Due to the COVID-19 pandemic, MSP pressure is building because customers are facing revenue shortfall. Speakers at Kaseya Connect IT conference, a virtual event held recently illustrated a sector that has a growth scope as well as a harsh market for delivering services. Managed Service Pricing’s SMB customers are looking forward to conducting their business using IT services more than ever.
“Customers of MSPs, since March or April, are looking very closely at if their technology provider is delivering what they need,” said Kaseya CEO Fred Voccola.
According to Kaseya’s research in the second quarter of 2020, 72% of SMB customers are considering changing their service providers. Compared to the fourth Quarter of 2019, only a few small businesses were considering such a move. Voccola said, Due to the conditions, customers are asking their MSPs to reduce their rates. To clarify, many service providers will be waiting in line to take the work at a lower fee. “When [MSPs] customers start to talk to other technology providers, they are going to get some pricing pressure,” said Fred Voccola.
“Overall, the market for MSPs is tremendous,” said GaryPica, President at TruMethods, addressing the conference. “The addressable market is expanding and you have to have more command over your business”. Read the full post here.