Total Economic Impact

The Total Economic Impact™ Of Drata

Cost Savings And Business Benefits Enabled By Drata

A FORRESTER TOTAL ECONOMIC IMPACT STUDY COMMISSIONED BY Drata, OCTOBER 2025

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Total Economic Impact

The Total Economic Impact™ Of Drata

Cost Savings And Business Benefits Enabled By Drata

A FORRESTER TOTAL ECONOMIC IMPACT STUDY COMMISSIONED BY Drata, OCTOBER 2025

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Executive Summary

With the rise of increasingly stringent compliance regulations such as GDPR, the California Consumer Privacy Act (CCPA), and Payment Card Industry Data Security Standard (PCI DSS), organizations across industries face growing challenges in maintaining governance, risk, and compliance (GRC) standards. The proliferation of frameworks, expanding regulatory landscapes, and the need for real-time visibility into compliance posture place significant pressure on compliance teams. At the same time, businesses are expected to demonstrate transparency and build trust with external stakeholders (e.g., customers, partners, regulators) all while managing compliance workflows efficiently and proactively.

Drata offers a platform that automates compliance workflows, provides real-time monitoring, and centralizes evidence collection, which can allow organizations to proactively manage frameworks, reduce audit preparation time, and foster trust across their ecosystems. By leveraging Drata’s automation capabilities and interface, GRC teams can focus on higher-value strategic initiatives rather than manual compliance tasks while improving their ability to scale programs and adapt to evolving regulatory requirements.  

Drata commissioned Forrester Consulting to conduct a Total Economic Impact™ (TEI) study and examine the potential benefits and financial impacts enterprises may realize by deploying Drata.

To better understand the benefits and risks associated with this investment, Forrester interviewed four decision-makers with experience using Drata. For the purposes of this study, Forrester aggregated the experiences of the interviewees and combined the results into a single composite organization, which is a US-based technology company with $650 million in annual revenue and 1,300 employees.

Interviewees shared that before investing in Drata, their organizations relied on a mix of spreadsheets, shared drives, email, and siloed third-party tools to manage compliance. These legacy processes were inefficient, prone to human error, and unable to scale to meet the growing complexity of frameworks and audits. Teams struggled with fragmented workflows, limited visibility into compliance posture, and significant time spent manually collecting evidence and responding to auditor requests.

After adopting Drata, the interviewees’ organizations experienced significant improvements in operational efficiency, risk management, and compliance visibility. Key benefits from the investment include improvements to top-line revenue, elimination of redundant costs, and operational efficiencies across compliance, IT, and sales teams. Additionally, the organizations benefited from enhanced transparency, cross-departmental collaboration, and the ability to shift compliance from a reactive process to a proactive, strategic initiative.

Key Findings

Quantified benefits. Three-year, risk-adjusted present value (PV) quantified benefits for the composite organization include:

  • Increase of 0.2% in operating profit. By leveraging the capabilities of Drata’s Trust Center, the composite organization improves customer trust, accelerates sales cycles, and retains business more effectively. This results in incremental revenue growth of 0.2% annually, yielding a risk-adjusted present value of $307,000 over three years.

  • Avoided consulting fees for adding new frameworks. Drata’s automated mapping and compliance tools eliminate the need for the composite’s external consultants to onboard new frameworks, saving $75,000 per framework annually. With two frameworks added each year, this results in a risk-adjusted present value of $298,000 over three years.

  • Reduction of 78% in time spent on auditing and data collection. Drata’s automated evidence collection reduces the composite’s manual labor, cutting audit preparation time from 980 hours to 220 hours annually. These time savings yield a risk-adjusted present value of $82,000 over three years.

  • Legacy software cost savings of $40,000 annually. By consolidating its compliance workflows and retiring its legacy tools, the composite organization saves $40,000 annually. This leads to a risk-adjusted present value of $90,000 over three years.

  • Reduction of 76% in effort spent maintaining and monitoring frameworks. Drata’s automation streamlines manual tasks, which allows the composite organization to save more than 1,100 hours annually across framework maintenance and monitoring. This results in a risk-adjusted present value of $106,000 over three years.

