A Complete Guide to PAM Pricing: Cost Components, Pricing Models, and Hidden Costs

Cyber attacks, insider exploitation, and data leaks pose significant cybersecurity threats that can cost your organization thousands—if not millions—of dollars and severely damage your reputation.

Moreover, according to Cybersecurity Ventures, cybercrime costs are expected to hit the $10.5 trillion mark annually by 2025, so safeguarding digital infrastructure has become a top priority for business leaders across industries.

One of the most critical challenges you face is controlling who has access to your organization's most valuable systems and data. This is where Privileged Access Management (PAM) becomes crucial. PAM solutions ensure that only authorized users can access sensitive systems and information, strengthening your security framework.

However, you might have had to sift through the complex and often opaque pricing models when evaluating PAM solutions. Hidden fees, tiered licensing, and unclear costs make it difficult to determine the cost of securing your data.

This guide aims to demystify everything related to PAM pricing by breaking down the cost components and explaining the factors that impact pricing. By the end, you'll be equipped with the knowledge to choose the right PAM solution that meets your security needs and budget.

What Should You Consider Before Purchasing a PAM Solution?

Before we discuss the cost components and hidden costs of a PAM solution, here are the seven factors you should consider before purchasing one.

1. Number of Users and Accounts

Identify the number and types of privileged users in your organization, such as administrators, business users, developers, and super-users. Also, assess the different account types that need management, including shared, service, and personal admin accounts.

2. Number of Managed Devices

Evaluate the types of devices requiring privileged access, such as servers, databases, network equipment, cloud platforms, and IoT devices, along with your infrastructure's total number and complexity, including legacy systems and multi-cloud environments.

3. Contractual Lock-Ins

Be wary of vendors that impose lengthy contracts or lock-in terms. In today's economic climate, selecting a PAM solution that offers flexibility and avoids unmanageable commitments is vital, allowing you to pivot as your needs change.

4. Features and Modules

Identify essential functionalities like password vaulting, session monitoring, and access control. Advanced features like privileged task automation or third-party integrations may be necessary, but be mindful of how these can affect your overall costs. Opt for a solution that aligns closely with your current and future needs.

5. Deployment Types

Consider your organization's needs when choosing between on-premise, cloud-based, or hybrid deployments. Look for a solution that avoids contractual lock-ins and complex pricing, offering quick value realization without lengthy implementation cycles.

6. Scalability Requirements

Ensure the PAM solution can accommodate your organization's projected growth in user numbers and evolving security requirements, allowing for the addition of new features or modules as needed.

7. Complex Pricing Structures

Avoid solutions with convoluted pricing models that can lead to unexpected costs. A clear and transparent pricing structure is essential to prevent budget overruns and ensure you can effectively manage your expenses.

Whether it’s managing users and devices or figuring out the right deployment options, the aspects listed above can significantly impact your security posture and budget.

What are the Core Cost Components of a PAM Pricing Model?

If you are exploring the offerings of different privileged access management solutions, grasping the different cost components is crucial for making an informed choice. Here’s a breakdown of the key elements contributing to the overall pricing.

What are the Additional Cost Considerations for Implementing a PAM Solution?

While the above-listed components make up most of the price tag, you need to consider additional cost considerations before finalizing any PAM solution.

Comparison of PAM Pricing Models Available in the Market

Each PAM pricing model available in the market has its own benefits and drawbacks. Here’s a brief comparison of the most common PAM pricing models that outlines their key features, advantages, and disadvantages.

By comparing these models, you can identify the most suitable option that balances cost-effectiveness with the security features necessary to protect your organization's sensitive data.

