Definition
Backups are data copies stored for recovery and disaster protection, adding storage and retrieval costs.
Why it matters
Backups can materially increase storage costs, especially with long retention periods. Pricing needs to include this overhead to avoid margin erosion.
Pricing implications
If backups are included, bake the cost into GB-month pricing. If optional, price backups as an add-on or premium tier.
Measurement tips
Track backup storage volume and retrieval frequency to estimate true cost impact.
Checklist
- Include backup storage in GB-month cost assumptions.
- Account for retention period length.
- Include retrieval request costs if frequent.
- Separate backup costs if offered as an add-on.
- Update backup costs when storage pricing changes.
- Avoid hiding backup costs in fixed overhead.
- Validate backup costs with billing data.
- Document backup policies in pricing assumptions.