  • Reduction of 50% in sales time due to Trust Center. The composite’s sales teams cut compliance-related inquiries from 800 hours to 400 hours annually, which enables them to focus on closing deals faster. These time savings yield a risk-adjusted present value of $48,000 over three years.

Unquantified benefits. Benefits that provide value for the composite organization but are not quantified for this study include:

  • Proactive monitoring and management. Drata’s real-time monitoring allows the composite organization to quickly identify and address compliance deficiencies, which reduces its risk exposure and provides peace of mind.

  • Enhanced transparency and trust. Trust Center fosters customer confidence for the composite organization by allowing it to showcase certifications and compliance documentation. This improves the organization’s reputation and accelerates trust building.

  • Cross-functional collaboration. By centralizing evidence and control tracking in a single platform, Drata improves coordination and communication across the composite’s compliance, IT, and legal teams.

  • Proactive compliance culture. The composite organization shifts from having reactive compliance practices to proactive and strategic management, which increases its alignment with industry standards and operational maturity.

  • Scalability and future-readiness. Drata simplifies the composite’s onboarding of new frameworks and supports evolving regulatory requirements, helping to ensure the organization remains agile and prepared for future challenges.

  • Seamless adoption. Drata’s design ensures the composite organization has a smooth onboarding experience, a minimal learning curve, and no need for external implementation support.

The financial analysis that is based on the interviews found that a composite organization experiences benefits of $930,000 over three years.

Key Statistic

$930K

Benefits PV 

Benefits (Three-Year)

[CHART DIV CONTAINER]
Increase in operating profit Consulting fees saved to add new frameworks Reduction in time spent on auditing process and data collection Reduction in legacy software costs Reduction in effort spent on manually maintaining and monitoring frameworks and controls Reduction in sales time due to trust center

The Drata Customer Journey

Drivers leading to the Drata investment
Interviews
Role Industry Region Revenue Employees
Senior director of cybersecurity Sporting goods US $6B 1,500
Director of information security Cybersecurity US $900M 1,800
CISO Insurance US $600M 1,100
Security engineer Technology EU $200M 900
Key Challenges

Interviewees said that before adopting Drata, their organizations relied on a mix of legacy processes, disparate tools, and manual workflows to manage compliance and risk. These approaches were often inefficient, error-prone, and unable to scale with growing regulatory and operational demands.

Interviewees noted how their organizations struggled with common challenges, including:

  • Tool limitations and usability issues. Prior tools and processes lacked user-friendly interfaces and automation capabilities, making compliance tasks unnecessarily complex. A director of information security for a cybersecurity company shared: “Our previous solution required heavy manual effort and was difficult to adapt to our evolving needs. It wasn’t intuitive, and onboarding new team members was a challenge.”

  • Lack of integration and centralization. Evidence and control tracking were fragmented across multiple systems, which led to inefficiencies in audit preparation and compliance management. A CISO of an insurance company noted: “We had to jump between spreadsheets, our IT systems, and other tools to pull everything together. There wasn’t a single source of truth, and that created delays and inconsistencies.”

  • Efficiency and productivity challenges. Without automation, compliance teams spent excessive time on repetitive tasks like manually monitoring controls, collecting evidence, and responding to audit requests. The senior director of cybersecurity for a sporting goods company described spending hundreds of hours annually on these activities only to repeat the process year after year: “We were bogged down with manual processes that didn’t allow us to focus on strategic work.”

  • Trust, accuracy, and control. The organizations’ legacy processes often provided limited visibility into compliance posture, which increased the risk of inaccurate reporting or missed deficiencies. A CISO of an insurance company explained how this lack of visibility created uncertainty during audits: “We didn’t know if we were failing controls until the auditors flagged them. It felt like flying blind.”

  • User sentiment. Teams across the organizations expressed frustration with inefficiencies and limitations of prior tools. A security engineer at a technology company shared: “The systems we used weren’t dynamic or user-friendly, and that added a lot of unnecessary friction to our workflows. People dreaded compliance work.”

