Back to Blog
FinOps
3 min read

How We Moved ADLS Gen2 from Premium to Standard and Saved £9,360 a Year

AzureStorageADLS Gen2Cost OptimisationFinOps

When storage operations are slow, the assumption is that the storage tier is the problem. Upgrade to Premium, get faster throughput, move on. Except sometimes the bottleneck is not where you think it is, and a £780/month tier change will not fix a network issue.

We worked through this with a customer running four ADLS Gen2 storage accounts on Premium tier, holding approximately 1.3TB of analytics data. Merge operations were taking nine minutes instead of two to three. Management wanted Premium to stay. We wanted data first.

Checking What Azure Actually Tells You

Azure Storage exposes three latency metrics that most people do not realise are separate measurements.

End-to-end latency. The total time from when Azure Storage receives the request to when it sends the last byte of the response. This includes network transit, server processing, and the response journey back.

Server latency. The time Azure Storage spends processing the request on its side. This is the storage tier performance.

The difference between end-to-end and server latency is the network and client overhead. This is the number that tells you whether your problem is storage or network.

You can pull these from the portal:

  1. Go to your storage account, then Monitoring, then Metrics.
  2. Add metric: Success E2E Latency (end-to-end).
  3. Add metric: Success Server Latency.
  4. Set the time range to cover your slow operation window.
  5. Use Avg for a baseline view and P99 for worst-case.

The Numbers That Changed Everything

For the merge operations in question:

MetricAverageP99
End-to-end latency45ms380ms
Server latency8ms35ms
Network/client overhead37ms345ms

The server was processing requests in 8 milliseconds on average. Even at the 99th percentile, only 35 milliseconds. The vast majority of the latency (over 80%) was in the network and client components.

Premium tier would have reduced the server latency from 8ms to perhaps 2-3ms. It would have done nothing about the 37ms of network overhead.

The Move to Standard

With the data showing that disk performance was not the constraint, we moved the storage accounts from Premium to Standard tier. This required creating new storage accounts (you cannot change account_kind in place) and migrating the data across, but the metrics justified the effort.

Four storage accounts on Premium: roughly £780 per month. On Standard: a fraction of that. Annual saving: approximately £9,360.

The merge operations initially showed similar performance on Standard because the bottleneck had always been network, not disk. The server latency increased slightly (from 8ms to around 12ms average) but this was invisible in the overall operation time because the 37ms network overhead dwarfed it.

Before You Upgrade Storage Tiers

Before committing to any storage tier change on Azure, pull the end-to-end and server latency metrics first. The gap between them tells you immediately whether your storage tier or your network path is the constraint.

If server latency is consistently high (above 50ms average for Standard, above 10ms for Premium), a tier change may genuinely help. If the gap between end-to-end and server latency is the dominant component, your money is better spent on network optimisation, client configuration, or architectural changes.

Storage performance problems are not always storage problems. Azure gives you the metrics to prove it.


Is your Azure storage bill growing but performance still lagging? Our free assessment includes a storage tier analysis with the actual metrics, not assumptions.

How mature is your cloud cost management?

Take our free 2-minute FinOps maturity test and get a personalised improvement roadmap.