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Three ways to take your MSP ( Managed services provider ) business to the next level

Source: , 06/06/2018


Read our tips to develop profitable, sustainable growth
The best way for any business to grow is strategically: at a
manageable pace, and with a clear view of implications and
opportunities as they evolve.
While there’s no single, all-encompassing secret to success, these
tips will help frame a strategy for MSPs looking to develop
profitable, sustainable growth.
1: Set smart goals
A clear vision is crucial to any enterprise. For MSPs, that means
setting serious, concrete long-term and short-term goals that are
specific, measurable, attainable, realistic and timed.
Specific goals help everyone understand what needs to be
accomplished, and will help with creating and sticking to sales
plans. But these goals also have to be realistic, and match the
skills, resources and time available.
2: Provide structured but flexible service offerings
When MSPs focus only on fixed-fee services, they appeal only to
customers who place very high value on their IT systems. To achieve
100% market coverage, MSPs should consider providing a more flexible
service offering that will appeal to customers at every level of IT
maturity, selling individual solutions as managed services.
One useful approach here is to take the 80/20 rule. Only 20% of the
addressable market is seeking a fully-managed, fixed-fee type
solution. The other 80% of the market is dominated by customers that
want to buy individual products and services like antivirus and
backup.
3: Use research-driven pricing
A good investigation into service delivery costs can help MSPs
identify the right price points, models and approaches for each
service offering, whether that is penetration pricing, premium
pricing or promotional pricing.
An MSP’s value is now based on the end user experience, which means
that pricing models must be quickly and consistently aligned with new
marketplace trends, staying relevant by being ahead of the curve.
By researching the pricing that will best service the business, an
MSP can reposition to maintain healthy margins while delivering value
to the end customer.
Managed services is a model which can adapt to different market
conditions and competitive threats, and by following these tips, MSPs
will be more durable against changing conditions with a next-level
business.


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