Solution Requirements/Investment Objectives

The interviewees searched for a solution that could:

  • Ease of use and rapid deployment.

  • Automation and continuous monitoring.

  • Centralization of GRC functions.

  • Scalability and framework flexibility.

  • Strong customer support and partnership.

  • Business enablement.

  • Comprehensive support and learning.

“We did consider a couple of the options, but we went with Drata because the usability was good. The speed to maturity was something that stood out. Also, the Drata team was very open to providing us with white-glove service. We were treated like a preferred customer.”

Director of information security, cybersecurity

“It was very easy to adapt Drata to our environment for the components that we needed. It was an out-of-the-box solution that was easily customizable based on our needs. It was plug-and-play where we could hit the ground running, and it had the frameworks already in there that we wanted to comply with.”

Senior director of cybersecurity, sporting goods

Composite Organization

Based on the interviews, Forrester constructed a TEI framework, a composite company, and a benefits analysis that illustrates the areas financially affected. The composite organization is representative of the interviewees’ organizations, and it is used to present the aggregate financial analysis in the next section. The composite organization has the following characteristics:

  • Description of composite. The technology organization is based in the US, has 1,300 employees, and generates $650 million in annual revenue. It is subject to an expanding range of compliance requirements, including frameworks such as SoC 2, ISO 27001, and PCI DSS, as well as state-level regulations like California’s CCPA. The organization has a dedicated GRC team of six professionals that is supported by IT and security teams to manage its compliance efforts. However, the organization’s tools and manual processes (e.g., using spreadsheets, shared drives, and basic third-party platforms) created significant inefficiencies and limited visibility into its compliance posture.

  • Deployment characteristics. The organization implements Drata over the span of several weeks without requiring third-party implementation services. It integrates Drata within its existing systems, including HR and IT platforms, and begins leveraging it for auditing, vendor management, and framework monitoring.

 KEY ASSUMPTIONS

  • US-based technology company

  • $650M in revenues

  • 1,300 employees

Analysis Of Benefits

Quantified benefit data as applied to the composite
Total Benefits
Ref. Benefit Year 1 Year 2 Year 3 Total Present Value
Atr Increase in operating profit $123,208 $123,208 $123,208 $369,623 $306,399
Btr Savings on consulting fees to add new frameworks $120,000 $120,000 $120,000 $360,000 $298,422
Ctr Reduction in time spent on auditing process and data collection $32,832 $32,832 $32,832 $98,496 $81,648
Dtr Reduction in legacy software costs $36,000 $36,000 $36,000 $108,000 $89,527
Etr Reduction in effort spent on manually maintaining and monitoring frameworks and controls $37,800 $42,768 $48,254 $128,822 $105,963
Ftr Reduction in sales time due to Trust Center $19,440 $19,440 $19,440 $58,320 $48,344
  Total benefits (risk-adjusted) $369,280 $374,248 $379,734 $1,123,261 $930,303
Increase In Operating Profit

Evidence and data. Interviewees consistently highlighted the role of Drata’s Trust Center in enhancing customer confidence and streamlining the compliance communication process. While Trust Center did not directly generate new revenue streams, interviewees emphasized that it does help retain existing business and attract new customers by simplifying compliance verification and reducing sales cycle bottlenecks. Several interviewees noted that Trust Center facilitated faster access to certifications and security documentation, which reduced friction during sales conversations and contributed to improved win rates. A senior director of cybersecurity at a sporting goods company explained, “Trust Center allows us to share certifications with customers seamlessly, helping us establish credibility and trust in a way we couldn’t before.”

Modeling and assumptions. Based on the interviews, Forrester assumes the composite organization’s operating profit margin is set at 10%.

Risks. Organizations that operate in less regulated industries may experience a lower return on investment from Trust Center compared to those in heavily regulated sectors.

Results. To account for this risk, Forrester adjusted this benefit downward by 15%, yielding a three-year, risk-adjusted total PV (discounted at 10%) of $307,000.

