Published on March 4, 2014
MSP Best Practices Making Money in the Cloud | Essential Steps to Build a Cloud Service Practice (Part 3 of 3) March 4, 2014
Agenda • Introductions • Recap of Parts 1 & 2 – Understanding the market opportunity – Internal Readiness • Cloud service pricing strategies • Marketing campaigns to promote your new Cloud services effectively • Aligning sales compensation with revenue goals • Common pitfalls and mistakes made by MSPs when introducing Cloud services • Q&A
You could win! Winner drawn at end of session
About Kaseya • Founded in 2000 • Over 10,000 customers and a presence in over 20 countries • Award-winning IT systems management software offered as SaaS and on-premise • Serving customers across industries including government, military, retail, healthcare, education, financial, and more • Serving both Managed Service Providers and IT departments • Gartner Magic Quadrant 2013 – Visionary: Client Management Tools • New management team and backing from Insight Venture Partners in 2013 • New acquisitions: – Rover Apps for BYOD – Zyrion Traverse for Cloud & Network Monitoring – 365 Command for Office 365 administration
Kaseya: The IT Management Solution for MSPs and Mid-Market Enterprises 5
Why MSPs Choose Kaseya A single Kaseya user can proactively manage 1,000s of automated IT systems and network tasks in the same amount of time required by a team of technicians using other techniques It’s the industry’s only patented single-server-singleagent architecture; MSPs get enterprise-class capability that is easy to use and easy to afford With 50+% of top MSPs worldwide using Kaseya, they get access to the most robust community available And with so many ISVs plugging in to Kaseya via a seamless integration process, they get an easy way to leverage their existing strategic technology partnerships
About ClikCloud • Pay-as-you-go Digital Marketing Firm – Custom Tailored Website – Bi-Monthly Blog Content – Monthly Newsletter – Pay-per-click Ad Management – Hosting & Web Analytics Included • Kaseya Industry Expert since 2012
Recap of Part 1 • Understanding the Cloud Market Opportunity – Market Drivers – Service Opportunities – Cloud Security Concerns – Pitfalls to Avoid http://goo.gl/785uGb
Recap of Part 2 • Is Your MSP Team Ready for the Cloud? – Channel Models for Cloud – Aligning Sales & Marketing – Service & Support Models – Operational Metrics – Pitfalls to avoid http://goo.gl/YDAiP8
Making Money in the Cloud | Essential Steps to Build a Cloud Service Practice 000000_10
Agenda • • • • Pricing Models and Operational Metrics Marketing Considerations Sales Compensation and Revenue Alignment Pitfalls to Avoid
Cloud Business Model Comparison • Migration • Design • Integrate • Broker/Agent • Manage • Support • SaaS Publisher • IaaS Owner • Operator Cloud Designer/ Builder Cloud Reseller Cloud Service Provider
Metrics to Drive Success • For Cloud Designers and Builders – Percentage (%) billable services per project – Percentage (%) attach rate of services per project (100% should be your target) – Target a percentage (%) of company top line revenue derived from services – Specific services sales goals – Margin targets on service transactions
Metrics to Drive Success • For Cloud Services Resellers or Cloud Services Providers more of a shift may be required – Recurring revenue growth vs. transactional revenue – Front-end lead generation metrics to drive down-stream recurring revenue – Customer-by-customer increases in recurring revenue – Forecasting for customer churn – Projected annual total contract value – Cost of customer acquisition – Level of customer satisfaction – Rate of new customer acquisition
Additional Pricing Considerations Prepaid / Multi-Year Pay as you go
Application Micro Small Medium Large Business productivity 19% 43% 60% 52% Email 23% 48% 52% 48% Web presence 23% 50% 48% 44% Virtual desktop 15% 44% 54% 44% Collaboration 6% 34% 52% 53% Analytics 8% 33% 36% 35% CRM 2% 28% 36% 43% HR management 8% 29% 32% 34% Expense management 8% 22% 28% 41% Help desk 2% 27% 31% 32% Invoicing 4% 23% 25% 21% ERP 4% 15% 24% 28% Payroll 8% 26% 22% 18% Call center 4% 14% 22% 24% Source: CompTIA’s 2nd Annual Trends in Cloud Computing study Base: 373 U.S. businesses (aka end users) currently using cloud solutions
Other Key Benefits Reported by Users Benefits Cloud Adopters Have Experienced Ability to cut costs 43% Be er op on for mul ple reasons 42% Moderniza on of legacy IT 40% Reduce capital expenditures 38% Add new capabili es or features 38% Be er model for licensing/upgrades 35% Business units operate more freely 35% Crea on of new offerings or services 34% Reduce opera onal complexity 33% Simple/fast implementa on Reduc on in internal IT headcount Predictable pricing 32% 29% 25% Source: CompTIA’s 4th Annual Trends in Cloud Compu ng Base: 449 U.S. end users with cloud solu ons
Website Considerations • Have a Strong, Easy to Find “Call to Action” • Include Keyword Rich Content • Ensure Phone Number is Prominent • Mobile Friendly
Optimized Landing Page • • • • Support Call To Action Add a Human Element Set Expectations Keep Your Qualification Form “Above the Fold” 20
On Page Search Engine Optimization • Keyword Research • Unique Titles & Descriptions • Search Engine Submission • Webmaster Tools • Reporting & Analysis
Relevant Blog Content • Provide IT Best Practices • Write with Business Owner in Mind • Stay Vendor Neutral • SEO Optimize • Discuss News & Trends: – – – – Cloud Computing Mobility IT Security Data Protection
Email Newsletter to Stay Top of Mind • • • • Branded RSS Feed from Blog Social Media Links Offer & Features Service • Best Practice Footer w/ Address & Unsubscribe Links & List Management
Social Media Integration • Up Cycle Blogs & Videos • Automate Blog Feeds • Include Links in Your Newsletter Links • Build a Fan Base • Join LinkedIn Groups
Align Sales Goals With Business Goals Suspects Prospects Pipeline Accounts
Review Compensation Models • • • • Evergreen Commissions Upfront Commissions Life Cycle Commissions Retention Bonuses
What skills and knowledge is your talent missing? Vertical Knowledge Business Acumen • Retail, healthcare, education, hospitality, etc. – Products – Competitors – Challenges – Strategic positions within the industry – Industry terminology (churn, rework, etc.) • Knowledge of the operations of an organization – Financial • CAPEX vs. OPEX • Revenue vs. profit • Annual report – Workflow through departments • Understands the business value of cloud
Avoiding the Pitfalls
Understand the Challenges
Understand the Challenges Challenges Channel Faced in Adop ng Cloud Not Significant Somewhat Significant Very Significant Developing cloud tech/sales exper se 11% 40% 50% Op mizing cloud marke ng/sales messaging 12% 39% 49% Cash flow/financial considera ons 12% 42% 46% Determining business model 12% 43% 45% Balancing needs of legacy business 12% 44% 44% Ini al startup costs 14% 42% 44% Deciding vendors to work with 14% 43% 43% Source: CompTIA’s 4th Annual Trends in Cloud Compu ng study Base: 400 U.S. IT or Business execu ves (aka end users) using cloud solu ons
Do’s & Don’ts • Don’t Assume Cloud is “Just Another Product” • Do Consider the Impact on: – Team/Skills – Operating Model – Sales & Marketing • Don’t Neglect Your Sales & Marketing Tools • Get Help When/Where You Need It
Wrap Up Pay-as-you-go Digital Marketing Service • • • • • Custom Tailored Website Syndicated Blog Content Monthly Newsletter Social Media Integration Hosting & Web Analytics Included Attendee Offer: Free 30 Min. Marketing Consultation Email: info@ ClikCloud.com Subject: “Consultation” For More Info visit: ClikCloud.com/Kaseya “ClikCloud is brilliant – they take the hassle out of digital marketing. It’s more than a website, it’s like having a digital marketing team available as a pay as you go subscription.." Anthony M. NSW Australia
Next Steps • More on ClikCloud www.clikcloud.com/kaseya • Learn more about Kaseya for MSPs www.kaseya.com/msp • For a free live product demo www.kaseya.com/mspdemo • For a free trial www.kaseya.com/trynow Kaseya Industry Expert Webinars www.kaseya.com/resources/webinars • To speak with us www.kaseya.com/contactme /KaseyaFan /company/kaseya @kaseyacorp community.kaseya.com
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