Storage Cost Optimization
Reduce storage cost drivers and translate savings into pricing flexibility.
Quick checklist
- Separate storage volume from request costs.
- Track hot vs cold storage mixes.
- Include retrieval and egress fees.
- Recalculate unit costs quarterly.
- Pass savings into pricing adjustments.
Step-by-step
- Estimate GB-month volume by tier.
- Add request and retrieval fees.
- Convert to a blended cost per GB-month.
- Compare costs to pricing thresholds.
- Re-run pricing after cost reductions.
Optimization levers
- Reduce retention windows for non-critical data.
- Use lifecycle policies for cold storage.
- Compress or deduplicate large datasets.
Common mistakes
- Ignoring retrieval fees in cost estimates.
- Mixing storage and bandwidth in one model.
- Using list prices instead of committed rates.