0.2%

Increase in operating profits

“We have been able to sign new sponsorship deals leveraging Trust Center as well as Drata as a whole to conduct audits and then demonstrate that through Trust Center. Sponsorship companies have been willing to sign sponsorships with us because of the fact that we can demonstrate certification. This also helps us save time in gaining agreement between the two parties. Without Drata, we wouldn’t have been able to get sign off on the agreement.”

Senior director of cybersecurity, sporting goods

Increase In Operating Profit
Ref. Metric Source Year 1 Year 2 Year 3
A1 Revenue Composite $650,000,000 $650,000,000 $650,000,000
A2 Percentage increase in revenue due to Trust Center Interviews 0.223% 0.223% 0.223%
A3 Increase in revenue due to Trust Center A1*A2 $1,449,500 $1,449,500 $1,449,500
A4 Operating profit margin Composite 10% 10% 10%
At Increase in operating profit A3*A4 $144,950 $144,950 $144,950
  Risk adjustment 15%      
Atr Increase in operating profit (risk-adjusted)   $123,208 $123,208 $123,208
Three-year total: $369,623 Three-year present value: $306,399
Savings On Consulting Fees To Add New Frameworks

Evidence and data. Interviewees reported significant cost avoidance when adding new compliance frameworks with Drata. Traditionally, their organizations relied on external consultants to map their existing controls to new frameworks, which is a process that could cost between $75,000 and $100,000 per framework depending on complexity. But interviewees said with Drata’s automated mapping capabilities, their organizations significantly reduced the time and effort required to understand gaps in compliance, which enabled internal teams to take on tasks that would otherwise have required external expertise. A director of information security at a cybersecurity company shared, “We can enable new frameworks in just a few clicks now.”

Modeling and assumptions. Based on the interviews, Forrester assumes the following about the composite organization:

  • The organization leverages Drata’s automated mapping and compliance tools to add two new frameworks annually.

  • Each framework would have required an external consultant at a cost of $75,000 per framework.

Risks. Organizations that adopt highly specialized frameworks may still require limited external consulting for specific implementation needs.

Results. To account for this risk, Forrester adjusted this benefit downward by 20%, yielding a three-year, risk-adjusted total PV (discounted at 10%) of $298,000.

$75,000

Savings on consulting fees per new framework

Savings On Consulting Fees To Add New Frameworks
Ref. Metric Source Year 1 Year 2 Year 3
B1 Cost of outside consulting to add a framework Interviews $75,000 $75,000 $75,000
B2 Frameworks Interviews 2 2 2
Bt Savings on consulting fees to add new frameworks B1*B2 $150,000 $150,000 $150,000
  Risk adjustment 20%      
Btr Savings on consulting fees to add new frameworks (risk-adjusted)   $120,000 $120,000 $120,000
Three-year total: $360,000 Three-year present value: $298,422
Reduction In Time Spent On Auditing Process And Data Collection

Evidence and data. Interviewees said Drata’s automated evidence collection and centralized control monitoring drastically reduced the effort required for audit preparation. By continuously collecting evidence throughout the year, compliance teams avoided the need for time-consuming manual processes (e.g., taking screenshots, conducting interviews, compiling documentation). One CISO at an insurance company highlighted: “We used to spend countless hours gathering evidence and responding to auditor requests. Now, the data is all there ready for the auditors to review.”

Modeling and assumptions. Based on the interviews, Forrester assumes the following about the composite organization:

  • Prior to adopting Drata, the organization spent 980 hours annually on audit preparation and evidence collection.

  • The fully burdened hourly cost of a GRC team member is $48.

Risks. Certain frameworks may require manual processes, which can reduce the total time saved.

Results. To account for this risk, Forrester adjusted this benefit downward by 10%, yielding a three-year, risk-adjusted total PV (discounted at 10%) of $82,000.

78%

Time savings during audit prep

“Drata saves us so much time on audits and has almost eliminated my level of stress and concern about passing those audits.”

