Insight session -- Build Successful MSP Service Offerings

© 2015 N-able Technologies, Inc. All rights reserved. 1
David Weeks
Global Channel Sales
Manager
Building Successful
Services Offerings

SolarWinds N-able Fast Facts
Provide IT management software that is powerful, easy-to-
use and affordable
• The Leading RMM & Automation
Platform for MSPs
• Mission Statement:
– “To make our Partners the world’s
most successful MSPs”
• Measured by:
– Customer Retention
– MSP Recurring Revenue
– Customer Growth
• Channel-Only
• 3,600 MSP Customers
• 160,000 Managed SMB’s
• Offices in North America, Europe,
Australia, Singapore

Understand Your Prospect and
Existing Customer Base
• Who are your best customers?
• Who are your most costly customers?
• Are you missing market opportunity?
• Do you want to sell up market?
• What is your average size of customer today?
• What is your average customer spend monthly?
• Do you have any specialized verticals or niche
markets?

Target MSP Market
4
5,000+
Enterprise
1,000- 4,999
Upper
Mid-Market
100-999
Mid-Market
6-99
Small Business
1-5
SOHO
Mid-Market & Upper Mid-Market
• Mid-market Managed Services
• Managed Monitoring
• Supplemental
• Resell
• Average IT Spend $15,000-$17,000 per user annually
SMB
• Managed Services
• Proactive Services
• A la Carte
• Average IT Spend $2000 per user annually

SMB Market Reality
• 25% of SMB’s are candidates for advanced service models associated with verticals
‒ Professional Services, Medical , Financial, Manufacturing, Energy
• 75% of SMB’s do not want or have the need for managed services instead they want
to buy products and services on a monthly basis such as:
‒ Anti-virus, Patch, Anti-spam, Backup, Assessments, Migrations, Hours, Projects
75%
25%

Where do your customers
fit?
• Ad Hoc
• Software/hardware
• Break Fix/T&M
• Contract based
• Project based

Successful Conversion
Strategies
Existing Customer To MSP Program
Break-Fix Essentials A La Carte
Block Hours Proactive or A La Carte
Proactive Proactive or Managed
IT Departments
Resell or Supplemental
or Midmarket MSP
New Acquisition Programs # of Customers to sign in 12 months
Essentials A La Carte xxx
Proactive xxx
Managed xxx
Supplemental xxx
1.
2.

Define the Customer Needs
• Service centric customer
• Limited service requirements
• Primarily reactive
• Primarily proactive
• Directly attribute revenue to downtime

Where Should the Focus Be?
• End user is the catalyst to growth for MSP’s
• Cloud is reducing device counts but creating
new project opportunities and revenue
potential
• Span the full infrastructure coupled with
expectations of the organization
• Relate all productivity and revenue per
employee in your ROI discussions

