4 Tips to Reduce Your Observability Costs

Observability is essential for maintaining the performance and reliability of modern software systems. However, the cost associated with attaining and extending observability can quickly escalate in ways that may not even seem apparent at first.

We hear from many organizations struggling to tamp down the costs of observability at a time when every dollar spent on technology is scrutinized. At the same time, too many vendors take advantage of the importance of observability by charging clients to ship data to their platforms that have virtually no value. Logz.io believes in a better way, and we know cost-effective observability can be a reality.

Let’s discuss practical tips to help you reduce observability costs without compromising on the effectiveness of your monitoring and troubleshooting efforts.

Tip #1: Optimize Your Data

One of the significant contributors to high observability costs is the excessive amount of irrelevant data being collected, as noted above. Many organizations end up shipping massive volumes of metrics and logs, most of which hold little or no value. 

To tackle this issue, it’s crucial to identify and capture only meaningful data that has a direct impact on your business operations. By filtering out unnecessary data, you can significantly reduce storage and processing costs, while focusing on what matters.

At Logz.io, we have developed multi-layer data optimization capabilities so you can analyze and distinguish between used and unused data, backed by related machine learning. For example, utilizing our Data Optimization Hub, you gain the ability to visualize the metrics and logs that are actively utilized, as well as those that aren’t. You can then make informed decisions about which data to retain and which to drop, leading to substantial cost savings.

Tip #2: Manage Data Retention

Not all data needs to be stored indefinitely as different types of data have varying retention requirements. For example, security-related logs may need to be retained for a longer period compared to debug logs that are only relevant for a short time. By managing data retention effectively, you can reduce storage costs without compromising compliance or troubleshooting capabilities.

Logz.io’s Open 360™ platform sub-account feature allows you to segregate your data based on specific use cases and retention requirements. You can set different retention policies for each sub-account, ensuring that critical data is preserved for the required duration while less crucial data can be retained for shorter periods. You can flexibly optimize costs by aligning data retention with its value and importance to your organization.

Tip #3: Convert Logs to Metrics

Sending logs is a baseline for engaging monitoring, but the true value of observability clearly lies in the detailed insights derived from analyzing your log data. Many organizations find themselves trapped in the scenario of sending huge volumes of logs to their observability platforms, creating costs that may outsize the value of the insights that receive back from those systems. 

However, by converting as many logs as possible into meaningful metrics upfront, you dramatically can refine data analysis, visualization, and alerting processes while reducing costs.

With Logz.io’s LogMetrics solution, you can transform your log data into actionable metrics. This approach allows you to aggregate and analyze log data in a more efficient and cost-effective manner. You can define grouping and aggregation parameters to generate metrics that provide valuable insights into system performance, success rates, failure rates, and other key indicators including driving down the costs of storage. 

By leveraging LogMetrics, you can make better use of your data, optimize costs, and gain deeper visibility into your software systems.

Tip #4: Leverage Sub-Accounts for Cost Control

Managing observability costs becomes challenging as organizations grow and multiple teams are involved. Logz.io’s sub-account feature offers a solution by providing cost accountability and autonomy to different teams within your organization.

By allocating specific budgets to sub-accounts, you can enforce cost limits for each team while giving them the freedom to manage their observability needs. This approach ensures that teams are accountable for their spending while still enjoying the benefits of a centralized observability platform. You’ll also ensure important parameters to validate that teams only see the data needed to do their jobs, thereby reducing compliance risk.

Sub-accounts enable you to strike a balance between autonomy and cost control, facilitating efficient resource utilization and optimized budget management.

Cost-Efficient Observability Can Be Your Reality

Observability—despite how integral it is to the success of modern business—doesn’t have to come at an increasingly outsized cost. By implementing these practical tips, you can reduce observability costs while maintaining the effectiveness of your monitoring and troubleshooting capabilities.

With Logz.io’s Open 360 platform, you can focus on meaningful data, leveraging data optimization techniques, utilizing sub-accounts for cost control, converting logs to metrics, and optimizing storage and data retention policies. These are key steps towards achieving cost-efficient observability you need, without compromising critical monitoring processes.

If you’d like to first-hand look at how Logz.io Open 360 can provide observability you need at the cost you seek, sign up for a free trial today.