RISE vs GROW with SAP
Introduction – Why Compare RISE vs GROW
SAP now offers two distinct cloud ERP packages – RISE with SAP and GROW with SAP – each tailored to different business segments. RISE is positioned for larger enterprises, while GROW targets the midmarket.
However, many companies on the borderline (upper midsize firms) may qualify for both programs. Deciding between RISE and GROW is a strategic choice that can significantly impact your total cost, flexibility of the solution, and leverage in negotiations with SAP.
In essence, choosing wisely means aligning the program with your needs and using the alternative as bargaining power.
Both RISE and GROW share the same core – SAP S/4HANA Cloud as the ERP system – but they differ in scope and approach.
This comparison will break down how each model works, their licensing differences, what services are included, and how you can use the two options to your advantage during procurement.
For CIOs, CFOs, and IT leaders, understanding these differences is key to optimizing value and avoiding costly missteps. Read our guide to Grow with SAP Licensing.
Target Audience & Scope
RISE with SAP is designed for large enterprises or complex organizations. It is often chosen by companies with existing SAP ERP systems (such as ECC) or those requiring a private cloud or a hybrid deployment for compliance or integration reasons.
RISE caters to scenarios with complex landscapes, multiple systems, or industry-specific requirements. These customers often demand custom SLAs and flexibility in infrastructure.
With RISE, SAP provides a single-tenant environment (if needed) and can offer tailored service-level agreements (SLAs) for uptime, support, and other key enterprise needs. The scope of RISE is broad – it’s essentially a full-service offering to transform a business’s ERP landscape with minimal compromise.
GROW with SAP, on the other hand, targets midsize and fast-growing companies that are newer to SAP or have simpler requirements. It focuses on a public cloud (multi-tenant SaaS) deployment of S/4HANA Cloud.
The emphasis is on standardization and quick deployment. Companies that choose GROW typically have leaner IT teams and prefer out-of-the-box best practices over heavy customization.
The SLA and support model in GROW are standardized (as with most SaaS offerings) – you get SAP’s standard cloud service levels, which are reliable but not individually negotiated.
In short, GROW is about a streamlined cloud ERP for the midmarket, offering predictability and simplicity to firms that can adapt their processes to SAP’s standard.
Customer fit: If your organization can work within SAP’s delivered best practices and wants a faster time-to-value, GROW is likely a good fit.
If your organization requires extensive customization, integration with many other systems, or control over the underlying environment and upgrade schedules, RISE is the more suitable choice.
Being clear about your scope and requirements will immediately guide you toward one option over the other.
Licensing Model Differences
When it comes to licensing and pricing, the two models diverge in complexity. RISE with SAP uses a subscription licensing model often based on Full User Equivalents (FUE), but it’s not just a simple per-user fee – it’s a bundled contract.
In a RISE deal, SAP rolls multiple elements into one price: the S/4HANA software licenses (measured by users/FUEs), the cloud infrastructure hosting, and certain services and tools.
This means the licensing metric can include user counts and additional components, such as extra modules or add-ons, all negotiated into a single annual fee.
RISE’s pricing is highly customizable and negotiated case-by-case, since each enterprise may include a different scope (for example, adding other SAP cloud products into the RISE contract). While this can be tailored to your needs, it also makes RISE’s pricing structure complex – there isn’t a public price list.
The flexibility in licensing (such as mixing different user types and custom terms) comes at the cost of transparency. Enterprises considering RISE should be prepared for detailed discussions on what is included in that one contract.
GROW with SAP takes a more straightforward approach. Licensing under GROW is streamlined and typically per-user (FUE) based with predefined bundles.
SAP offers standard package pricing for GROW, making it easier to understand your costs. In fact, GROW has published tiered pricing bands – as you add more users, the per-user cost goes down transparently.
This means if you’re, say, a 50-user company or a 300-user company, you can roughly estimate costs from SAP’s guidance (of course, final quotes may vary).
The key difference is that GROW’s subscription mainly covers the software (the S/4HANA Cloud service) and basic support; the infrastructure is included by virtue of it being a SaaS/public cloud service, but there’s no separate line item for it.