Average MSP has 100 to 200 customers in in their database
Average SMB = 20 Employees
• 20 Desktops| 100%
• 2 Servers | 10%
• 2 Network | 10%
25% | Proactive or Managed
Successful MSP Programs
FULLY MANAGEDPROACTIVEESSENTIAL A LA CARTE
Server - $100
• Advanced Performance Monitoring
• Key Application Maintenance
• Scheduled Preventative Maintenance
• License & Asset Management
• Managed Anti-Virus
• Managed Backup
• Additional Support Billed at T&M Rates
Network - $25
• Quarterly Network Health Review
• Firewall Management & Maintenance
• Router Monitoring
• Switch Monitoring
• Additional Support Billed at T&M Rates
Workstation - $20
• Availability Monitoring
• OS & 3rd Party Patch Management
• Hosted Anti-Spam
$650/month $32.50/user/month
Proactive Options
• Hosted Backup - $70 + $0.75/GB
• Managed Mobile - $5/device
• Managed Compliance - $4/IP
Server - $250
• Configuration Management
• Key Application Maintenance
• Real Time Server Optimization
• License & Asset Management
• Managed Backup
• Managed Audit
• Unlimited Remote & Onsite support
Network - $65
• Firewall Management & Maintenance
• Router Monitoring
• Switch Monitoring
• Monthly Network Health Review
Workstation - $60
• Configuration Management & Enforcement
• Real Time Workstation Optimization
• Hosted Anti-Spam
Managed Options
• Hosted Backup - $70 + $0.75/GB
INTERNAL IT DEPARTMENTS
Billable Services - $100-$150/hour
• End-user support (Helpdesk)
• Onsite & Remote Support
• Moves, adds, changes
• Project Planning
• Upgrades & Hardware
• After hours Support
Essential IT Support – Free
• Light Monitoring
• Asset/Software/Hardware Reporting
• Branded Sys-tray Icon
• Remote Control
Managed Anti-Virus - $3/device
• Integrated AV deployment
• AV Monitoring
• AV Updates
• Threat/Status Reporting
Managed Patch - $3/device
• Windows Patch Management
• 3rd Party Patch Management
• Patch Reporting
Managed Backup - $100-$150/server
• Integrated Backup Deployment
• Backup Management & Monitoring
• Capacity/Status Reporting
Hosted Backup - $40 + $TBD/GB
• Offsite storage to a secure datacenter
Managed Mobile - $5/device
• Mobile management, support & reporting
Managed Compliance - $4/IP
• Monthly Vulnerability/Compliance
reporting
$50 - $250/month
Advanced Performance
Monitoring
• CPU
• Disk Space
• Disk Queue Length
• Memory
• Patch Status
• Connectivity
Automated Preventative
Maintenance
• Check Disk
• Defragment
• Delete Temporary Files
• Firmware Updates
• Remote Access Enabled
• Sync time with Domain
ControllerAutomated Preventative
Maintenance
• Check Disk
• Defragment
• Delete Temporary Files
• Firmware Updates
• Remote Access Enabled
• Sync time with Domain
Controller
Advanced Performance
Monitoring
• CPU
• Disk Space
• Disk Queue Length
• Memory
• Patch Status
• Connectivity
Cloud
Reseller
• Full N-central access
• Full Reporting capabilities
• Internal Attended &
UnattendedRemoteControl
• Advanced Performance
Monitoring
• Automation management
• Custom Services
$10/Server
$5/Network
$2.50/Deskto
p
$150/month/
Report
Manager
Supplemental Services
• Custom Dashboard Access
• Performance Reporting
• Attended & Unattended
Remote Control
Monitoring
$20/Server
$8/Network
$5/Desktop
Managed Monitoring
• 24/7 Monitoring NOC &
Triage of alerts and
notifications
• Automated Maintenance
& Remediation
• Performance & Strategic
Reporting
• Access to MSP support as
needed
$250/Server
$150/Network
Mid-Market MSP
Server - 24x7 Full
Outsourced Management
Network - 24x7 Full
Outsourced Management
Workstation - 24x7 Full
Outsource Management
$350/Server
$100/Network
$60/Workstati
on
Outsourced Helpdesk &
Project Support
• 24/7 remote support
services for end users
$25/User
$150/Hour
Managed Cloud Services
Cloud Services
• Virtual Online Workplace
• Application Management
• Microsoft Office Suite
• Hosted Exchange
• Backup & Disaster Recovery
• Secure Cloud Storage
• Mobile Device Access $199/user/month
OnPremise Services
• Workstation & Infrastructure Management
• Guaranteed Service Levels
Cloud Services Options
• Managed Mobile
$5/device
MSP PROGRAMS FOR SMBs

CORE DESKTOPCORE SECURITY SERVICE DESK MANAGEMENT
• Remote Control
• AV Monitoring
• AV Updates
• Patch Reporting
OPTIONAL
Managed Workstation Backup - $6.00/device
• Backup Deployment
reporting
$6.00-$25.00/Device
A La Carte Offerings
• Remote Control
• AV Exchange mailbox management
• AV Monitoring
• AV Updates
• Patch Reporting
Managed Workstation Backup-$6.00/device
• Backup Deployment
OPTIONAL
reporting
$15.00-$30.00/Device
• Remote Control
Managed Service Desk- $15.00
• Unlimited Remote Service Desk
support
• Trending and Reporting Information
OPTIONAL
Managed Anti-Virus - $3/user
• AV Monitoring
• AV Updates
• Patch Reporting
Mobile Support - $5/device
• Mobile support & reporting
$15.00-$25.00/user

