A new survey from IT management specialist Kaseya reveals a continued surge in overall growth for managed service providers (MSPs), especially for those offering security services.
Kaseya's Global Pricing Survey gathers data from more than 400 MSPs across 30 countries and offers unique visibility into the IT services they offer their clients. It finds that the majority of MSPs have experienced more than 20 per cent growth over the past three years.
The results reveal that high growth MSPs offer more emerging services than their lower growth counterparts, including cloud monitoring and hosting services for customer owned equipment. In addition almost all high growth MSPs deliver a strong portfolio of services such as cloud, backup and recovery, and desktop and server management.
High-growth MSPs rate services such as security as a key competitive advantage in the coming year, as heightened security risks came in as the top client demand for 2016. However, only slightly more than a third of respondents are offering one of the faster growing security segments, identity and access management (IAM) technology. The respondents that do offer IAM, though, report a double-digit annual growth rate over the past three years.
"As the leading provider of IT management, security and automation technology to MSPs, Kaseya is in the enviable position of being the vendor that others look to for information on what separates a successful MSP from the pack. Having been on both sides (MSP and vendor), I know first hand that successful MSPs have bolder strategies and put their customers' concerns first," says Miguel Lopez, Kaseya’s SVP and GM of MSPs. "At Kaseya, we base our own customer success model on our customers’ year-over-year growth rather than our own company’s sales. It turns out that the most successful MSPs follow the same model for their users. Kaseya's annual MSP pricing survey provides the industry with a tool to use to evaluate what company success looks like, and highlights the areas the most successful thrive at".
Other findings include that high growth MSPs are able to charge more for their technicians and have a higher variance of what they charge for level one, two and three technicians. Higher growth MSPs also charge more on average for ongoing server support and maintenance per month. They're also more than twice as likely to offer cloud monitoring services than lesser growth providers.
In addition 85 per cent of high growth MSPs are more likely to provide hosting services for customer-owned equipment. Plus almost three quarters of high growth MSPs offer desktop security services.
More information and analysis of the report's findings can be found on the Kaseya blog.