Customer Demand Driving Managed IT Services and Managed Print Services Growth

As mentioned in previous articles, managed IT services and managed print services are moving beyond the adoption cycle to become readily accepted by both providers and end users. The topic was a large part of the discussion at the IT Services and Support Executive Forum meeting in Toronto today, with discussions on the core business drivers and the opportunities that exist for the various players.

Matt McLeish, Director of Field Sales and Managed Print Solutions at Parts Now! started his managed print services presentation by recommending that IT providers research the capabilities of competitors in their market. There’s a large disparity between the print costs of organizations, and this variation can be attributed to many factors, including infrastructure and equipment costs. For example, older copiers typically require more capital for repairs, reduced efficiencies, and down time.  With the proper plan, a provider can do very well with a cost-effective structure and the backing of good partners (vendors, distributors, others) to deliver managed print services.

Before leaping into print managed services, McLeish recommends spending time to ensure you have fully developed your strategy. This includes an investment of time and resources with training, technical support, parts planning, remote monitoring software and developing an effective sales team. Not rocket science, but does require discipline and dedication to providing quality service.

Jim Hamilton asked the attendees at the IT Services and Support Executive Forum in Toronto to define managed services. Outsourcing, recurring revenue and proactive IT management were terms the group agreed on. The CompTIA definition includes these aspects, but more important are the benefits this delivery method of technology services provides to MSPs and their customers.

Any way you define it, more than 90% of MSPs expect their businesses to grow in 2010, which is significantly higher than traditional service provider expectations. With lower cost of delivery, long term recurring contract and less dependence on project work (which rises and falls with the economy), managed services is attractive to providers. But, more significantly, demand is growing among customers, likely due to long term cost assurances and a reduction in their business down time. Managed services allow clients to focus on their business needs, not their IT strategy.

End users are looking for support and customer service, according to the latest CompTIA managed services research.  The lowest price is not the key factor for companies selecting a managed services provider. The value of consistent service and uptime, as well as the availability of business tools that increase their employee productivity, top the list of customer preferences.

How do you succeed in delivering managed services? Hamilton emphasized that successful MSPs have built a solid managed services (and/or managed print services) infrastructure, including remote monitoring, SLAs, and support services. When that foundation is set, they expand their offerings to meet the continuing needs of their customers.  For example, servers, desktops, and print remote management tools are often the first level offerings, while applications, VoIP, and other services are added based on client and market demand.

For those looking to learn more about this service delivery model, CompTIA’s MSP Partner Program offers education, tools and best practices for the managed IT services and managed print services communities. As part of the Managed IT Services Executive Forum, the program includes the latest research and discussions as well as videos and materials you can review 24/7. The Toronto meeting will resume the managed services topic later today with a group roundtable discussion.