GROW is predictable but a bit rigid: you get a defined set of software and services for a set price. It usually has minimum user count commitments (for instance, a minimum of around 15 users to start with in the base package), which sets a floor on the cost; beyond that, it’s simply scaled by the number of users.
The simplicity of GROW’s licensing is an advantage for clarity, though it means fewer levers to pull in negotiation compared to RISE.
In summary, RISE = customized subscription (multiple elements bundled, flexible terms, negotiated pricing,) whereas GROW = simplified subscription (standard bundles, per-user pricing, clear tiers). RISE can be thought of as “all-in-one, but tailor-made,” and GROW as “off-the-shelf SaaS package.”
Read the commercial tips, Negotiating GROW with SAP Contracts – Playbook for Midmarket Buyers.
Included Services
One of the biggest distinctions between RISE and GROW is what’s included in the package beyond just the core ERP software.
RISE with SAP is often described by SAP as “business transformation as a service” because it includes not just S/4HANA Cloud ERP, but a host of surrounding services and tools.
When you purchase RISE, you get the S/4HANA Cloud system itself (which could be a public edition or a private edition of S/4HANA, depending on what you choose).
You also get the infrastructure to run it – SAP takes care of hosting either in their own data center or on your choice of hyperscaler (AWS, Azure, GCP, etc.), with SAP managing the environment.
RISE usually bundles in SAP Business Technology Platform (BTP) credits for building extensions or integrations, and SAP Signavio process analysis tools (often referred to as Business Process Intelligence) to help analyze and improve your business processes during the move to S/4HANA.
Additionally, RISE contracts include the SAP Business Network Starter Pack, giving you some access to SAP’s supplier network and other cloud collaborative networks, and SAP Cloud ALM (Application Lifecycle Management) for monitoring and operations.
Standard support is included, and you can often negotiate custom SLAs for uptime or response times as part of the contract.
Essentially, RISE is a comprehensive bundle that includes ERP software, infrastructure, transformation tools, and premium support, all in one.
It’s delivered under one contract, and SAP serves as your primary service provider, even if the actual servers are on a hyperscaler.
This all-in approach means fewer vendors to manage and a promise that SAP will coordinate the pieces for you.
By contrast, GROW with SAP includes the essentials to get a midmarket company live on S/4HANA Cloud, public edition, but not much beyond that.
With GROW, you get the SAP S/4HANA Cloud (public multi-tenant) ERP itself, and along with it SAP Activate methodology content – basically guided implementation templates and pre-configured industry best practices to accelerate your project.
GROW also provides access to learning resources and community support, acknowledging that mid-market clients may self-enable to some extent.
In terms of technical extras, GROW does come with a bit of SAP BTP access (for example, some limited BTP credit or entitlements to use SAP Build low-code tools for minor extensions), but it’s not on the scale of RISE’s transformational toolset.
Think of it as “some assembly required” – you get the core cloud ERP and standard services, but things like in-depth process mining, extensive integration tools, or large-scale customization frameworks are not bundled in the base GROW package. You would handle those via separate projects or upgrades if needed.
Also, unlike RISE, with GROW you don’t choose a hyperscaler or negotiate infrastructure details – it runs on SAP’s chosen public cloud environment, and SAP manages everything behind the scenes with a one-size-fits-all service level.
The contract is often referred to as “one contract” as well, but it’s a much simpler contract covering the SaaS subscription and basic support, without the bespoke terms.
To summarize the inclusions: RISE gives you a wide array of tools and flexibility (from Signavio for process optimization to custom landscape options) along with your ERP, whereas GROW gives you the core ERP and a jump-start on best practices, but expects you to stay within standard boundaries.
Both aim to reduce the number of contracts (software, hosting, support all rolled in), yet RISE’s one contract is loaded with more services than GROW’s one contract.
Read our larger, GROW with SAP FAQs – Implementation, Add-Ons, and Compliance Considerations.
Cost Comparison
Cost is often the make-or-break factor when comparing RISE and GROW, especially for CFOs.
In general, GROW with SAP will have a lower entry price and lower ongoing subscription costs than an equivalent RISE solution – it’s designed to be affordable for the midmarket. However, the flip side is that GROW’s scope is limited, so you might incur additional costs outside the SAP contract (like paying implementation partners or licensing any extra functionality not included).
