New Relic, Inc. Observability / APM / Data Analytics
Avg. Discount (Full Platform Users)
27%
Avg. Data Ingest Rate (enterprise)
$0.26/GB
Last Updated
March 2026
User Classification Risk
New Relic's user tiers (Full Platform vs. Core vs. Basic) create significant pricing leverage at renewal. Our benchmark data shows 40% of users in the average enterprise are classified as Full Platform but have Core-equivalent usage patterns. Right-sizing user types before renewal typically saves 30-45% on the user seat component alone.
Product Benchmarks
New Relic Data Ingest Pricing
Data Platform
Volume Tier
List Rate /GB
Avg. Committed
Best Achieved
Standard (<500GB/mo)
$0.35
$0.28
$0.23
Growth (500GB to 5TB/mo)
$0.30
$0.24
$0.19
Enterprise (5TB to 50TB/mo)
$0.25
$0.19
$0.15
Data Plus (extended retention)
$0.50
$0.38
$0.30
New Relic User Seat Pricing
Users
User Type
List /User/Mo
Avg. Paid
Best Achieved
Full Platform User
$549
$399
$319
Core User
$49
$37
Volume disc.
28% disc.
35% disc.
APM, Infrastructure & Browser Monitoring
Observability
Capability
Pricing Basis
Avg. Market Rate
Best Achieved
APM (via data ingest)
Per GB ingested
Included in base
Infrastructure Monitoring
Per GB ingested
~$0.22/GB
~$0.17/GB
Browser Monitoring (RUM)
Per page view
Negotiated flat
Included in DI
Synthetics (checks/mo)
$0.005/check
$0.0038
$0.003
Use Cases
01
User Right-Sizing Before Renewal
A 600-person engineering organization had 180 Full Platform users at $549/user/month, $1.18M annually in user costs alone. Usage analysis revealed 74 users accessed only dashboards and basic queries, qualifying as Core users. Reclassifying these 74 users before renewal reduced user costs to $834K annually, a $345K annual saving achieved without changing observability coverage or access for any user who needed full capabilities.
02
Data Ingest Reduction + Rate Negotiation
A SaaS company was ingesting 28TB monthly at $0.30/GB without committed pricing, $8,400/month. A combined approach reduced ingest by 22% through log filtering and dropped metrics (dropping irrelevant high-cardinality data) while simultaneously negotiating a 28TB committed rate at $0.21/GB for the remaining volume. Combined result: monthly spend dropped from $8,400 to $4,600, a 45% reduction through the dual optimization.
03
Datadog Competitive Evaluation
A financial services firm used a documented Datadog evaluation to anchor New Relic renewal pricing. Datadog's equivalent coverage was priced at $2.1M vs. New Relic's renewal proposal of $2.6M. Benchmark data showed New Relic's competitive rate for the specific coverage profile was $2.0-2.2M. The final New Relic renewal closed at $2.05M, below Datadog's alternative, which the organization rejected due to New Relic's established integrations and technical switching costs.
04
Data Plus vs. Standard Decision
An enterprise was evaluating New Relic Data Plus (90-day retention, FedRAMP, extended query limits) vs. Standard (30-day retention). The initial Data Plus quote was $0.50/GB, 43% above Standard pricing. Benchmark data showed comparable Data Plus commitments negotiating to $0.34/GB, and that only 30% of ingested data required 90-day retention. A hybrid approach (Data Plus for security logs, Standard for application metrics) reduced total ingest costs by 31% while meeting compliance requirements.
Negotiation Intelligence
01
Benchmark Data Ingest and User Seats Simultaneously, Never in Isolation
New Relic's two-dimension pricing model means benchmarking only data ingest OR only user seats produces an incomplete picture. Our benchmark data shows organizations that negotiate both simultaneously achieve average total cost reductions of 31% vs. 18% when negotiating each dimension separately. The combined lever also enables trade-off conversations, accepting a slightly higher ingest rate in exchange for a deeper user seat discount (or vice versa) based on your specific consumption mix.
02
Audit User Types 60+ Days Before Renewal, Not at Renewal
User type reclassification requires IT administration action and political buy-in from engineering teams. Starting this process 60+ days before renewal allows sufficient time to analyze usage patterns, communicate changes to affected users, and execute reclassifications before the negotiation window. Organizations that surface user type optimization as a negotiation tactic at the renewal table rarely get the same financial benefit as those who execute the reclassification independently beforehand.
03
New Relic's FY Ends March 31, Q4 (January-March) Delivers Maximum Discount Depth
New Relic's fiscal year ends March 31, creating strong Q4 quota pressure. Our benchmark data shows deals closing in February-March achieve 14-22% deeper discounts than equivalent Q1-Q2 deals. The combination of annual quota pressure and New Relic's strategic focus on expanding committed spend (vs. consumption pricing) makes February-March the highest-value negotiation window for enterprise contracts above $500K.
04
Datadog Is the Most Effective Competitive Lever, Open Source Alternatives Create Structural Pressure
New Relic's strongest competitive response emerges when Datadog evaluations are documented. Our benchmark data shows 12-18% additional discount depth when a credible Datadog PoC is in progress. Open source alternatives (Grafana Cloud + OpenTelemetry + Prometheus) have become a credible structural threat that New Relic's enterprise team takes seriously at deals above $1M, even if the organization isn't likely to fully migrate, the demonstrated capability is often sufficient to improve pricing by 8-12%.
Related Resources
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Frequently Asked Questions
What discount can enterprises achieve on New Relic data ingest?
Data ingest pricing negotiates to 28-36% below list for committed-volume contracts. At 5TB+ monthly, enterprises average $0.25-0.28/GB vs. list of $0.35/GB. Benchmarking both data ingest and user seats simultaneously achieves 31% total cost reductions vs. 18% when negotiating each dimension separately.
How does New Relic compare to Datadog on pricing?
New Relic runs 20-30% below Datadog at mid-market scale. At enterprise scale ($2M+), the gap narrows to 10-15%. New Relic's free tier is attractive for initial deployments, but organizations that grow into paid tiers without renegotiating committed rates see 40-60% higher costs than market.
How can user type optimization reduce New Relic costs?
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