July 21, 2015
How MSPs Can Build Deeper, Stickier Customer Relationships
You spend a lot time and energy getting new customers. So how much time do you spend building those relationships, to make sure they don’t leave and become another MSP’s new customers? Let’s face it, the more a customer feels connected to you and the services you provide, the less likely they are to leave you.
What an MSP sells and manages can make a significant difference in their customer relationships, and retention. Selling a one-time piece of hardware will not endear a customer to their provider. Selling and managing a solution that protects a customer’s data (ie: their livelihood) day in and day out, however, is step one to establishing a deeper customer relationship.
The importance of Total Data Protection for a business is unparalleled, and it is the perfect opportunity to establish and create a sustaining relationship between MSPs and their customers. Today we’ll share how some MSPs have already achieved this, and why this is such an important aspect of an MSP’s job.
John Manley, Virtual CTO with MSP Atlantic, Tomorrow’s Office sums up the new relationship between MSP and customers like this, “We act as an extension of customers’ executive management teams.” He continues, “We’re focused on aligning their business objectives with technology objectives. We’re their guides to navigating the technology world.” As a business, isn’t that what you’d look for? Someone who feels as invested in the success of your technology and business as you do?
Key to understanding the new MSP-customer relationships is the word “service”. Service doesn’t just mean the abstraction of hardware and software into utility-like services an MSP brings to market; it also refers to the extreme customer-service orientation necessary to MSP success. That service orientation demands more frequent and better customer communications.
The return on that customer service investment, however, falls directly to the MSP bottom line in terms of stronger, stickier customer relationships that highlight the MSP’s value, and enable it to charge higher rates. Such customer relationships last longer, and require greater trust.
“If a customer goes down and we can’t get them back up, we lose all of our revenue with that customer. Their managed services contract – pfssst! Goes away! We will never have another opportunity with that client again,” explains Delano Collins, CIO with MSP EDTS.
When trust is involved, it’s critical for the MSP to partner with a vendor it can trust. But how do you know which vendor? For Delano Collins, CIO with MSP EDTS, “We have that kind of relationship with our Total Data Protection provider. There’s a confidence we have in their solutions that no amount of training or books or online videos will ever give you. It makes it so easy to sell the product.” I guess that’s way Delano and his team migrated 50 appliances from another vendor to Datto. Because let’s face it, “If a customer goes down and we can’t get them back up, we lose all of our revenue with that customer. Their managed services contract – pfssst! Goes away! We will never have another opportunity with that client again.”
The connection that’s established between an MSP and a customer from selling Total Data Protection has (the very likely) potential to be a long-lasting, prosperous relationship. That is, if the MSP delivers the service and establishes the trust that a data-dependent customer requires. The relationship developed is a benefit both for the MSP (ability to charge higher prices as the relationship continues to succeed), and for the customer (the confidence of secure, always-available data).
To learn more on how to build and expand your profitability and revenue engine, you can head over here to download our eBook filled with tips and tricks that can help you capitalize on your business as an MSP!