RISE with SAP typically comes at a premium price by comparison, but that price includes more elements (infrastructure, more tools) and enterprise-grade support. The important thing is to evaluate the total cost of ownership (TCO) for your scenario, not just the subscription fee in isolation.
From a CFO’s lens, one useful way to compare is by user count and complexity:
- For smaller deployments (for example, under 500 users, or even up to ~750 users), GROW with SAP is often the more cost-effective fit. The pricing for GROW at that scale will be relatively attractive on a per-user basis because it’s standardized and midmarket-focused. You’ll pay only for the software subscription (which could be in the hundreds of dollars per user per month at list price for a small user count), and you’re not paying for extras you don’t need. Companies in this bracket typically don’t require the extensive custom tools that RISE includes, so GROW lets them avoid those costs.
- As you approach the upper hundreds of users (750–1000 users), the picture starts to change. RISE’s value proposition – though more expensive – might justify itself if your needs are growing more complex. At roughly the ~1000 user mark, many organizations find that the enterprise-level features and flexibility of RISE justify the premium. In fact, beyond a certain scale, SAP might only offer RISE because GROW is not intended for very large operations. If you have around a thousand users and especially if you’re migrating from an existing SAP ERP, RISE can consolidate a lot of costs (hardware, database, etc., which you’d otherwise have to handle) into one package. It might cost more upfront (perhaps in the range of thousands of dollars per user annually at list for that size), but it covers more bases.
- For very large implementations (e.g., multi-thousand users across global operations), GROW is generally not applicable – at that point, RISE (or even a custom enterprise agreement) is the only realistic option. RISE’s per-user costs actually can come down at high volumes thanks to negotiated discounts, but the overall spend will be substantial. Still, it includes the full enterprise service and flexibility that a global company needs. GROW simply isn’t built for that scale or complexity of requirements.
The key is that GROW has a lower total cost for a given size, but it’s a “lean” offering, whereas RISE has a higher cost but includes more value components.
A savvy approach is to perform a TCO modeling: consider what you would spend in total with GROW (including partner implementation fees, any missing features you’d add separately, etc.) versus what you’d spend with RISE (which might include things you otherwise pay à la carte, like infrastructure or extra tools).
Sometimes RISE’s higher sticker price can actually be reasonable when you add up those separate costs; other times, if you don’t need the extras, GROW will clearly be cheaper overall.
Another cost consideration is the predictability of the pricing. GROW offers more predictable, tier-based pricing – you know how costs will scale if you add 50 more users, for example.
RISE pricing is more opaque and requires negotiation – enterprise customers may receive larger discounts (especially if committing to a multi-year, multi-product agreement).
Still, two companies could pay very different rates for RISE depending on their negotiation. Midmarket firms often appreciate GROW’s transparency because it’s easier to budget and explain.
In summary, for smaller user counts or tighter budgets, GROW usually wins on cost.
For a larger user count or when you value what RISE includes, RISE might justify its higher cost. Always run the numbers for your specific case, and don’t forget to factor in things like implementation services or future growth. That TCO analysis will also be a powerful tool in negotiations.
Negotiation Angle – Using RISE vs GROW as Leverage
One strategic benefit of having two comparable SAP offerings is the ability to use RISE and GROW as leverage against each other in negotiations.
If your organization could fit into either program, it’s wise to get quotes for both and play them to your advantage.
For instance, a mid-market company might initially lean toward GROW due to cost considerations. By obtaining a formal proposal or quote for GROW, you now have a benchmark price for a cloud ERP solution from SAP.
You can then approach SAP’s account team for a RISE proposal and challenge the price differential: “We have a GROW with SAP quote at $X – why is RISE costing significantly more? Can we close that gap?”
This signals to SAP that you have a lower-cost alternative on the table, creating pressure for them to improve the RISE offer (either by reducing the price or by adding more value to justify the cost).
SAP’s sales representatives, especially for midmarket accounts, will know that if they push RISE without flexibility, you genuinely have the option to choose GROW (or even a competitor’s solution).
Conversely, you could use a RISE proposal as leverage with the team selling GROW, though typically SAP itself will guide you based on your size – more often the leverage is about discounts and terms, not which program to choose.
