Order.co Saves 57% on AWS with Insured Commitments

Introduction

Founded in 2016 and headquartered in New York City, Order.co is a guided B2B marketplace on a mission to simplify purchasing for businesses. They enable companies to place and track orders across all vendors, control spending, and consolidate payments into a single bill.

Serving over 300 customers in more than 15,000 locations—including WeWork, SoulCycle, Lume, and High Level Health—Order.co oversees over $500 million in annualized spend and has processed over 1.3 million transactions. Backed by $50 million in funding from investors like MIT, Stage 2 Capital, and Rally Ventures, Order.co is committed to fueling smarter spending decisions so businesses can save time and money on what they need to grow.
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The Challenge

As Order.co experienced rapid growth, their AWS expenses began to escalate due to increased usage of services like EC2, RDS, Redshift, and OpenSearch. These services are critical for their core business applications, data analytics, and ensuring a seamless customer onboarding process. Traditional AWS Savings Plans required long-term commitments and lacked flexibility, making it difficult for Order.co to predict and commit to specific spend levels without risking overcommitment or underutilization.

Their technology team was focused on adding new features and improving the platform rather than managing and optimizing cloud costs. This led to unnecessary spending and budget overruns, impacting their bottom line and limiting their ability to invest in innovation.
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The Solution

Order.co partnered with Usage to optimize their AWS spending using Insured Commitments.This innovative solution allowed them to access the substantial savings of a 3-year AWS Savings Plan but with a commitment that was significantly smaller and more flexible.

• Flexibility with Insured Commitments: Order.co could enjoy high savings rates while only being obligated for the first one month. After this period, they had the flexibility to adjust or exit their commitments entirely, thanks to Usage's Guaranteed Buyback program.
• Maximized Cost Efficiency: By leveraging Insured Commitments, they covered a larger portion of their on-demand usage, significantly reducing costs without compromising on performance or scalability.
• Minimal Financial Risk: he ability to sell back underutilized commitments minimized financial risk and freed up capital for other strategic initiatives

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The Results

Implementing Usage's Insured Commitments led to immediate and impactful benefits for Order.co:

• 57% Reduction in AWS Costs: Order.co achieved a 57% savings compared to on-demand pricing, substantially lowering their cloud expenditure.
• Enhanced Flexibility: Unlike traditional AWS Savings Plans requiring long-term commitments, Usage's solution offered significant savings with the ability to adjust or exit commitments after just one month.
• Reinvestment in Growth: The significant cost savings were redirected towards product development and performance-enhancing features on the platform, enabling Order.co to better meet diverse customer needs.
• Operational Efficiency: Developers could focus on building new services and features without worrying about cloud costs, leading to better engineering efficiencies and faster innovation.

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