CISO, insurance

Reduction In Time Spent On Auditing Process And Data Collection
Ref. Metric Source Year 1 Year 2 Year 3
C1 Time previously spent on auditing process and data collection (hours) Interviews 980 980 980
C2 Time spent on auditing process and data collection with Drata (hours) Interviews 220 220 220
C3 Total time saved (hours) C1-C2 760 760 760
C4 Fully burdened hourly cost of a GRC team member Composite $48 $48 $48
Ct Reduction in time spent on auditing process and data collection C3*C4 $36,480 $36,480 $36,480
  Risk adjustment 10%      
Ctr Reduction in time spent on auditing process and data collection (risk-adjusted)   $32,832 $32,832 $32,832
Three-year total: $98,496 Three-year present value: $81,648
Reduction In Legacy Software Costs

Evidence and data. Interviewees said Drata’s workflows are streamlined and that this — along with having centralized control monitoring — reduced the need for overlapping tools and cut costs without sacrificing compliance capabilities. Several said their organization was able to retire legacy software solutions (e.g., third-party risk management tools) by consolidating compliance and vendor management processes within Drata’s platform.

Modeling and assumptions. Based on the interviews, Forrester assumes the composite organization’s legacy software cost $40,000 annually.

Risks. Some legacy systems may have minor features that are not fully replicated in Drata’s platform, which would require temporary workarounds or additional tools.

Results. To account for this risk, Forrester adjusted this benefit downward by 10%, yielding a three-year, risk-adjusted total PV (discounted at 10%) of $90,000.

Reduction In Legacy Software Costs
Ref. Metric Source Year 1 Year 2 Year 3
D1 Reduction in legacy software costs Interviews $40,000 $40,000 $40,000
Dt Reduction in legacy software costs D1 $40,000 $40,000 $40,000
  Risk adjustment 10%      
Dtr Reduction in legacy software costs (risk-adjusted)   $36,000 $36,000 $36,000
Three-year total: $108,000 Three-year present value: $89,527
Reduction In Effort Spent On Manually Maintaining And Monitoring Frameworks And Controls

Evidence and data. Maintaining and monitoring frameworks and controls is a time-intensive process that often requires significant effort from GRC teams, but interviewees said Drata transformed this by consolidating monitoring and maintenance into a single platform. They explained that tasks such as updating control documentation, verifying encryption protocols, and monitoring sensitive environments now take a fraction of the time.

Modeling and assumptions. Based on the interviews, Forrester assumes the following about the composite organization:

  • Prior to adopting Drata, the organization spent approximately 550 hours annually maintaining frameworks and 600 hours monitoring controls. The amount of required time increased yearly due to expanding compliance needs.

  • The fully burdened hourly cost of a GRC team member is $48.

Risks. The following risks may impact the benefits realized:

  • Organizations with highly customized compliance frameworks may need to spend additional time tailoring Drata’s automation to their unique needs.

  • Difficulties in connecting certain applications or tools to Drata may reduce the effectiveness of automated monitoring.

Results. To account for these risks, Forrester adjusted this benefit downward by 10%, yielding a three-year, risk-adjusted total PV (discounted at 10%) of $106,000.

76%

Time savings for needed maintenance and monitoring

Reduction In Effort Spent On Manually Maintaining And Monitoring Frameworks And Controls
Ref. Metric Source Year 1 Year 2 Year 3
E1 Time previously spent manually maintaining frameworks and controls (hours) Interviews 550 605 666
E2 Time spent manually maintaining frameworks and controls with Drata (hours) Interviews 125 125 125
E3 Subtotal: Time saved on manually maintaining frameworks and controls (hours) E1-E2 425 480 541
E4 Time previously spent monitoring framework and controls environment (hours) Interviews 600 660 726
E5 Time spent monitoring framework and controls environment with Drata (hours) Interviews 150 150 150
E6 Subtotal: Time saved monitoring framework and controls environment (hours) E4-E5 450 510 576
E7 Total time saved monitoring frameworks and controls (hours) E3+E6 875 990 1,117
E8 Fully burdened hourly cost of a GRC team member Composite $48 $48 $48
Et Reduction in effort spent on manually maintaining and monitoring frameworks and controls E7*E8 $42,000 $47,520 $53,616
  Risk adjustment 10%      
Etr Reduction in effort spent on manually maintaining and monitoring frameworks and controls (risk-adjusted)   $37,800 $42,768 $48,254
Three-year total: $128,822 Three-year present value: $105,963
Reduction In Sales Time Due To Trust Center