The key is to keep SAP somewhat uncertain about which way you’ll go until you get favorable terms. Solicit both options and don’t reveal your hand too early.
Another negotiation tactic is to bring up competitors and alternative solutions. Whether you’re looking at Oracle NetSuite, Microsoft, Workday, or others, letting SAP know that you are evaluating those alternatives can improve your leverage. This isn’t directly RISE vs GROW, but it strengthens your position when combined with having SAP’s two options on the table. SAP would prefer you choose either of their offerings rather than going to a competitor, so they have an incentive to make one of them work for you.
Importantly, if you do decide on GROW now because it fits today’s needs, negotiate your future flexibility.
For example, you might ask for a clause that if, in a couple of years, you outgrow the GROW package, you can transition into a RISE contract with minimal friction and with credit for what you’ve already invested.
You don’t want SAP to lock you in and then charge a hefty premium to switch later.
Often, you can get commitments like applying unused subscription value toward an upgrade, or at least avoiding penalties for ending the GROW contract early to move to RISE. Make sure any such promises are in writing in the contract or an addendum.
In summary, treat RISE and GROW as two tools in your toolkit. Midmarket buyers should absolutely get quotes for both if they qualify – it costs nothing to compare. Use the existence of the alternative to extract better pricing and terms.
SAP’s ultimate goal is to keep you as a customer, so demonstrating that you have options (even within SAP’s portfolio) puts you in a stronger negotiating position.
Which to Choose?
Ultimately, the decision comes down to matching your organization’s needs with the right offering.
Here’s a quick guide to help choose:
- Choose RISE with SAP if… You require a high degree of flexibility in your ERP environment. This includes situations like needing a private cloud deployment, requiring significant customization or integration with many satellite systems, or if you’re undertaking a complex digital transformation of a large enterprise. If you have an existing on-premises SAP ERP and need a tailored migration with full support, RISE is designed for that scenario. It’s also the choice if you need control over scheduling upgrades or if you have specific regulatory needs that require isolated systems. In short, if your business processes are complex and you can’t compromise on customization, the RISE program will accommodate your needs (albeit at a higher cost).
- Choose GROW with SAP if… You are a cloud-first organization that values simplicity and speed. This is ideal for smaller and mid-sized companies that can largely adopt SAP’s standard processes with little modification. If you have a relatively standard set of requirements – say, you can run your finance, sales, supply chain using SAP’s provided best practices – then GROW will give you exactly that at a lower price point. It’s great if your IT team is small and you want SAP to handle most of the technical heavy lifting. Also, if budget is a major concern and you need a predictable cost, GROW is structured to deliver that. Essentially, if you don’t need all the bells and whistles and prefer a ready-to-run SaaS ERP, GROW is the smarter choice.
- If you find yourself “in between”… consider a strategy to start with GROW and plan for a future transition to RISE, or vice versa. For example, some upper-midsize companies might start with GROW to achieve a quick win and lower initial costs, while negotiating the option to move to RISE later, once they expand or if they reach limitations. If you do this, ensure there are no heavy penalties or surprises when transitioning. Alternatively, you might choose RISE from the start but in a limited scope, knowing that you’ll expand into its capabilities over time. The important thing is not to over-commit: don’t choose RISE with a huge scope “just in case” if you realistically could run fine on GROW; but also don’t choose GROW if it’s obvious that critical requirements won’t be met. Some companies on the borderline engage in proof-of-concept workshops to see if the standardized GROW approach can handle their needs – if it can, great, stick with GROW; if not, you have evidence to justify RISE.
In essence, RISE is for when you cannot compromise on flexibility and support, and GROW is for when you can embrace standardization for lower cost. And if you genuinely could go either way, use that as a negotiating advantage (as discussed above).
Pitfalls to Avoid
Even after choosing a direction, there are common pitfalls to watch out for in the RISE vs GROW decision process and subsequent contracts:
- Overbuying on SAP’s advice: Be wary if SAP strongly pushes RISE when GROW might meet your needs. The sales team may prefer the larger deal size of RISE. Don’t let the allure of “enterprise transformation” upsell you into an overly complex solution. Always map the offering to your actual requirements. If GROW suffices, don’t be convinced that you must take RISE without evidence. The pitfall here is ending up paying significantly more for capabilities you won’t fully utilize.
