# Hidden Marketplace Spend Preventing Commitment Optimization

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# Hidden Marketplace Spend Preventing Commitment Optimization

## Explanation

In many organizations, AWS Marketplace purchases are lumped into a single consolidated billing line without visibility into individual vendors. This lack of transparency makes it difficult to identify which Marketplace spend is eligible to count toward the EDP cap. As a result, teams may either overspend on direct AWS services to fulfill their commitment unnecessarily or miss the opportunity to right-size new commitments based on existing Marketplace purchases. In both cases, the absence of vendor-level detail hinders optimization.

## Relevant Billing Model

Marketplace spend is billed via AWS and may count toward EDP commitments-but only specific vendors and SKUs qualify. Additionally, Marketplace purchases that \*do\* count are capped at contributing no more than 25% of the total EDP commitment. Without detailed billing data, it's difficult to determine how much of the spend is eligible, leading to inaccurate forecasting and underutilized discounts.

## Detection

- Review EDP commitment utilization and assess if it's lower than expected despite high Marketplace usage

- Analyze whether large Marketplace purchases are being made without contributing to EDP drawdown

- Check if cost reporting lacks vendor-level granularity for Marketplace spend

- Evaluate whether new commitments are being sized without factoring in eligible Marketplace spend

## Remediation

- Enable detailed cost allocation and tagging to isolate Marketplace spend by vendor

- Cross-reference vendor eligibility with AWS to determine which purchases count toward the 25% Marketplace cap

- Update forecasting and commitment planning to include both direct AWS and eligible Marketplace purchases

- Rebalance future commitments to maximize EDP drawdown across both purchase types

## Relevant Documentation

- [https://docs.aws.amazon.com/marketplace/latest/userguide/cost-management.html](https://docs.aws.amazon.com/marketplace/latest/userguide/cost-management.html)

- [https://aws.amazon.com/marketplace/faqs/](https://aws.amazon.com/marketplace/faqs/)

- [https://aws.amazon.com/partners/programs/marketplace-seller/edp/](https://aws.amazon.com/partners/programs/marketplace-seller/edp/)

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## At a glance

Reference

CER-0231

Cloud provider

AWS

Service

AWS Marketplace

Category

[Other](https://www.pointfive.co/efficiency-hub/service-category/other)

Inefficiency type

Commitment Misalignment

## Contributed by

- Alexa Abbruscato 

### Alexa Abbruscato

FinOps Specialist

[LinkedIn](https://www.linkedin.com/in/alexa-abbruscato/)

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Source: the public page above. Product screenshots and illustrative interfaces are examples, not live customer data.