Reducing friction in the MSP space

According to Statista.com, the global managed services market was valued at $152.02 billion USD in 2020, and is expected to reach around $274 billion by 2026. The largest growth is predicted to be in the Cloud applications and security sectors, with the biggest challenge, according to cyber security biz, Acronis being “the speed of change, both in the technologies used, services required by clients, and IT demands of today’s businesses.”

With such unbelievable potential for growth, plus the challenge of staying ahead of the curve, it’s imperative that you’re operating efficiently, strategically, and at your best.

Technology and innovation moves fast, and MSPs left on their own can barely keep up.

This is what we call friction. And it’s huge in the MSP channel space.

Friction basically refers to any pain points or hiccups that make business difficult, and that prevent customers from buying your product or service. We want things to be smooth sailing, but instead MSPs are getting tossed around by the waves.

Let’s take a closer look at what causes friction.

MSPs also have a hard time keeping up with their current technology stack, and how to market and sell it. They partner with a vendor, but then are left on their own, with little training or guidance on how to use the product or sell it to customers.

Both problems = efficiency and efficacy lost. And that’s not good for your bottom line.

So what can you do?

One of the biggest roadblocks is MSPs not looking out for their own needs. When choosing vendors, you need to consider how much effort a vendor puts into enabling your success. Are they there to support you and to help you succeed? Do they help you troubleshoot? Do they educate you not only on their product, but how to use it? Do they prime you on how to sell and why a customer would need what they’ve created?

Assuming there is feature and functionality parity, MSPs should add “Sales and Enablement Support” to their competitive analysis when deciding between vendors. You want a vendor that’s there for you, and that invests in your sales and marketing success. Too often one of the most important channels–the channel of communication between vendors and MSPs–is practically non-existent.

Streamlining communication along channels is one way I can help you reduce friction. It’s estimated that seventy-nine percent (79%) of all MSPs are under $1 million in annual revenue. Sure, that’s a far cry from the big guys, like IBM, InfoSys, and Accenture, but the entrepreneurial spirit of smaller MSPs is what makes the IT world exciting.

There’s room for small biz, especially in a market of $150 billion, but you need support and the know-how to navigate the crowded waters and establish yourself successfully and grow.

When I head out on the Chesapeake Bay on my boat, I often turn around if the weather looks ominous or the wind begins to kick up. Big waves mean a rough ride for me and my crew. Rather than cutting smoothly through calm waters, the boat bounces up and down, and progress is impeded by the friction caused by rough water.

When there’s too much friction in business, it can be jarring, uncomfortable, and stressful. You feel like you’re spinning your wheels with zero results. But you can ensure the water is smooth by setting yourself up to succeed. (Yes, you can actually have some control over this type of water!) Put in the work now (I can help!) so that you can weather any storms that come your way.