- Underestimating GROW’s limitations: The opposite scenario is also risky. GROW with SAP has inherent limitations – it’s standardized, which means if you have unique processes outside the norm, GROW might force you to change those processes. Some companies sign up for GROW because of the cost savings, only to find later that a critical business requirement can’t be met without customization that isn’t allowed in the public cloud. Avoid this by performing fit-gap analysis upfront: identify any must-have custom processes or industry-specific needs and check if the public cloud version supports them. If it doesn’t, and you still go with GROW, you could face serious headaches or expensive workarounds. Make sure you’re comfortable with the trade-offs of standardization.
- Not negotiating transition terms: If there is any chance you might start with one program and later move to the other (particularly moving from GROW to RISE as you grow larger or need more flexibility), negotiate that in the initial contract. A common pitfall is assuming “we’ll deal with that when we get there.” Without prior agreement, you might find yourself with no credit for unused subscription fees or facing a costly overlap. For example, if you sign a 3-year GROW contract and, after 2 years, you realize you need RISE, SAP could insist on a brand new contract (while still holding you to the original). Prevent this by getting a clause for transition credits or swap options – essentially, ensure you won’t pay double if you upgrade. SAP is often open to discussing your long-term roadmap; use that to get favorable terms now.
- Ignoring renewal caps and price escalators: Both RISE and GROW contracts typically run multi-year (3 to 5 years is common). A dangerous pitfall is not scrutinizing the renewal clauses. SAP might give a good initial discount, but if the contract allows a 10% or 20% price increase at renewal, you could face a budget shock later. Always negotiate a cap on renewal price increases – for instance, no more than a 3-5% annual increase, or locking in the original discount percentage for the next term. Also clarify how expansion will be priced (e.g., if you add 100 users, do you get the same per-user rate?). Without these protections, SAP could leverage your dependence on its system to hike prices sharply. Don’t leave renewal terms as an afterthought – nail them down upfront.
By avoiding these pitfalls, you’ll ensure that whichever path you choose (RISE or GROW) delivers the expected value without unwelcome surprises. Diligent planning and negotiation upfront can save a lot of pain down the road.
RISE vs GROW at a Glance
| Aspect | RISE with SAP | GROW with SAP |
|---|---|---|
| Target Market | Large enterprises with complex needs | Midmarket companies and new SAP adopters |
| Deployment | Private or public cloud (customer choice, managed by SAP) | Public cloud only (SAP’s multi-tenant SaaS) |
| Licensing | FUE-based subscription, multi-element contract (software + infrastructure + extras bundled) | Simplified subscription, often per-user bundles (software SaaS only) |
| Flexibility | High – Custom SLAs, choice of hyperscaler, extensive customization allowed (especially in private edition) | Low – Standardized SaaS, “fit-to-standard” processes with limited customization |
| Cost | Higher – Enterprise-level pricing, includes broad services (higher TCO but more included) | Lower – Designed for SMB budgets, pay only for core needs (lower TCO if requirements are simple) |
| Extras | Includes transformation tools (e.g. Signavio for processes, BTP credits, Business Network starter, etc.), optional add-ons can be negotiated | Core S/4HANA Cloud ERP only, plus basic tools and best practices (few extras by default) |
FAQs
- Can we switch from GROW to RISE if our needs change? – Yes, it’s possible to move from GROW to RISE (for example, at the end of your contract term) as your company grows or requires more flexibility. However, it’s crucial to negotiate the transition terms upfront. Ensure you have an agreement on credits or the transfer of subscription value, so that moving to RISE doesn’t result in paying twice for the same users. Typically, SAP will let you upgrade at renewal, but get any promises in writing.
- Are the core ERP functions the same in RISE and GROW? – Absolutely. Both RISE and GROW use SAP S/4HANA Cloud as the digital ERP core, so the fundamental capabilities (financials, supply chain, etc.) are the same. You’re not getting a “lesser” ERP with GROW – it’s the same software codebase. The difference is in what surrounds it: RISE might bundle extra tools (analytics, process mining, etc.) and allows more custom extensions, whereas GROW sticks to standard functionality. But when it comes to day-to-day ERP transactions, both deliver the S/4HANA Cloud experience.
