Managed services is a highly competitive industry that offers tremendous opportunities along with a unique set of challenges. Clients today expect managed service providers to provide increasingly seamless solutions using virtual interfaces. Quick, efficient responses to queries and technical support are also a must for retaining clients and ensuring satisfaction. Along with all this, MSPs must also contend with a scenario of rising cybercrime where a single incident can lead to catastrophic breaches and massive losses. To survive and thrive in such an environment, MSSPs need to leverage tools that will allow them to achieve all their stated goals while mitigating risks and meeting client expectations.
The global managed services market is expected to hit $274 billion by 2026. With over 40,000 operational managed service providers (MSPs) in the US alone, there can be intense competition among providers at times. If you are an MSP business or plan to offer managed email security, this article discusses some crucial aspects of managed service offerings to help you do a profitable business.
Malicious actors target Managed Service Providers (MSPs) and Managed Security Service Providers (MSSPs) as attack points for malware delivery. Attacks on distribution networks have increased in frequency in recent times. The reward to any attempt that successfully infiltrates a Managed Service Provider (MSP) far surpasses the cost of the incident. Attackers install ransomware on various networks and devices after exploiting vulnerabilities in email services and systems managed by MSPs. Several managed service providers have lately acknowledged becoming victims of targeted ransomware attacks.
Email marketing is an essential tool utilized for online marketing. Several small businesses have agreed that email marketing is one of the best ways to expand a business. However, the average click rates have recently decreased. It means that while email marketing can lead to an increase in gaining customers, maintaining and managing customers can be one of the biggest challenges for MSP due to a rise in competition. Thus, MSPs must procure the services that best enhance their needs and preserve the managed services definition. The most important purposes for email marketing involve nurturing new leads, reconnecting with old leads, and strengthening bonds with existing customers. And with the advancement of technologies, there is a high risk of being vulnerable to cyber theft and other cybercrimes. Hence, it becomes essential for the MSPs to couple their email marketing strategy with email security to meet these requirements.
While doing the right things is crucial for managed service offerings, doing things the right way is critical to the MSP’s success. The ideal setting is when the MSPs do the right things in the right way and at the right time. Here are some dos and don’ts that MSPs must follow to attain maximum profitability and customer retention.
The digitized age has witnessed malicious actors and cyber adversaries singling out MSPs as their key targets. Be it ransomware, data breaches, phishing attacks, or any other mode of attack, MSPs remain at the frontline against attacks. By targeting MSPs, attackers can find easy victims in their clients, who often appear to be sitting ducks for malicious actors. Amidst these challenges, top MSPs are reinforcing their defense line to secure themselves and their clients.
The good news for MSPs is that there has never been a tremendous demand for regulatory knowledge as it is today. Market research reported that global managed service offerings spending would grow to more than $296 billion by 2023.
Regulatory compliance has been an abstract idea rather than a foundational concept for most MSPs. These matters have only been heard of in MSP conferences, summits, and forums. However, they are now gaining significance among clients.
MSPs have been on their toes over the last couple of years, capitalizing on every opportunity that comes along. With the new normal establishing itself after the pandemic, times have been shaky for most service providers. While an MSP might be focusing on the range of its managed service offerings, it’s easy to get busy with technologies. However, the secret to success and better user experience lies not in merely being active but in being productive.
The digital transformation amidst the pandemic has significantly diversified managed service offerings of leading MSPs. While a group of forward-thinking organizations prepared to make this leap involving remote work, others struggled to embrace a strategic plan. Migrating to cloud systems proved to be imperative amidst the new operational models. Among various types of managed services, cloud migration continues to be one of the most sought-after domains.
Email is one of the most preferred modes of communication today. It is fast and most times reaches its recipients safely. Emails are instantaneous by nature, and their efficacy has been proved beyond doubt. Users sent approximately 306.4 billion emails in 2020, and that number is rising steadily at a consistent rate. However, with the increased usage of electronic mail, numerous complications appear. Here, managed services providers assume greater significance as they are responsible for the upkeep of the facility and see to it that the service remains unobstructed and protected for their clients. It has to be ensured since it has a direct bearing on the financial and security stature. It’s one of the different types of managed services that organizations outsource to third parties.
Radical Approaches Every MSP Must Follow To Manage Their Service Offerings Efficiently And Effectively
In this hyperactive internet age, no one can wish away digital transformation. Businesses may not be able to adapt to the transition comfortably. MSPs can play their part by helping customers navigate the digital transformation process, connect seamlessly, and work productively.
MSPs should be ready to offer different types of managed services rather than only sticking to helping improve the IT infrastructure. Excellent managed services providers leverage a radical outlook to address the challenges and achieve the objectives in a changing digital landscape.
Organizations approach MSPs (Managed Service Providers) to eliminate the added task of maintaining their IT operations. They expect continuously managed service offerings round the clock and a visionary managed services provider that prepares for their future security needs while catering to the present IT demands. As more and more organizations switch to external IT service providers, Managed Service Providers have an open and widening market in front of them. But to win and retain clients, MSPs need to have good product listings, efficient staff, and robust internal policies. Understanding client needs instead of merely marketing their products is an essential aspect no MSP must overlook.
In 2020, the managed service offerings market was forecast to cross $200 billion in size. According to recent surveys, the market is set to cross $365 billion by 2025. Organizations worldwide are making the shift to outsourcing IT services. Most of these organizations are looking towards managed service offerings that help them focus on their core businesses and reduce their IT infrastructure costs.
One outcome of the COVID-19 Pandemic is that it sped up digital transformation across all sectors by five to seven years. This scenario brings with it new opportunities but also presents fresh challenges that need to be met. For instance, organizations now have to deal with a more complex and distributed IT environment. The result is a predictable increase in the reliance on managed services, meaning more opportunities for MSPs.
In the fast-digitizing world, more than 30 million organizations globally have less than 1,000 employees. They seek different types of managed services from established professionals to leverage their IT departments. Managed Service Providers (MSPs partners) handling significant volumes of sensitive client data often happen to be the natural targets for malicious actors. Direct access to their clients makes MSSPs diamond mines for attackers. An MSP knows the value of securing clients’ sensitive data to survive in the industry. By leveraging cybersecurity best practices, MSPs can ensure optimal security for their systems, along with their clients’ valuable data.
It’s quite evident by now that the Pandemic has changed the lives of individuals, proprietors, small businesses, and large corporations in unexpected ways. And it is no different for Managed Service Providers, having to deal not only with clients that are making serious efforts transitioning to the new norm but their ways of rendering services remotely. Collaboration tools used by clients and employees, continuous security monitoring (CSM), video surveillance, vulnerability risk assessment, and intrusion management are some services MSPs have been handling.
The existence of the MSP has been there since organizations began to use technology on a large scale. Most of the new-age technologies require niche skills, which MSPs and MSSPs can provide efficiently. With the advent of the Internet, the reach of organizations improved manifolds. However, with this, also arrived various security issues, usually related to the cyber world.
Managed Service Providers are the backbone of the IT industry currently. They provide a myriad of services that assist organizations in focusing on their strengths. One of the reasons why the concept of a Managed Service Provider (MSP) came into being is the presence of the numerous verticals that appeared on the tech horizon. Large organizations were finding it difficult to manage all the functionalities that went into running an enterprise effectively.