalable and affordable way to give access to many employees without the high costs, so you can confidently manage your user licenses.

Vendor and Customer Licenses

Vendor and Customer Licenses are free and scalable to suit different business needs. These licenses enhance user experience and relationships by allowing vendors and customers to access your NetSuite environment without extra costs, streamlining processes like order management and support.

Advanced Modules Pricing

NetSuite’s advanced modules go beyond core ERP and CRM functionality. These modules can be added per module or as part of industry-specific bundles.

NetSuite module pricing ranges from €550 to €1,550 per month, and some modules, like SuiteCommerce Advanced, cost much more. Businesses that want to tailor their NetSuite environment to their specific needs need to know these costs and the overall cost of NetSuite. The price of NetSuite can vary based on factors such as licensing, implementation, module selection, and user fees.

Financial Management Modules

NetSuite’s financial management modules, also known as NetSuite financial management, have extensive accounting and financial functionality and provide real-time visibility into business performance.

Modules like Advanced Electronic Bank Payments, Account Reconciliation and Planning and Budgeting streamline financial processes, making them more efficient and accurate.

Inventory and Order Management Modules

NetSuite’s inventory and order management modules automate the entire inventory management process, enhancing warehouse efficiency and customer satisfaction through effective customer relationship management.

The Warehouse Management module, for example, optimises warehouse operations so inventory is managed correctly and orders are fulfilled quickly.

E-Commerce and Retail Management Modules

NetSuite’s e-commerce and retail management modules, such as SuiteCommerce Standard and Advanced, are for online businesses. SuiteCommerce Standard is €1,800 per month, so it’s suitable for small — to medium-sized businesses.

These modules integrate with other NetSuite functionality, providing a single platform for managing all e-commerce and retail operations.

NetSuite Implementation Costs

NetSuite implementation costs can range from €9,000 to €230,000 depending on the size of the business, complexity and modules selected. Implementation involves several phases: discovery, setup, deployment, training and support. Understanding how much does NetSuite cost is essential to grasp the different aspects of NetSuite pricing, including implementation costs, monthly fees, and per-user charges.

Understanding these phases and the NetSuite implementation cost is crucial to planning a successful NetSuite implementation.

Working with NetSuite Solution Providers can help manage these costs. These providers offer cost savings, flexible support and the ability to negotiate better Pricing. Choosing the right implementation partner is key to getting the most benefits and savings, especially for integrations and custom solutions.

Discovery and Research Phase

The Discovery and Research Phase involves understanding business requirements and creating a Business Requirements Document (BRD). This phase can take 50–150 hours and cost between €6,800 and €34,000+. It’s the foundation of the implementation process and ensures the system is configured to meet business needs.

Setup and Deployment Phase

The Setup and Deployment Phase configures NetSuite based on the requirements agreed in the BRD. This phase includes:

• Configuring NetSuite settings
• Setting up user roles and permissions
• Customising forms and workflows
• Importing data from existing systems
• Integrating with third-party applications

This phase can take 2–3 times longer than the discovery phase and may incur additional customisation costs from €2,700 to €13,000.

Accurate setup and deployment are necessary to align NetSuite with your business processes and workflows.

Training and Support Phase

Training and support are key to keeping users up-to-date with the latest updates and industry best practices. Training costs can vary, with initial training for NetSuite administrators costing around €3,600 for the first year. Ongoing support and additional training for other users can add up to €1,800 to €13,000+ per year, depending on the depth and number of users.

Integrating NetSuite with Third-Party Apps

Integrate NetSuite with third-party apps to add functionality and streamline your business processes. NetSuite has multiple integration methods, SuiteTalk Web Services and SuiteScript Customization. These methods ensure information exchange between different apps in your environment, improving business efficiency and decision-making.