Pricing Models

Subscription-Based Pricing Firms pay a recurring fee for access to a service or product.
Advantages Predictable costs for budgeting, Access to ongoing updates and support.	Disadvantages Long-term costs may exceed the initial purchase	Best Suited For SaaS companies and services with ongoing value
Pay-as-You-Go Cost is based on the actual usage of a service or product.
Advantages Flexibility to scale costs with usage, No upfront commitments.	Disadvantages Unpredictable expenses can lead to budget overruns	Best Suited For Businesses with variable usage patterns
Perpetual Licensing Customers pay a one-time fee for permanent access to a product.
Advantages No recurring fees after the initial purchase, full ownership of the product.	Disadvantages Higher upfront costs,May require additional fees for updates/support	Best Suited For Organizations that prefer long-term ownership
User-based Licensing Pricing is based on the number of users accessing the software.
Advantages Ability to add or remove users as needed, Costs align with usage.	Disadvantages Costs can escalate with user growth, May limit access for smaller teams	Best Suited For Teams and organizations with fluctuating user counts
Tiered Pricing The different tiers of prices are based on features or usage limits.
Advantages Flexibility in choosing the plan that best fits current needs and budget.	Disadvantages The complexity of choosing the right tier can be confusing	Best Suited For Businesses with diverse customer segments
Enterprise Licensing Agreements (ELAs) Custom agreements for large organizations, often with volume discounts.
Advantages Tailored solutions, Potential cost savings for large-scale usage	Disadvantages Lengthy negotiations can delay implementation	Best Suited For Large enterprises with significant software needs
PAM-as-a-Service Cloud-hosted PAM solution with vendor-managed infrastructure, accessed via subscription
Advantages Reduces overhead for implementation and maintenance, Easy to scale	Disadvantages Vendor lock-in can limit flexibility	Best Suited For Organizations looking to purchase managed PAM solutions

Looking for a Cost-Effective PAM Solution?

Whether you're safeguarding internal systems or monitoring external access to sensitive data, you can’t do without a PAM solution. That said, finding a PAM solution that meets your needs and security concerns is easier said than done.

Securden’s approach to privileged access governance is reflected in its Unified PAM, a modern, all-in-one solution designed to tackle the challenges of privileged access management. With its self-hosted deployment model and user-friendly design, Securden simplifies the complexities typically associated with PAM implementations.

Don’t wait until vulnerabilities become threats—start your journey towards enhanced security and operational efficiency with Securden by signing up for a personalized demo today.

Let’s discuss your PAM requirements and how we can help you achieve your security goals!

Frequently Asked Questions About PAM Pricing

How to determine the total cost of ownership for a PAM solution

To determine the total cost of ownership for a PAM solution, you must consider licensing fees, implementation costs, ongoing maintenance, and indirect expenses like implementation, training, and support. Moreover, you should also factor in the need, if any, for additional hardware, software, or professional services that may increase the total cost of ownership (TCO) beyond the initial price tag.

What are the key components to evaluate when selecting a PAM vendor?

When evaluating PAM vendors for features, scalability, and ease of management. In addition to that, you should also assess if you can turn on new features yourself or if they require costly professional services. Consider the infrastructure footprint needed for on-premises deployment and the ability to achieve high availability. Lastly, determine if you need additional licenses for supporting software components.

How does Securden's PAM pricing compare to other providers in the market?

Securden offers competitive pricing with flexible models tailored to different organization sizes. Unlike some vendors requiring additional purchases for new functionality, Securden provides comprehensive features within a single pricing structure, including password management, web access, and threat analytics.

Does Securden offer flexible pricing models for different organization sizes?

Yes, Securden offers different pricing models designed to fit the needs of organizations of all sizes. Whether you're managing privileged accounts on a physical or virtual machine or need a solution for a large enterprise, we offer scalable options based on the number of users and admins in your organization.

Are there any additional costs for training and onboarding my team to use Securden's PAM platform?

At Securden, we provide training and onboarding support as part of our service, with no hidden fees. However, depending on the complexity, if your internal team requires extensive training or configuration work, there may be additional costs.

What is the typical timeframe for fully implementing Securden's PAM solution?

The full implementation of Securden's PAM solution typically takes two weeks, depending on your organization's size and existing infrastructure. The process includes initial configuration and integration with other software, ensuring high availability.

Can Securden's PAM solution scale with my organization's growth without significant cost increases?

Yes, Securden's Unified PAM solution is designed to scale with your organization's growth, offering new features and additional capacity without significant cost increases. The platform's flexible PAM architecture supports cloud and on-premises environments, ensuring seamless scalability.