A renewal deal is similar to an expansion deal. It refers to an arrangement where a brand’s existing customer agrees to continue their subscription or service agreement with a brand after the initial contract term has expired.
This is a common practice in industries that operate on a subscription or recurring revenue model, such as those in the Software-as-a-Service (SaaS) space. Renewal deals are important for brands because they represent a continuation of the revenue stream from existing customers, often with lower sales and marketing costs than acquiring new customers.