- Who handles the implementation for GROW with SAP? – In the GROW model, implementation is usually partner-led. SAP provides the methodology (SAP Activate and best practice content) and some guidance. Still, you will likely work with an SAP implementation partner or consulting firm to actually configure the system for your business and migrate your data. These partners use SAP’s pre-configured templates to accelerate the project. SAP’s role is to run the cloud service and provide the tools. Still, they are not typically hands-on in the individual implementation unless you separately contract them or a premium service. In short, plan for a partner budget with GROW. (With RISE, you also often engage a partner or SAP Services for implementation, but there is sometimes more involvement from the SAP side in technical migration tools and support.)
- Does GROW with SAP limit my choice of cloud provider or infrastructure? – Yes. With GROW, you don’t have a say in the cloud infrastructure – it’s a public cloud SaaS offering managed entirely by SAP. Your system will run in one of SAP’s chosen data centers (which are often on hyperscalers behind the scenes, but it’s abstracted away). You cannot choose or customize the infrastructure or move it to a different provider. RISE, in contrast, gives you the option to select which hyperscaler or region your system runs on, and even go with a private cloud setup. So, if controlling or knowing the infrastructure is important to you, GROW might feel limiting in that respect.
- Which option gives us better negotiation leverage with SAP? – Both can be leveraged to get a better deal, especially if you are eligible for either. You can play RISE and GROW quotes against each other (as discussed earlier) to push SAP for discounts. In general, SAP doesn’t want to lose a customer, so showing that you have multiple SAP options – and even non-SAP competitors – on the table is your leverage. Neither program inherently gives a better discount by default; it’s how you negotiate. Enterprise customers have managed to get significant discounts on RISE if they demonstrate cost concerns or alternate plans, and midmarket customers have gotten good deals on GROW by citing competitive pressures. The key is to do your homework (get multiple quotes, know market rates) and be willing to walk away or choose the alternative. That approach will get SAP to sharpen its pencil on whichever option you lean toward.
Five Expert Recommendations
- Always compare quotes for RISE and GROW before deciding. Even if you think one is the obvious choice, it’s worth getting pricing for both. The comparison will give you insight into SAP’s pricing model and provide leverage. It also ensures you’re not leaving money on the table – one option might come in significantly cheaper for your scenario.
- Get the future upgrade path in writing. If you start with GROW, have SAP spell out how you could transition to RISE later (and at what terms). Conversely, if you’re choosing RISE, clarify how you might scale down or adjust the contract if needed. This protects you from being stuck or paying hefty fees later on. Always have any promises about flexibility or future options documented in the contract.
- Negotiate renewal caps to prevent price creep. Don’t focus only on the first-year cost. Ensure your contract includes a cap on annual price increases (for example, a maximum of 5% per year or locked discount percentages at renewal). This way, you won’t get an unpleasant surprise when it’s time to renew. Both RISE and GROW deals should have this, as it keeps long-term costs predictable.
- Leverage alternative ERPs and vendors for bargaining. Even if you prefer SAP, consider evaluating competitors like Oracle NetSuite, Microsoft Dynamics, or Workday. Having a credible alternative quote or proposal gives you a strong negotiating position. You can politely let SAP know that while you see value in their solution, you also have competitive bids. This often motivates SAP to improve pricing or throw in extras, whether you’re leaning towards RISE or GROW.
- Fit the program to your business needs – don’t overbuy or underbuy. This sounds obvious, but it’s a common trap. If your business can thrive with standard processes, don’t pay a premium for customization you won’t use (RISE). Conversely, if you truly need a tailored solution, don’t try to force-fit into GROW just to save costs, or you’ll incur costs later fixing gaps. The best outcome is when the choice of RISE vs GROW aligns tightly with your company’s IT strategy and growth plans. In practice: use GROW for simplicity if it covers you, and use RISE when complexity demands it, but always right-size the choice. Your goal is to get the optimal value from SAP without paying for unnecessary capacity or features.
By following these recommendations, you can make an informed decision between RISE and GROW with SAP and secure a contract that supports your organization’s strategy while maintaining cost efficiency.
Remember, knowledge and preparation are your allies in any large ERP negotiation – the more you understand these programs, the better outcome you will achieve.
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