SuiteTalk Web Services

SuiteTalk Web Services provides programmatic access to NetSuite data and business processes to integrate with third-party apps. The costs for SuiteTalk vary based on:

• The complexity and extent of the integration
• The number of API calls
• Data volume
• Customisation requirements

SuiteScript Customisation

SuiteScript Customisation allows for extensive customisation and automation within NetSuite using JavaScript. Such flexibility is fundamental for businesses with specific requirements that standard NetSuite setups cannot meet.

The cost of SuiteScript customisation can vary greatly depending on the complexity of the customisations and the number of apps involved, from no cost to $10,000.

Cost-Saving Strategies for NetSuite

Businesses can save on NetSuite licensing costs by negotiating long-term contracts, timing their purchases with vendor promotions, starting with a basic package and scaling up.

These strategies can save a lot and align your NetSuite investment with your business growth.

Negotiating Long-Term Contracts

Negotiate with NetSuite for long-term contracts and get better rates and more predictable budgeting. This will help you avoid price increases and get lower rates for the contract term. It’s a proactive way to manage costs and bring financial stability.

Timing Your Purchase

Timing your NetSuite purchase strategically can get you better discounts, especially if you buy at the end of the vendor’s fiscal quarter or year. Vendors offer promotional Pricing to meet their sales targets, so it’s an excellent time to get a better deal.

Starting Small and Scaling Up

Starting with a basic NetSuite package and adding modules and user licenses incrementally allows you to:

• Manage your initial costs
• Align with your business growth
• Spread out the expenses over time
• Only pay for what you need as you grow.

Comparing NetSuite to Other ERP Solutions

When choosing an ERP system, you must compare NetSuite with other options like SAP Business One and Microsoft Dynamics 365. Each ERP system has its strengths and weaknesses, and knowing the differences will help you make a better decision.

NetSuite’s full ERP offerings, NetSuite ERP, cloud deployment and extensive customisation options make it a popular choice for businesses looking to grow and streamline with a NetSuite solution provider.

NetSuite vs. SAP Business One

NetSuite is a multi-tenant cloud with a more modern and consistent UI than SAP Business One. SAP Business One requires additional software for custom reporting and may require redevelopment during upgrades. NetSuite retains all customisations with each bi-annual update.

These differences make NetSuite more seamless and user-friendly for many businesses.

NetSuite vs. Microsoft Dynamics 365

NetSuite and Microsoft Dynamics 365 have subscription-based Pricing, but NetSuite is a more full ERP solution with strong accounting, CRM and e-commerce capabilities.

Microsoft Dynamics 365 is great for AI-driven insights and seamless integration with other Microsoft products. It also has cloud and hybrid deployment options.

The two options depend on your business needs and existing technology infrastructure.

NetSuite Pricing with Jacopo

Knowing NetSuite’s pricing models, editions, user licenses, and implementation costs is key to making a decision about your ERP investment. NetSuite offers flexible Pricing and cost-saving strategies and is scalable for businesses of all sizes.

In this article, I have quoted Pricing from the smallest to the largest range I have experienced as a NetSuite Partner. That does not mean these costs are applied when discussing your needs.

Speak with me first.

Frequently Asked Questions

What are the pricing models for NetSuite?

NetSuite has Tiered and Volume Pricing to cater to different business sizes and needs.

How much is a Full User License in NetSuite?

A Full NetSuite user License is $100-$200 per user per month and includes all NetSuite features.

What’s included in NetSuite Starter Edition?

NetSuite Starter Edition includes core ERP and optional CRM features. Pricing starts at $1,599 per month.

What are the costs involved in implementing NetSuite?

The costs of implementing NetSuite can range from $10,000 to $250,000 depending on company size, complexity and modules chosen. These costs cover the discovery, setup, deployment, training and support phases.

How does NetSuite compare to SAP Business One?

NetSuite is a multi-tenant cloud only and retains customisations with each bi-annual update. SAP Business One requires redevelopment for customisations during upgrades, so NetSuite is more flexible for businesses.

Originally published at https://jacopo.ee on August 6, 2024.