Elastic Cloud offers enhanced cost management and optimization strategies through the use of hot-warm architecture and index lifecycle management (ILM) in Elasticsearch Service. This approach allows users to manage data efficiently by categorizing it into different storage tiers, with high-performance SSDs for frequently accessed data in the hot phase, and more cost-effective storage for less frequently accessed data in the warm phase. The ILM automates data management actions such as rollover and force merge, leading to significant cost reductions, potentially up to 60%. Users can create ILM policies in Kibana and assign them to indices via templates, facilitating automated transitions between data phases. This strategy not only optimizes storage costs but also maintains the capabilities of the Elastic Stack for data visualization, alerting, and anomaly detection. Elastic Cloud encourages users to adopt these practices to realize substantial cost savings and improve data management efficiency.