What is Smartsheet?

Smartsheet is a widely used platform that bridges the gap between traditional project management tools and spreadsheets. As businesses increasingly rely on it to streamline workflows and manage complex projects, understanding Smartsheet licensing becomes critical to maximizing value while minimizing costs. This blog delves into how Smartsheet licenses are costed, the differences between the old and new plans, the impacts of the plan changes, and what organizations need to watch for during the transition

How Smartsheet Licenses Are Costed

‍Smartsheet employs a user-based pricing model, where costs vary based on user roles and the required features. Here are the main factors influencing license costs:

• User  Roles
  
  • Members:  Paid users who can create, edit, comment, and view sheets, workspaces and other items.
  • Provisional  Members: Temporarily free users granted full platform access for atleast 30 days. These users must be reconciled into paid or free roles after their provisional period.
  • Guests: Free users external to the organization’s domain, who can collaborate through commenting and basic editing actions but cannot create new sheets or workspaces. Guests must remain external collaborators and cannot be part of the organization’s internal domain.
  • Viewers: Free users who only need view access to items. They can see all shared content but cannot interact, comment, or edit. Viewers can be either internal or external to the organization’s domain.
 
• Add-Ons:    
  • Premium features like Control Center, Dynamic View, and Bridge.
  • Integration tools and API access.
 
• Plan  Tiers:
  • Variations in functionality across individual, business, and enterprise plans.

‍Understanding Smartsheet Licensing: Costs, Plans, andTransitioning to the New Model

The costs can escalate with additional features, storage requirements, or advanced capabilities like automated workflows and advanced reporting.Transition to the New Smartsheet Plan Smartsheet’s new user subscription model becomes effective on June 24, 2024, for all new plans. Existing customers on legacy plans will transition to the new model at their first renewal starting in 2025.Multi-year contract customers will move to the new plan upon their contract renewal in 2025 or later.This transition is designed to:

• Provide better transparency and predictability in pricing.
• Enable users to realize the value of the platform faster with simplified user types.
• Help SysAdmins manage licensing more effectively with clearer visibility into roles and usage.

Organizations still on the old plan can use this time to audit their usage, analyze their requirements, and plan for a seamless transition to the new model. Those already on the new plan can better understand their licensing needs and optimize their user assignments for cost efficiency.The Old Plan vs. The New Plan

‍Smartsheet has evolved its licensing structure to accommodate growing customer demands and align with modern usage patterns.Let’s break down the two models:

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‍Key Differences Between Old and New Plans

‍The transition to the new licensing model brings significant changes:

• Simplified  User Types:
  • Reduction from over 10 user types to four well-defined roles: Members, Provisional Members, Guests, and Viewers
 
• Viewer  Role Changes:
  • Previously, Viewers had undefined limitations on their access. Now, they are restricted strictly to viewing content without collaboration or editing      capabilities, ensuring clarity in their role.
 
• Guest  Role Adjustments:
  
  • Guests previously had broader flexibility for collaboration. Under the new model, their access is limited to commenting and basic editing within      shared items. Importantly, Guests must be external to the organization’s domain.
 
• Provisional  Use:
  • Temporary  full access for Provisional Members enables organizations to evaluate users’ needs before incurring costs.
 
• Reconciliation  Periods:
  • Quarterly reconciliation ensures that Provisional Members are either converted to paid Members or downgraded to free roles.

‍Detailed Changes to Viewer and Guest Roles

‍The changes to Viewer and Guest roles mark a significant shift in Smartsheet’s user management approach, enhancing clarity and control for organizations:

1. Viewer  Role:
   
   • Old  Plan: Viewers could interact with content to an undefined extent,  leading to potential misuse or confusion.
   • New  Plan: Viewers are now strictly limited to read-only access. They can view sheets, reports, dashboards, and workspaces but cannot collaborate, comment, or edit. This role is suitable for stakeholders who need visibility without engaging in active work.
   • Impact: Organizations can better allocate Viewer roles without concerns about unauthorized edits or engagement
 
2. Guest  Role:
   
   • Old  Plan: Guests had flexible access, including editing and limited collaboration capabilities, often leading to inconsistent usage.
   • New  Plan: Guests are limited to commenting and basic editing capabilities  within specific shared items. They cannot create new sheets or workspaces and must remain external to the organization’s domain. This distinction ensures that only external collaborators use Guest roles.
   • Impact: Enhanced security and control over external users, ensuring that Guest roles align with collaboration policies while preventing inappropriate internal use.

Real Impact of Plan Changes

‍The new Smartsheet licensing model can have a significant impact on how organizations manage access:

1. All  Members Paid:
   
   • Organizations will now pay for every Member, ensuring that both creation and collaboration are valued equally.
   • System Admins will have visibility and control over all Members and their roles.
 
2. Viewer  and Guest User Access:
   
   • Organizations  need to plan for stricter access controls for external collaborators.
   • Audit Viewer and Guest roles regularly to optimize license usage and avoid unnecessary costs.
 
3. Provisional  Members:
   
   • Leverage  the one-month provisional period for onboarding users without immediate cost.
   • Use reconciliation periods to transition provisional users into free or paid roles, minimizing potential surprises during billing.
 
4. Reconciliation  Periods and True-Up:
   
   • Quarterly reconciliations provide visibility into usage and allow for adjustments to align with organizational needs.
   • Prepare for potential scaling during these periods to ensure budget alignment.

Recommendations for Organizations

‍To make a smooth transition to the new Smartsheet plans and optimize licensing, consider the following steps:

• Conduct an Audit:
  
  • Assess current usage, focusing on active users, frequently used features, Viewer and Guest roles, and provisional user onboarding
 
• Plan for Provisional Members:
  
  • Ensure processes are in place to transition provisional users effectively within the one-month period.
 
• Engage with Smartsheet:
  • Leverage  Smartsheet’s customer success teams to understand the changes fully and get tailored recommendation.
 
• Budget  Proactively:
  
  • Factor in potential cost increases for new features or add-ons when planning  your IT budget.
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Conclusion

‍Smartsheet’s licensing changes aim to align the platform’s pricing with its growing capabilities, but they also present challenges for organizations unprepared for the shift. By auditing current usage, planning for Viewer and Guest access, managing provisional users, and engaging with Smartsheet representatives, businesses can ensure a seamless transition while optimizing costs. Don’t wait until renewal time to act. Start evaluating your Smartsheet usage today to stay ahead of the curve and maximize the value of your investment.