Evidence and data. Interviewees said Drata’s Trust Center empowered their organizations to deliver compliance information and certifications to prospects in real time, which eliminated back-and-forth communication and lengthy document preparation. They explained that this significantly reduced the time sales teams spent addressing security-related concerns during the sales process and shared that prior to implementing Drata, sales teams often spent hours gathering security certifications and responding to technical questionnaires. Trust Center automated and centralized these processes, which enabled faster access to compliance information. A director of information security for a cybersecurity company noted, “Trust Center has streamlined our ability to share compliance details with customers, cutting sales cycle time and allowing our teams to focus on closing deals instead of chasing documentation.”

Modeling and assumptions. Based on the interviews, Forrester assumes the following about the composite organization:

  • Sales teams had previously spent 800 hours dealing with compliance-related issues during the sales process without a trust center.

  • The fully burdened hourly cost of a sales team member is $54.

Risks. The following risks may impact the benefits realized:

  • Certain prospects may still require manual responses to highly customized questionnaires, limiting the efficiency of Trust Center.

  • Organizations in industries with stringent compliance standards may need additional manual intervention to supplement the functionality of Trust Center.

Results. To account for these risks, Forrester adjusted this benefit downward by 10%, yielding a three-year, risk-adjusted total PV (discounted at 10%) of $48,000.

50%

Time savings for compliance

Reduction In Sales Time Due To Trust Center
Ref. Metric Source Year 1 Year 2 Year 3
F1 Time previously spent on sales without a trust center (hours) Interviews 800 800 800
F2 Time previously spent on sales with Drata’s Trust Center (hours) Interviews 400 400 400
F3 Total time saved on sales (hours) F1-F2 400 400 400
F4 Fully burdened hourly cost of a sales team member Composite $54 $54 $54
Ft Reduction in sales time due to Trust Center F3*F4 $21,600 $21,600 $21,600
  Risk adjustment 10%      
Ftr Reduction in sales time due to Trust Center (risk-adjusted)   $19,440 $19,440 $19,440
Three-year total: $58,320 Three-year present value: $48,344
Unquantified Benefits

Interviewees mentioned the following additional benefits that their organizations experienced but were not able to quantify:

  • Proactive monitoring and management. Interviewees said that instead of waiting for audit cycles to reveal risks, their organizations proactively manage them with real-time monitoring in Drata that flags issues as they arise. A senior director of cybersecurity for a sporting goods company said: “Drata monitors our most sensitive environments and reports any deficiencies in real time. It’s a level of visibility we didn’t have before.”

  • Enhanced transparency and trust. Interviewees explained that building trust with customers and partners often hinges on the ability to demonstrate compliance quickly and effectively and that Drata’s Trust Center streamlines this process to allow their organizations to showcase certifications, security policies, and audit readiness with ease. A security engineer for a technology company remarked: “When prospects ask about our compliance posture, we can now direct them to Trust Center, where they have everything they need. It’s professional, it’s efficient, and it builds instant credibility.” 

  • Cross-functional collaboration. With Drata, the organizations consolidated compliance data into a single platform, and interviewees said this makes it easier to collaborate across departments. A CISO for an insurance company highlighted this improvement: “Before Drata, collecting evidence and sharing it across teams was a logistical nightmare. Now, everyone works off the same data, and the process has become seamless.”

  • Proactive compliance culture. Interviewees said that because Drata automates evidence collection and provides daily monitoring insights, teams can focus on improving processes rather than scrambling to meet audit requirements. A security engineer for a technology company explained, “We’ve gone from compliance being a reactive headache to it becoming a strategic asset for the company.”

