Ariba, now part of SAP Business Network, is a popular platform for business-to-business transactions. While it offers some free features, suppliers should be aware of potential charges associated with using the network. This blog post will discuss Ariba charges and how they might impact your business.

Free vs. Paid Tiers

The good news is that you can use Ariba for a limited number of transactions without charges. This applies if:

• You transact five or fewer documents (purchase orders, invoices, etc.) annually with a single customer.
• Your total transaction volume falls below $250,000 annually with a single customer.

You’ll be enrolled in a paid subscription plan if you exceed these thresholds.

Subscription Levels and Fees

Ariba offers tiered subscription plans based on your transaction volume. Here’s a simplified breakdown:

• Free: Up to 5 documents or $250,000 transaction volume (with one customer)
• Bronze ($50 annually): 5-24 documents or under $250,000 transaction volume (with one customer)
• Silver ($750 annually): 25-99 documents
• Gold ($2,250 annually): 100-499 documents
• Platinum ($5,500 annually): 500 or more documents

Transaction Service Fees

On top of the subscription fee, there’s a quarterly transaction service fee. This fee is a percentage of your total transaction volume across all customers. However, there’s a cap on this fee for high-volume relationships with individual buyers.

Tips for Managing Ariba Charges

• Track your transaction volume: Monitor your document count and transaction value with each customer to avoid exceeding free tier limits.
• Evaluate your needs: Choose the subscription plan best suits your transaction volume. Upgrading to a higher tier might be cost-effective if it avoids per-transaction fees.
• Negotiate with buyers: In some cases, you may be able to negotiate with your buyer to cover Ariba charges, especially if the cost is significant for your business.