October 09, 2025

Why security bundles are key to MSP growth

By Datto
AntivirusCybersecurityEndpoint Detection and Response (EDR)

High-performing MSPs are building their growth strategies around security. According to the 2025 Datto State of the MSP Industry report, top performers earning $10 million or more in annual revenue are focusing on comprehensive security, automation and cloud migration to stay profitable and competitive.  

Managed security has become their key differentiator as 97% of these top earners already deliver full-scale services that include email protection, endpoint detection and threat hunting. Clients expect this level of protection as part of every service plan, creating new opportunities for MSPs to expand contracts and increase margins. 

The demand for endpoint security 

According to Statista, global endpoint security spending is projected to exceed $15 billion in 2025. SMBs are a major part of this growth, as they rely on MSPs to supply enterprise-level protection at predictable costs. Many clients lack the staff or tools to handle ongoing monitoring, patching and remediation. Offering endpoint security directly within your service stack addresses that gap and strengthens customer retention. 

By including endpoint protection, MSPs also help clients comply with frameworks such as NIST, ISO 27001 and CIS Controls that require device-level security. This approach creates measurable value for clients while generating steady monthly income for MSPs through security bundles. 

The revenue impact of bundled security 

Cybersecurity services are in high demand and a key revenue driver for MSPs. The 2025 Global MSP Benchmark survey found that every MSP with net profit margins of 15% or more ranked enhanced security services among their top three revenue sources. In contrast, those with lower margins did not, showing that profitability often follows a strong security focus. 

When security is built into endpoint management, clients are more likely to commit to multiyear contracts. This shifts the conversation from device maintenance to business risk management, which carries higher perceived value. 

Bundled security services also reduce churn. When endpoint security and management come from separate vendors, MSPs face support overlap and billing complexity. Combining these offerings into one service plan simplifies pricing, improves operational efficiency and creates a stronger dependency between the client and provider. 

Building the right security bundle 

When asked about the most pressing IT challenges their clients face, 76% of MSPs overwhelmingly pointed to security. By standardizing EDR and MDR across all plans, MSPs can create a consistent security baseline while maintaining predictable margins. 

An effective endpoint security bundle typically includes: 

  • AV and AM protection 
  • EDR 
  • Patch management and vulnerability scanning 
  • Backup and recovery capabilities 
  • Policy enforcement through RMM 

Strengthen your security bundle with Datto AV and EDR 

Datto AV and EDR give MSPs a unified, effective way to protect every endpoint. Datto AV detects polymorphic attacks that evolve to bypass traditional defenses, while Datto EDR offers full visibility into endpoint activity and automates threat response. 

Independent testing by Miercom, a global leader in cybersecurity testing, found that Datto AV and EDR achieved 99.62% malware detection efficacy, well above the industry average of 73%. For zero-day threats, the combined solution reached 98% detection, almost double the industry average of 45%. These results show how Datto’s tools deliver reliable, real-world protection. 

Both solutions integrate directly with Datto RMM. When endpoint security tools integrate directly with RMM platforms, technicians gain better visibility and automation. Alerts, patch failures and threat events are managed from the same dashboard used for device performance. This consolidation reduces manual workloads and improves response times. 

Expanding your business through trust 

If you aren’t offering cybersecurity as a core service, you’re leaving money on the table. Our checklist, Why security should be a core part of your MSP business, explains how to easily build and deliver managed security services. It covers practical steps for selecting the right solutions, marketing your services and earning client confidence. 

Clients who trust their MSP to protect endpoints are more likely to extend contracts and add complementary services such as cloud backup or compliance reporting. Each new endpoint license represents recurring income and long-term customer stability. 

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