Staying Relevant – The MSPs Dilemma 

by | Dec 14, 2023 | Partners

It’s just not fair.

When you offer a service that helps the customer so completely, 24 hours a day, 7 days a week, and 365 days a year that the customer no longer notices, it can be tough to be asked “What have you done for me lately?” at contract renewal time. 

Yes, it’s true that you can point to uptime stats, or the number of breaches prevented, or any other good-news metric, but let’s face it: We only notice electricity when it’s not there.  

We only notice electricity when it’s not there.

 

The same goes for IT services provided by MSP’s. Sure, the IT lead at the customer site loves you, and if that’s the only person that needs to see your value then great! Unfortunately, as costs go up, you’re not only asking for a renewal, you’re asking for more money to provide the same service. That’s a difficult conversation a lot of the time. 

For IT Services, Invisible Efficiency Is Both a Blessing and a Curse

For many successful IT services, their seamless operation often goes unnoticed until there’s a problem. This reality was echoed in the experiences of one of our partners last year. Backups were flawless, breaches prevented, there was no ransomware (phew!), all the licensing was in order, new devices were brought online seamlessly, and old ones retired without a hitch, data migrations were smooth…so many things went perfectly!

Yet, in 2023, the landscape for Managed Service Providers is changing. With an average price hike expected to be up to 20%, it becomes increasingly challenging to justify this increase, especially when most end-users are unaware of the hard work that happens behind the scenes. The invisible nature of successful IT services is both their greatest strength and their Achilles’ heel.

 

A Differentiator is your Secret Weapon

For MSPs looking to stand out and justify their value, especially in light of potential price increases, forging strategic partnerships can be a game changer. Partnerships extend beyond mere service provision; they represent a collaboration that brings additional expertise, resources, and innovative solutions to the table.

P2P allows an MSP to extend their solution portfolio, without the related increase in headcount, expensive certifications, or other resource consumption.

Done with the right partner, a P2P play can also become a significant additive revenue stream, helping to offset the jolts and bumps of business life.

However, caution is key. Those are your customers, and your good name is on the line.

 

 

When evaluating potential P2P partners, consider these vital questions:

  1. Are they well-established in the market?
  2. Do they have a proven track record in P2P, or is this new territory for them?
  3. How relevant is their solution to your customers’ needs?
  4. Are they specialists in your industry vertical or generalists?
  5. Do they have a robust partner program?
  6. How much work will be required from your end? Do they offer marketing support?
  7. What do their existing partners say about them?
  8. Do they stand behind their work with guarantees?
  9. Are they willing to work on terms comfortable to you?

Partnering with an advanced business solutions provider like Azamba can be a real market differentiator for an MSP. Imagine the impact of providing your “A” customers with a new, functional CRM system. Delivered on time and on budget, it breaks down data silos, accelerates sales cycles, and boosts customer success.

With such value-added services, discussing a price increase during contract renewal becomes a different conversation altogether. You’re not just a service provider; you’re a business enabler.

If you’re interested in providing high-value business solutions to your customers, safely, profitably, and easily, reach out today to book a call. We’re on a mission to help partners like you stay ahead of the curve.

4 Proven Tricks to Supercharge Your CRM Success!

In today's rapidly evolving business landscape, companies invest heavily in CRM systems to streamline their operations and enhance customer interactions. However, success in implementing a CRM isn't guaranteed. I had a recent call from a frustrated prospect who had...

The CRITICAL Mistake Companies Make After Implementing CRM!

  Implementing a CRM system is not a one-and-done task; it's a continuous journey that transforms the way businesses operate. In this article, we'll explore the purpose of CRM and why it's essential to view it as an ongoing process rather than a destination. The...

Plain and Powerful: A Blueprint For Effective CRM

In the world of CRM, success often lies in the art of simplicity. Today, we're delving into the concept of the MVP, not the Most Valuable Player in sports, but the Minimum Viable Product in the realm of CRM. It's a strategy that forms the cornerstone of a successful...

P2P – Big Footprint, Small Shoe Size

In the debate over tech generalists vs tech specialists, specialists often rule the day.  But that doesn’t mean that an MSP must stay in their corner while all the other business goes by.  P2P is a business approach that stresses working collaboratively with other...

Behind the Scenes of a Hassle-Free CRM Partnership

There’s a very common MSP origin story out there that is just fascinating.It starts with someone maybe 20 years ago who found themselves repairing laptops and desktop computers for friends and family at their kitchen table. After a while, this person listened to all...

Go Slow for Faster CRM Adoption? CRM Adoption Strategies

Navigating CRM Adoption: A Slow and Steady Approach In the realm of CRM adoption, the strategy of taking it slow can pave the way for faster and more successful outcomes. Discovering the pitfalls and challenges faced by organizations is essential, considering the...

patrick nantel headshot

Patrick Nantel

Patrick Nantel is Director of Partner Sales at Azamba, helping partners quickly capitalize on the opportunities in front of them.

Patrick connects people and organizations to opportunities. His current mission is to help partners capitalize on opportunities happening right now in their account base.

Related articles:

P2P – Big Footprint, Small Shoe Size

P2P – Big Footprint, Small Shoe Size

In the debate over tech generalists vs tech specialists, specialists often rule the day.  But that doesn’t mean that an MSP must stay in their corner while all the other business goes by.  P2P is a business approach that stresses working collaboratively with other...