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MSP 1.0 is not widespread yet as a business model, and there is already the new 2.0 model.
What are the key differentiators between the two models? The following will refer to an average MSP 1.0 and MSP 2.0 practice. We are assuming that the MSP 2.0 model is heavily supported by an MSP 2.0 framework, which is crucial. The differentiations may seem simplistic, but our aim is to show the possible limitations and challenges of the MSP 1.0 model, and the opportunities of the MSP 2.0. Keep in mind that MSP 2.0 is not a substitution of the MSP 1.0 model. It is an expansion. You can move your existing 1.0 services forward, but with 2.0 as a companion the new options are going to be very promising.  Many MSPs are not able to well define their target segments. The result can be a huge sales effort with disappointing sales closes. There are three main differentiating factors we could use to fine tune service directed toward the different segments:
IT managed services providers could divide their market among three segments described below to benefit from more focused communication and delivery strategies.  Every IT managed services provider wants to convert as many Time and Material clients to MSP contracts as possible. However not every client can benefit from the advanced services of the proactive MSP model.
Based on our experience, our clients, and our ITCq research, we’ve found there are certain types of companies that could not consume the MSP recurring services. Identifying these companies is always a struggle, so here are a couple of tips to properly selling the MSP services. |
MSP 2.0 blogThe BLOG discusses more about the future of doing managed services in the Cloud era. Design, develop services, create value propositions, manage the sales funnel, deliver the services, create a world class team, and win. Categories
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