IT service providers that want to start selling cloud services often struggle with knowing where to begin. Logic Speak CEO Jason Etheridge has some insights on this topic that are worth considering — especially when you take into account that this eight-employee MSP has been experiencing healthy double-digit growth over the past few years, and a big part of that growth is from selling cloud services. “Cloud backup is the most logical starting point for selling cloud services,” says Etheridge. “Every customer needs it and IT service providers can not only recommend the right solution, but they can add value by bundling monitoring and data recovery services with their cloud backup solution.”
One other tip Etheridge offers aspiring cloud service providers is to try it before you sell it. “Almost all vendors have a ‘freemium’ version of their services along with a mobile app that will allow you to get your feet wet,” he says. “Only after you’re familiar with the major players and technologies can you start to make decisions around which services you want to offer.” And don’t think that choosing a particular cloud service means you’re locked into a permanent contract. “Don’t be afraid to change vendors if it benefits your bottom line significantly, or if there is a significant leap in features and functionality,” he says. “One of the best decisions we made was changing to our current BDR vendor, which enabled us to double our profit margins on cloud backups.” On the flip side, there is a downside to switching vendors too often, and Etheridge says that the more research, testing, and evaluating you do up front, the longer and more successful your vendor relationships will be. “Once we select a vendor, we won’t even consider changing for at least a year, and even then, we need a very compelling reason to do so,” he says.
This MSP has additional cloud advice to share, which you can read about in my latest article: Find Your Cloud Services Niche.