Explore the 7 Factors That Affect iPaaS Pricing Models [2024]

Companies are using more business applications. So, this has raised the need for integration systems to manage integrations between separate environments. We previously discussed the top 6 affordable iPaaS vendors under $5,000, and have written whitepaper that covers low-cost automation providers:

In this article, we explain the iPaaS pricing models of vendors in more detail, focusing on specific features, so you get a better idea of what you’re paying for.

Understanding iPaaS pricing models

A) Freemium pricing

Most iPaaS vendors offer free versions of their products, albeit with limited functionality of the standard features, to cover simple use cases.

B) Subscription-based pricing

The most common pricing model, subscription pricing comes in tiers, with each package having a certain number of integrations, users, and processing capabilities. This model provides predictable recurring costs, a good fit for businesses with a consistent integration workload.

C) Per-per use pricing

Under this model, customers pay for how much they use (i.e. number of integration flows and API integrations, volume of data processed, etc.). This model is cost-effective for businesses with variable integration workloads. But the cost can be unpredictable and high during periods of heavy usage.

D) Enterprise pricing

This is when the iPaaS provider curates a customized model for the client to fit their specific needs, at a custom pricing. For instance, a company might need unlimited workflows, unlimited users, and unlimited integrations that the basic package of an integration platform doesn’t provide.

What are key factors that affect iPaaS pricing?

Whether the pricing model is subscription-based or pay-per-usage, there are common denominators that dictate how much you pay. Those include:

1. Data volume

Data volume that companies deal with affects the price. This includes the number of API calls that will access data, records transferred, or the data storage.

2. Integration complexity & integration marketplace

The complexity of the integrations to connect the dedicated and separate environments affects the price. Integrations between common SaaS products, like Salesforce to Hubspot, can be straightforward through drag and drop interface and pre-built connectors.

In contrast, it’s harder to integrate apps with legacy systems which will need custom connectors to be built.

3. Number of users

Number of users who need access to the iPaaS platform creates additional costs. This is particularly true for subscription-based pricing models, where different tiers often include a certain number of users.

4. Service level agreements (SLAs)

Higher-level SLAs that promise faster response and resolution times usually cost more. A business that requires 24/7 support or near-zero downtime may need to opt for a higher-level (and more expensive) SLA.

5. Security requirements

Enhanced security measures add to the cost of an iPaaS tool. This can include advanced encryption, dedicated hardware, secure data storage, a full audit trail, or stringent access controls for customers’ data. Businesses that handle sensitive data, such as financial or health information, may need these additional security features.

6. Scalability

Should a company expand their business processes to require more integrations, concurrency, and capacity to process data without sacrificing performance, they will need to pay the iPaaS vendor to implement them.

7. Compliance needs

iPaaS solutions that need to comply with specific regulations (like GDPR, HIPAA, etc.) may be more expensive. Compliance can require additional security measures, data management capabilities, and auditing features, all of which can add to the cost.

What are some affordable iPaaS tools?

Below we listed the 5 affordable iPaaS tools with their pricing, trial period, number of pre-built connectors and automation capabilities. 

1. Argos Labs
2. Albato
3. Tibco
4. Integrately
5. Elastic

Other iPaaS vendors

Besides the affordable vendors, there are other iPaaS tools that are pricier. Those include:

• MuleSoft
• Zapier
• Boomi
• Oracle integration cloud service
• Cleo integration cloud services
• Talend cloud data integration platform

For more on integration

If you are interested in learning more about integration, read:

• Legacy System Integration: Top 4 Methods, Pros & Cons
• 40+ Data Integration Tools & Vendors: Sortable List
• Intelligent Automation Tools: Key Features & Top Vendors

Explore our list of data integration tools, and reach out to us if you need further assistance: