{"id":56370,"date":"2024-07-17T14:42:53","date_gmt":"2024-07-17T13:42:53","guid":{"rendered":"https:\/\/www.n-able.com\/?p=56370"},"modified":"2024-11-05T17:09:28","modified_gmt":"2024-11-05T17:09:28","slug":"how-to-find-opportunities-in-saturated-managed-services-market","status":"publish","type":"post","link":"https:\/\/www.n-able.com\/pt-br\/blog\/how-to-find-opportunities-in-saturated-managed-services-market","title":{"rendered":"How to Find Opportunities and Thrive in a Saturated Managed Services Market"},"content":{"rendered":"

According to the TSIA \u2018State of Managed Services 2023 Report\u2019<\/span><\/a>, managed services was cited as one of the top three growth engines for the technology industry, with a revenue growth rate that was up 23% from 2022. And according to businesswire.com, the global managed services market is expected to reach $311 Billion by 2027<\/span><\/a>.<\/span><\/p>\n

Yet, from N‑able\u2019s own 2024 Horizons Report<\/span><\/a> that we conducted in conjunction with research firm Canalys, we found that 22% of MSPs still rate new customer acquisition as their number one business challenge.<\/span><\/p>\n

While these are encouraging numbers, why is that almost a quarter of MSPs out there continue to struggle with finding and signing new customers?<\/span><\/p>\n

Having worked with MSPs for the past 20 years, I see one of the key drivers for this as being the fact that many MSPs were initially founded by techs, not business professionals.<\/span><\/p>\n

Moving the conversation from tech to business benefits<\/b><\/span><\/h2>\n

While these technical business owners understand technology extremely well, when it comes to sales and psychology, they\u2019re not so well versed. As a result, their sales conversations tend to be more focused on reselling tools, when in fact it should be focused on selling the value of their services and the beneficial outcomes their services can provide to their customers. This inclination is most evident when I receive questions from MSPs around how to price. It\u2019s the question I field the most from MSPs: \u201cHow do I price EDR?\u201d,\u00a0 \u201cWhat should I be charging for backup?\u201d,\u00a0 \u201cWhat do you see other MSPs charging for MDR?\u201d \u00a0<\/span><\/p>\n

The problem with this line of questioning is that the MSP is approaching sales from a toolsets mentality, instead of trying to establish a connection with the prospect to cultivate a true managed services relationship. Until they understand that there is a difference, they will continue to struggle with lead gen and landing new business. \u00a0<\/span><\/p>\n

With this technical bias, many MSPs overlook who they are actually attempting to sell to: NON-TECHNICAL BUSINESS OWNERS. These non-technical business owners think differently and have diametrically different buying behaviors. So MSPs need to refrain from using industry terms or tech jargon when engaging with business owner prospects who are not technical.<\/span><\/p>\n

Rather, MSPs need to speak the language that CEOs and CFOs speak and that is \u2013 How can you help my organization make more money? \u00a0How can you help my team become more productive?\u00a0 How can you help make my organization more secure and cyber resistant?\u00a0 How can you help reduce the amount of downtime my organization experiences? How can you help me better control my costs? This is how MSPs should be engaging with business leader prospects.<\/span><\/p>\n

4 ways to overcome your MSP sales challenges<\/b><\/span><\/h2>\n

So, what can you do to help overcome these sales challenges and begin to thrive in an otherwise saturated market?<\/span><\/p>\n

1.\u00a0 <\/span>For an owner-led sales model, hire yourself some help!<\/b><\/span><\/h3>\n

For the time being, you remain your MSP\u2019s top salesperson, but consider bringing in a Business Development Representative (BDR) to prospect and book appointments for you, or consider hiring an account manager who can help mine for new sales opportunities from your existing customer base. Either position will be less costly for you to acquire, and more efficient in helping to generate new sales, than bringing in a top-gun sales executive. As the MSP business owner, you know the industry best and you intimately understand the value managed services can play in your target client\u2019s business, so bring in the supporting cast you need to maximize YOUR effectiveness as the MSP salesperson by establishing a more dedicated focus to the revenue-generating activities needed to grow your business. \u00a0<\/span>\u00a0<\/span><\/p>\n

2. <\/span>Stop using the term \u2018MSP\u2019 and \u2018Managed Services\u2019 in your marketing and sales material<\/b><\/span><\/h3>\n

As our VP of Partner Experience, David Weeks, likes to say, \u201cDon\u2019t let those three little letters define you\u2026you are so much more than that.\u201d \u00a0Which is so true. When you look at everything that your MSP has to offer, there are better ways to be promoting yourself and your business. Think critically about what it is that you do, that doesn\u2019t involve describing yourself as an \u201cMSP that delivers managed services.\u201d \u00a0<\/span><\/p>\n