Top 5 Cloud Cost Optimization Strategies
Start writing a post

Top 5 Cloud Cost Optimization Strategies

Cloud Cost Optimization

Top 5 Cloud Cost Optimization Strategies

The most significant advantage of running in the cloud is the ability to scale up and down to meet demand and reduce operating costs. Sometimes you stop a compute instance but forget to delete its storage volume. To monitor it, you need a migration tool with backup measures at industry-leading data transfer speeds. If you temporarily spin up a server and forget to turn it off or remove the storage, your cloud costs can balloon unnecessarily.

If you implement SSO authentication, it will reduce IT costs by 46%. You may be able to upgrade to a newer generation instance to get the same performance at a smaller size. You can compare utilization and capacity to see if resources are underutilized and need to be optimized. Enterprises should recognize cloud spend optimization as an integral part of their workflow.

Cloud providers can follow a consumption-based model and bill businesses based on their resources.

Top 5 Cloud Cost Optimization Strategies

The Cloud cost optimization strategy ties costs to specific business areas and provides a detailed view of cloud budget and spend analysis. This cost transparency allows you to allocate more cloud resources to increase your ROI and minimize unnecessary costs.

1. Scale resources efficiently 

Oversized instances are a common problem for cloud architects after signing up for various cloud services. Suppose you sign up for an extra-large Amazon Elastic Compute Cloud web scraping instance. Ultimately, the cost will increase if the developer leaves that instance idle after a certain point.

Cloud Provider helps identify these budget overhauls due to unplanned resource allocation. Moreover, IT automation can act as suspending, resuming, or committing services for effective budgeting cycles.

2. Align your budget with business goals

A key element in controlling costs is ensuring everyone understands your organization's cost requirements. The budgeting feature helps you track allocated budgets and take action when budget thresholds exceed

3. Predict things early

By predicting a reasonable cost based on historical data, you can spend money consciously and avoid wasting money on unnecessary resources. A detailed Business unit forecasting allows you to get an estimated total bill for your chargeback units for the current month based on your past usage.

4. Resource optimization

Detailed analysis of resource-level spending gives you a clear picture of where you're wasting your money. A single resource may be consuming the cost of the entire infrastructure, which can be challenging to see in the overall cost view. Resource Explorer displays resource-level spending details.

You can also view costs by account, region, service, and even day, paving the way for effective resource optimization strategies. With Resource Explorer, it's easy to analyze how each cloud resource contributes to your costs.

5. Use data wisely

Getting the exact data correct can be challenging, especially in multi-cloud environments. Cloud Providers offers custom reports such as budget alerts, trend analysis, and resource explorer. Use these reports to make informed business decisions and save on cloud costs. You can also receive regularly scheduled reports, giving flexibility at the business unit level. With multi-currency support, you can change the report to show how much you'll spend in your preferred currency.


These best practices help better understand cloud cost optimization strategic decisions, and appropriate spending. Cloud providers understand the cloud ecosystem and help align costs with teams, customers, and lines of business. This will give you an idea of where to draw the thread to balance cost and system performance. We often don't realize that these applications are cheaper, more scalable, faster, and more flexible.

Organizations must develop this capability and execute processes before deploying applications, workloads, and projects onto the cloud. It is highly recommended to take consulting from a highly experienced IT firm to audit and suggest the ideal solutions when it comes to governance issues or performance monitoring, or for that matter, cost control on cloud Engineering.

Report this Content
This article has not been reviewed by Odyssey HQ and solely reflects the ideas and opinions of the creator.

Hispanic Heritage Month

A lil history and a few thoughts.

Dianeliz Gonzalez

Hispanic Heritage month is here, and we are ready to celebrate!

Keep Reading... Show less

My September Faves

Here are some of my faves during the month of September


Keep Reading... Show less
Student Life

9 Things Tall People Are Tired Of Hearing

Yep. The weather is fine up here... I've totally never heard that before.


Don't get me wrong, I absolutely LOVE being tall. Sometimes I even wish I was taller. One of the downsides of being tall however, is having to put up with ridiculous questions and statements. I can assure that all tall people are tired of being asked what the weather is like "up here", but here are a few other things we don't want to hear anymore.

Keep Reading... Show less
Student Life

30 Signs You're From Wisconsin

When you say Wisconsin, you've said it all!


We truly love it here in the Badger State. Here are a few things Wisconsinites can relate to.

Keep Reading... Show less

Five Types Of People In Fall

From yummy pumpkin spice lattes to scary movies, fall has it all and then some.

Destination Logan County Illinois

Oh fall, the most marvelous time of year...right? Every approaches fall differently, some pumpkin spice-tastically and some not so enthusiastically. We can't all be Autumn lovers, so here are five types of people in fall. Grab a cup of hot coca, sit back, and enjoy.

Keep Reading... Show less

Subscribe to Our Newsletter

Facebook Comments