Top Azure Cost Optimization Best Practices in 2024

Top Azure Cost Optimization Best Practices in 2024

This article dives into the world of Azure cost optimization, equipping you with practical strategies to maximize the value of your cloud investment. As you navigate the ever-expanding landscape of cloud services, keeping costs under control becomes paramount. Here, we’ll unveil best practices and Azure Cost Management features to ensure you’re getting the most out of your cloud spend.

How to optimize your cloud investment with Azure Cost Management

Optimizing your cloud investment with Azure boils down to effective cost management. This involves proactively monitoring, analyzing, and controlling your cloud spending. Azure Cost Management empowers you to achieve this through a comprehensive suite of tools and functionalities. Let’s delve into some key practices:

1. Identify and Shut Down Unused Resources

Unidentified idle resources, like virtual machines (VMs) and ExpressRoute circuits, can significantly impact your bill. Utilize Azure Advisor, a free tool that recommends underutilized resources and predicts cost savings from shutting them down.

2. Right-size Underutilized Resources

Don’t pay for more than you need. Azure Advisor analyzes your resource usage and suggests potential cost reductions through reconfiguration or consolidation of underused resources.

3. Leverage Reserved Instances for Consistent Workloads

Predictable workloads benefit from Azure reservations. By committing to a one or three-year upfront payment for a specific resource, you can lock in significant discounts (up to 72%) compared to pay-as-you-go pricing.

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4. Take Advantage of Azure Hybrid Benefit

Migrating existing on-premises Windows Server and SQL Server licenses to Azure can unlock cost savings through the Azure Hybrid Benefit. This program offers significant discounts on reserved instances and VMs.

5. Implement Autoscaling for Dynamic Scaling

Azure autoscaling automatically adjusts resources based on real-time demand, ensuring you only pay for what you use. This helps optimize costs for workloads with fluctuating resource needs.

6. Set Budgets and Track Spending with Azure Cost Management

Gain granular control over your cloud spending with Azure Cost Management. This service allows you to:

  • Set budgets for specific Azure services or subscriptions.
  • Allocate costs to individual teams or projects for better accountability.
  • Monitor your organization’s overall cloud spending trends.

7. Choose the Right Azure Compute Service

Selecting the most suitable compute service for your application is crucial for cost optimization. Azure offers a variety of options, from virtual machines to serverless functions. Carefully evaluate your workload requirements and choose the service that delivers the best performance at the most cost-effective price point.


By following these Azure cost optimization best practices, you can significantly reduce your cloud spending without compromising performance or functionality. Leverage the built-in tools and services offered by Azure to gain insights, automate processes, and make informed decisions about your cloud resource allocation.

Additional Tips:

  • Regularly review your Azure spending reports to identify potential cost-saving opportunities.
  • Stay updated on the latest Azure pricing models and offerings.
  • Consider seeking professional guidance from certified Azure experts for comprehensive cost management strategies.

Remember, optimizing your Azure costs is an ongoing process. By continuously monitoring your spending and implementing these best practices, you can ensure your organization gets the most value out of its Azure investment.

Lucy Camero

Lucy Camero

Team Venti Brand Manager

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