False MSP Services Myths In MSP Business

MSP businessYour MSP business is booming right now, but there are many things which you need to keep in mind. One is competition, another one is false beliefs pertaining to your operations. There are many myths going around about MSP services which may keep you from collaborating with clients who would be extremely amenable to that which you have to offer. The following are four myths which you are likely to encounter as an MSP, and which you would be well advised to overcome in terms of facts. They include:

  • VCIO considerations
  • Comprehensive packaging
  • The value of consultation
  • Why clients choose MSPs

VCIO Considerations

An MSP business offering vCIO solutions should keep in mind that the role of a virtual Chief Information Officer has changed since its inception. It turns out that vCIO roles do not naturally scale up in the same way as other services within an MSP. This means the cost of buying it may be too high for some clients. Those who are interested in vCIO services may need more support than is cost-effective for your MSP. You carefully have to determine which clients are in the ideal “sweet spot” for the greatest success here.

Comprehensive Packaging

Before, there was a “basic” MSP IT package. Today, that is not quite the case; there are just too many available solutions. You will encounter clients who are not apprised of this shift and may not understand what they truly need. Most MSPs have changed the way they bundle things. Some things are included in a package that was not there a decade ago; some things are excluded because they are antiquated. Certainly, there are needs for FAX machines today, but they are not nearly so ubiquitous as they were twenty years ago. You get the idea.

You will need to know your clients’ needs before they start considering your package. Put a bundle together before a meeting, and include items that can be subtracted, and add items that will be overlooked. Think of it like traditional negotiations.

If you are buying a used car, you will pitch a price lower than you expect to pay for it. Say someone is selling the car for $5k. You will pitch something like $4k, expecting the owner to come back with $4.5k. Oftentimes, they will construct their price with haggling expectations built in. Employ the same strategy with your bundled packages. Have a baseline as your goal and add services atop which can be removed as per the client’s wishes. Certainly, they would benefit from a whole suite of services, but there is no need to lose a sale because you are unwilling to budge on something.

The Value of Consultation

In the 2000s, the value of an MSP may have been more bound up in the kind of equipment it could source, install, and maintain. The value would be in the technology itself rather than in something like the consultation. Cloud computing has changed all that. With the cloud, there is a lot more value in being strategically able to advise clients pertaining to the most relevant packages. Design a pitch including consultation that shows clients where they can immediately shave several thousand from the budget through an adroit application of what you offer. That makes it a win-win for everybody. You get a client; your client saves money by retaining your services.

Why Clients Choose MSPs

MSPs used to have clients with tech issues referred to them. However, MSPs are now in plenty that this no longer happens. Oftentimes, you will find yourself in a position that requires outreach. You do not want to compete with other MSPs directly; you want to see what is offered and give clients something better. You want to “upgrade” your clients.

An MSP business needs to understand where their clients are coming from, and the need to source new clients while maintaining the existing ones. You need to realize how clients think of the current tech atmosphere, and how it is, are not the same thing. Bridge the gap with the knowledge that directly demonstrates your MSP’s value.

Jason Simons

Jason Simons

Jason and his brother, Daniel Simons own and operate the 36 year-old IT support company in San Antonio, Houston and Austin. ICS is a second-generation company specializing in Managed IT, VoIP, Video and Cabling for businesses. Jason grew up in the technology sector working summers and weekends doing everything from cabling to installing phone systems and data networks. In 1997, Jason graduated from Texas A&M University with a Business Degree in Management. From there, he began working in at the IT Support Houston location for ICS as the Operations Manager, then the Sales Manager, the Branch Manager and in 2008 became a 50% owner and partner with Daniel Simons. Jason specializes in IT services that allow Houston businesses to operate more efficiently, effectively and in a secure manner. Jason is a business owner that understands how to leverage IT services to improve your San Antonio organization and is not just an IT consulting technician who is attempting to operate a business.. Jason and Daniel have a profound focus on customer service with the pride of a second-generation family owned business. With IT Support offices in San Antonio, Houston and Austin, the ICS team is positioned to provide the highest level of IT and VoIP services to your organization. Jason is passionate about implementing their core values to build one of the Leading IT companies in Houston and San Antonio !