MSP Cloud Landscape
MANAGED INFRASTRUCTURE
Hosting Services - $100.00
• Data Center & Service Management of core Server
• Performance Based Monitoring
• Application Maintenance
• Automated Preventative Maintenance
• Security Manager - AV and Patch
• Guaranteed Service Level agreement on uptime
Workstation – $20.00
• Availability Monitoring
• Automated Preventative Maintenance
• Additional Support Billed at T&M rates
OPTIONAL
• Hosted Exchange
• Office365
• Proprietary Application Hosting
Managed Infrastructure Options
• Hosted Backup – $TBD per gig
• Managed Compliance - $4/IP
Per User - $150/month
Cloud Services
• Virtual Online Workplace (DaaS)
• Application Management
• Microsoft Office Suite
• Hosted Exchange
• Backup & Disaster Recovery
• Secure Cloud Storage
• Mobile Device Access
OnPremise Services
• Workstation & Infrastructure Management
• Guaranteed Service Levels
$3000/month $150/user/month
Cloud Services Options
MANAGED CLOUD SERVICES
• Remote Control
• AV Monitoring
• AV Updates
Managed Server - $25.00/server
• Server setup and configuration
• Monthly automated maintenance
• Monthly Reporting
Managed Backup - $100-$150/server
• Integrated Backup Deployment
Cloud Applications
• Office365 - $14.00/user/month
• Hosted Exchange - $7.00/user/month
• Web hosting
• SaaS
• Mobile management, support &
reporting
$50 - $250/month
• Workstation data backup
A LA CARTE CLOUD

MSP Programs for IT
DepartmentMANAGED MONITORINGSUPPLEMENTALRESELLER
• 24/7 Monitoring NOC
alerts and
notifications
• Performance &
Strategic Reporting
• Access to MSP
support as needed
(Billable T&M charges
apply)
$100/Server
$40/Network
Managed Monitoring Automation and
Triage (Optional)
• Server- $250 (automation policy
development and execution)
• Network- $100/device (automation
policy development and execution)
MID-MARKET MANAGED
• Full N-central access
• Full Reporting
capabilities
• Internal Attended &
Unattended Remote
Control
• Advanced
Performance
Monitoring
• Automation
management
• Custom Services
$10/Server
$5/Network
$2.50/Desktop
$150/month/
Report Manager
• Custom Dashboard
Access
• Performance Reporting
• Attended &
Unattended Remote
Control
Monitoring
$20/Server
$8/Network
$5.00/Desktop
Project Support
• Engineering support to
assist with the planning,
implementation, or
support of a new
project
$150/Hour
Custom Support
• Customized Solutions
to meet customers’
needs and business
requirements
Per
engagement
Outsourced Helpdesk
$15/User
Outsourced Helpdesk
$15/User
Server
• 24x7 Full Outsourced
Management
Network
• 24x7 Full Outsourced
Management
Workstation
• 24x7 Full Outsource
Management
$350/Server
$100/Network
$60/Workstation
Managed Options
• Hosted Backup - $70
+ $0.75/GB
• Managed Mobile -
$5/device

Pricing Strategies
• What is the psychology of your customer and
how they prefer to purchase
• Look at having several models i.e. annual, per
month, per device, per user
• The shift will move to per user, it aligns with
budgeting and ROI well
• Commoditization is happening, MSP’s require
efficiencies and automation to continue to
compete

Have Pricing Defined

Promoting and Selling the
Services
• Sell to the business needs and requirements not the
technology
• Managed Services is a pure business sale with the
exception of supplemental services to internal IT
Departments
• Understand that verticals require unique value
propositions and unique selling propositions (USP’s)
• Talk to your existing customers understand why they
purchased from you and relate that to your
sales/marketing activities

Obstacles MSPs Face
• Sales!
• Trying to sell the technology (i.e. RMM) vs the
value you bring
• Making the sale about technical issues vs.
revenue protection and gains
• Lack proper skill sets internally and oversell
• Don’t separate NOC and HelpDesk functions
creating inefficiency
• Don’t utilize automation and get caught in the
price game

Retention is Key
• Regular CSAT’s (customer satisfaction survey)
are required on a regular basis
• Get to know your customer, relationship is one
of the key USP’s you have as an MSP
• Get entrenched in their business through VCIO
services, regular account management,
assisting on growth etc.
• Contact and communication are key

Thank you
DavidWeeks
Global Channel Sales Manager
david.weeks@solarwinds.com

Insight session -- Build Successful MSP Service Offerings

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