Why Managed Services Should Be Used in 2023

We are all aware that nearly every aspect of life in 2020 has been drastically altered by COVID-19. Despite our optimism that things will soon revert to a more "normal" state, we are all operating under the assumption that this is our new reality.

But one thing hasn't changed: the demand for expert IT services. As remote work has increased in popularity, IT requirements have gotten more sophisticated and important.

We learnt that the revenue split between products and services for the T&S 50 (an index of 50 of the largest IT companies) has flipped, with services now accounting for 60% of revenue in The State of Managed Services 2020 study published by TSIA at the beginning of the year. That proves that the market for managed services is still expanding. IT services continue to be the most popular procedure that small businesses outsource, according to Clutch.co.

It may be helpful to comprehend why small-to-medium-sized businesses (SMBs) need the services that IT professionals provide as you prepare your business plan for 2023 and consider how to attract and keep clients.

The reason SMB proprietors need managed services.

It's important to evaluate what arguments will sell your managed IT services the strongest when deciding how to present them. Keep in mind that even though you might believe that SMBs should modify your business strategy for one reason or another, you should consider that they might have entirely different goals. What therefore should you start with when approaching potential customers for marketing and sales?

The Salesforce Small and Medium Company Trends Report claims that access to money, finding the appropriate technology, and recruiting the appropriate skills are the biggest obstacles to SMB operations. And everyone is currently thinking about how to deal with the rising cybersecurity dangers and worries.

Why will companies need your managed services in 2023, then? Here are the top four drivers, broken down.

1. Use of more advanced technology

The SMBs you want to deal with frequently have overworked IT teams with staff members who may not have the knowledge and training required for some activities or who are unable to manage the entire company network on their own. In response, these businesses understand the benefits of collaborating with a technical support team from the outside, such a managed service provider (MSP). Clients gain access to the newest technology and enterprise-level solutions, such as remote monitoring and management (RMM), backup and disaster recovery (BDR), and cloud computing, that maintain uptime and profitability. IT outsources not only helps with having an extra team of IT experts capable of troubleshooting and resolving issues that arise.

By making an investment in the managed services business model, manpower shortages can be resolved, and internal IT departments won't constantly be playing catch-up. Working with an MSP gives companies access to enterprise-level technology, tools to improve the dependability of their IT infrastructure, and a virtual CIO (vCIO). In 2023, a vCIO will play a crucial role in helping customers understand and manage the rapidly changing technological ecosystem so they can scale their businesses and better prepare for the long term.

2. ROI and financial savings

Greater cost savings are one of managed services' most important corporate benefits. IT budgets include a wide range of expenses, including those for hardware, software, and network infrastructure, as well as ongoing maintenance. Labor costs are also important for any organization, but they are particularly important for SMBs that depend on managed service providers.

If the cost of paying the present workforce is excessively high, the company you want to collaborate with may need to scale back its IT department. It's also possible that because the business doesn't have a dedicated IT department, employees are forced to do technical duties outside of their areas of expertise, which reduces productivity and limits opportunities for advancement.

Customers may more easily forecast their monthly IT costs with the managed services business model. Explaining how your services would free up their staff's time, allowing them to devote more to higher-value projects they are fully suited to manage while enhancing overall productivity, will help you break down the ROI of managed services for SMEs.

As you conduct your quarterly business reviews, remember to include a review of these cost savings (QBRs). These sessions will help you demonstrate the worth of your services to clients and explain how you contribute to enhancing employee productivity and happiness as well as achieving organizational objectives.

3. Increased safety

Security is increasingly turning into a headache for all small enterprises. According to a recent Ponemon Institute study, 66% of SMBs worldwide reported experiencing a cyberattack in the previous year, with ransomware and corporate email compromise assaults leading the way. That is concerning, and the number is only going to rise.

You will be consulted by potential customers as a specialist in cybersecurity services. In fact, 91% of SMBs would start using or switch providers to acquire the correct protection, and they would spend up to 30% extra for those services, according to our second annual cybersecurity report. Clients will look to you for everything from proper endpoint management to HIPAA compliance in terms of cybersecurity.

The moment has come to assess the cybersecurity services you provide and ensure that both you and your clients are fostering a culture of risk-taking.

4. Mental calm

This is a crucial advantage of managed IT services. Your customers don't want to be bothered with managing their daily IT needs. They don't want to have to worry about whether their network connection will be dependable and fast. In a similar vein, they also hope to never have to worry about their IT infrastructure. They decide to work with an MSP so that they can get coverage around-the-clock and concentrate more of their time on expanding their business.

IOTAP offers Microsoft Azure Support plans and Microsoft Azure information protection and features for small-medium businesses and large organizations.