Assuring Value for Managed IT Services

Assuring Value for Managed IT Services

Smaller to mid-sized businesses are constantly trying to reduce costs. Unfortunately Managed IT services are always on the radar when it comes to cost cutting. It’s an easy target for companies when things get tight. However what some companies fail to realize is that chopping out an easy taget like manages services can wind up costing them more in the long haul, especially during downtime or catastrophic failures.

So what can companies do to convey to their customers the real value of a managed IT service provider? In our experience with Los Angeles based managed IT services, there are 3 basic ways.

  1. Prevented Downtime – Clients need to understand that proactive monitoring, including maintenance, will prevent real downtime for their core business. To convey or illustrate this to clients, managed IT service providers must illustrate the real loss. This is usually accomplished in terms of financial risks. What will it cost (in real terms) your client during period of downtime? By using financials, in addition to hassle-factors and lost productivity, clients will understand and accept the risks. Even the most stubborn clients will hopefully realize the value of a managed IT service provider.
  2. Safety Net For Your Business – Clients need to also understand that business critical data is managed and protected. With a proper managed IT service provider this not only provides peace of mind, but assures the client that catastrophic data failure is safeguarded against. Providing case studies, or previous examples of how business infrastructure was protected will serve to further strengthen the reliance on Managed IT systems.
  3. Consistent Recurring Billing – Clients feel comfortable knowing costs. Keeping your billing consistent will ease their minds for Managed IT Services providers. This is especially true to help in obvious budget planning exercises but there is another important reason. Anticipated billing will help to avoid unforeseen spikes in spending, especially during unexpected outages. This is especially important when using planning and forecasting financial strategies.

In addition, Managed IT service providers should always strive to communicate value to their clients. During the initial sales negotiation is a great strategy, as this will hopefully convince them early on in the process, allowing for more contracts to be signed. Always avoid high-pressure selling tactics in the process. Rather than frightening would be clients with doomsday scenarios, advise them. Setting your business up as a trusted advisor, even if the sale is not immediate, will go a long way with the prospect. Ultimately they will rely on you as the ‘go-to’ provider for managed IT services.

By clear communication of value, your business will be best armed to deal with any potential blocks or objections by your prospect in the process. Using the three strategies above, coupled with forthright information and sound advice, will help your business gain (and retain) more clients by educating them why managed IT services are best for their strategy.

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