For companies selling and servicing technology-related solutions, the last few years have proven you can’t grow your business by doing the same things you always have. With more people working remotely, digital workflows and cloud solutions have proliferated faster than anybody could have predicted. As a result, more and more managed technology services companies are concluding that offering one thing is no longer enough.
It can be scary – BUT, for those willing to adapt and change, there’s also great opportunity for growth. According to recent research, the managed services market is currently worth $243 billion per year, up from $175 billion per year in 2019. It is projected to grow to nearly $355 billion by 2028. And that’s not all. The cloud services market has exploded in recent years and provides an additional $947 billion per year.
There is a secret to offering converged services that your strongest competitors don’t want you to know: the cost of sales to your business is 25 times less expensive for the customers you already have vs. selling to customers you’ve yet to service. The revenue opportunities are also much higher, and growing your business is much faster when you work with existing customers. If you are a technology provider specializing on just one technology pillar, like VOIP or managed desktop, you’re missing out on a massive opportunity for revenue growth – the opportunity of converged services.
Here’s how to start growing your managed services business
Tigerpaw just released an updated eGuide: Managed Services Guide to New Vertical Growth. This free guide includes the information you need to start exploring ways to add converged services to your business. Note that different options will benefit your existing staff and customers more than others. Before you jump into the guide, make sure you consider the following three things for each solution set detailed:
Is my business model suited for this offering?
If you are an office equipment dealer, for example, managed IT may or may not be a good fit. Office equipment dealers sell “things” and have highly trained service technicians that are good at fixing those things. Perhaps offerings like pro A/V and physical alarm and security make more sense.
Does my current customer base need this service?
MSPs typically service the “S” in SMB. Managed print may not be a fit as the customers who benefit from it are typically in the “M” of SMB. This rule is not hard or fast but take time to consider your existing customer base and cross-selling opportunities before deciding on a new direction.
Can I offer value-added benefits to more direct-to-customer models?
If it’s a cloud service, for example, it is often sold directly by the cloud services provider to the end user customer, bypassing the channel. Are there value-added layers you can offer even if the first part of the sale bypasses the channel altogether?
Managed Services Guide to New Vertical Growth
Now that you’ve developed a lens for viewing the information, it’s time to dive in! The Managed Services Guide to New Vertical Growth breaks down the financial opportunities presented by the following technology pillars:
- Managed network services
- Unified communications
- Physical security and alarm
- Professional A/V
- Managed print services
- Cloud computing
For each pillar, we look at existing market size, projected growth rates to 2028, and typical revenues and margins per seat. You’ll also find real-world advice from those already succeeding in the space. Plus, the guide is packed with powerful links to additional resources so you can dive deeper into the areas that interest you most.
The best part? This guide from your friends at Tigerpaw Software comes to you at no charge. Knowledge is power and this information will help progressive providers do more than just survive these crazy times—they’ll thrive.
You can get your free copy of the updated 2022 eGuide HERE.