MSPs must evolve into business transformation leaders in 2021 if they want to avoid becoming a victim of the COVID-19 pandemic.
That's the opinion of SherWeb's corporate sales director Michael Slater and head of business development Rose Francois who urged MSPs to quickly skill up on cloud-based technologies such as Office 365 if they want to remain relevant to their customers going into next year.
Responding to research from Forrester which claims that a quarter of US MSPs could go bust because of the COVID-19 pandemic, Slater said that the MSPs that have already sold cloud services and recurring payment models to customers have the best chance of emerging from the crisis.
"Their position will be further exacerbated by two factors: firstly, whether their customers have any cloud services with them and if the MSP has a recurring model set up with them. If MSPs are missing both of those things, that's not a very good sign - because right now money is going to be tight and, even if their customer isn't directly affected by the pandemic, the natural inclination of people right now is to save money and resources.
"So they're going to avoid calling their MSP to fix their server unless they feel like it's necessary. They're going to delay upgrades to on-prem equipment. But if they're in a cloud model, they're going to be using the most up to date version of the software they're using and they will pay you monthly for the services they're buying as well as the managed services.
"It's a much easier to maintain your foothold in that business and make sure you still make some money."
How can MSPs financially protect themselves during a pandemic? Will working from home become the new normal for their customers? And what skill sets will MSPs need to support their customers during COVID-19?
Listen to the podcast for the full discussion.