  • Scalability and future-readiness. Instead of relying on external consultants, the organizations onboarded frameworks quickly and efficiently while identifying gaps in compliance. A director of information security for a cybersecurity company shared: “Drata’s flexibility makes it easy to add new frameworks and instantly see how we measure up. It’s a huge advantage as we prepare for evolving regulatory landscapes.”

  • Seamless adoption. Interviewees said Drata’s design is intuitive and user-friendly and that this and the quick implementation process were key elements that encouraged widespread user adoption without requiring external support. A security engineer for a technology company reflected: “The implementation was incredibly smooth. We were up and running within weeks, and the learning curve was minimal.”  

“We have a trust center through Drata that hosts various security and other process-related information as well as legal information about our company that we make available to the external world. That is a big part of why we have Drata. It helps us build trust with our customers and future prospects.”

Security engineer, technology

Flexibility

The value of flexibility is unique to each customer. There are multiple scenarios in which a customer might implement Drata and later realize additional uses and business opportunities, including:

  • Expanding use cases. Some interviewees said their organization is interested in expanding Drata’s use beyond the GRC team into other departments (e.g., legal, finance) for holistic risk management. A security engineer for a technology organization explained: “We’re only scratching the surface of what Drata can do. The automation and centralization could streamline workflows across multiple teams, not just compliance.”

Flexibility would also be quantified when evaluated as part of a specific project (described in more detail in Total Economic Impact Approach).

From the information provided in the interviews, Forrester constructed a Total Economic Impact™ framework for those organizations considering an investment in Drata.

The objective of the framework is to identify the benefit, flexibility, and risk factors that affect the investment decision. Forrester took a multistep approach to evaluate the impact that Drata can have on an organization.

Due Diligence

Interviewed Drata stakeholders and Forrester analysts to gather data relative to Drata.

Interviews

Interviewed four decision-makers at organizations using Drata to obtain data about benefits and risks.

Composite Organization

Designed a composite organization based on characteristics of the interviewees’ organizations.

Financial Model Framework

Constructed a financial model representative of the interviews using the TEI methodology and risk-adjusted the financial model based on issues and concerns of the interviewees.

Case Study

Employed fundamental elements of TEI in modeling the investment impact: benefits, flexibility, and risks. Given the increasing sophistication of financial analyses related to IT investments, Forrester’s TEI methodology provides a complete picture of the total economic impact of purchase decisions. Please see Appendix A for additional information on the TEI methodology.

Total Economic Impact Approach
Benefits

Benefits represent the value the solution delivers to the business.

Flexibility

Flexibility represents the strategic value that can be obtained for some future additional investment building on top of the initial investment already made. The ability to capture that benefit has a PV that can be estimated.

Risks

Risks measure the uncertainty of benefit estimates given: 1) the likelihood that estimates will meet original projections and 2) the likelihood that estimates will be tracked over time. TEI risk factors are based on “triangular distribution.”

Financial Terminology
Benefits present value (PV)

The present or current value of (discounted) benefit estimates given at an interest rate (the discount rate).

Discount rate

The interest rate used in cash flow analysis to take into account the time value of money. Organizations typically use discount rates between 8% and 16%.

Appendix A

Total Economic Impact

Total Economic Impact is a methodology developed by Forrester Research that enhances a company’s technology decision-making processes and assists solution providers in communicating their value proposition to clients. The TEI methodology helps companies demonstrate, justify, and realize the tangible value of business and technology initiatives to both senior management and other key stakeholders.

Disclosures

Readers should be aware of the following:

This study is commissioned by Drata and delivered by Forrester Consulting. It is not meant to be used as a competitive analysis.

Forrester makes no assumptions as to the potential benefits that other organizations will receive. Forrester strongly advises that readers use their own estimates within the framework provided in the study to determine the appropriateness of an investment in Drata.

Drata reviewed and provided feedback to Forrester, but Forrester maintains editorial control over the study and its findings and does not accept changes to the study that contradict Forrester’s findings or obscure the meaning of the study.

Drata provided the customer names for the interviews but did not participate in the interviews.

Published

October 2025