Running an MSP is not for the faint of heart: it requires hard work and patience. Most MSPs walk a tightrope in their early development phase — when budgets are limited and reliance is high on bread and butter services to move forward in the trench.
As the hard work starts to pay-off and your business evolves — along comes the need for change. A stage where the old tools can no longer cut it and you need to migrate to a better solution stack. Any managed service provider who has been in the business long enough can vouch for the fact that MSPs do not get better by chance, they get better by being proactive in the services they offer.
The discussion seems incomplete without addressing the principal question — why migrate, in the first place? Those generation-1 tools have been getting the job done so far, haven’t they?
Yes. They have. But they can only go so far. They aren’t scalable. If you want to take on new customers, lower expenses and extend your resources, without putting a dent in your budget — you will have to step up the tools you use. Some tangible benefits of migrating to a better solution stack includes:
- Enhanced security
- Better reliability
- Lower costs
- Being proactive by teaming up with a reliable technology vendor
- Speeds up your entire workflow
- Enhanced support
- One vendor you can truly partner with for your software stack
Even with all the benefits, it’s understandable why MSPs are hesitant when it comes to migration and change. A lot of them have tried and experienced firsthand burns with onboarding.
Let us look at the case of two MSP’s with very different approaches to migration and how they addressed it.
The first MSP started out as a small business with the aim of helping as many customers as possible. As the business grew, so did the number of endpoints and systems. Finally, they came to a point where they needed to contemplate upgrading to a new RMM Solution. In spite of being an obvious choice, the MSP was reluctant about migrating to a new RMM solution because of the associated cost and imaginary complexities.
The MSP was more concerned about the challenges and less focused on the opportunities. The concerns were:
- What about the high cost of migrations and even higher total cost of ownership?
- How tough will it be to train staff on the new tools?
- Will it disrupt my process that took a few years to set up and become fully functional?
Some other concerns included:
• Hours or days of downtime
• Key internal resources diverted from strategic initiatives
• Risk of data loss and migration failures
And eventually, the decision was taken to postpone the migration and stay in survival mode for some more time.
The second MSP had a solid growth mindset since its inception. They knew that migrating to a new RMM Solution was imminent as their current tool was reaching its end of life. They started by evaluating their customer needs and how it was expected to change going forward.
Knowing that their growth strategies and needs might change in the future, having a migration plan, followed with top notch support during and post migration was at the top of their agenda. They even got employee training!
Everyone put their best foot forward and the migration was successful.
Who lived happily ever after?
You tell us ☺
The first MSP is still trying to make ends meet. Their revenue streams remain stagnant, with no new service offerings becuse there is no time for innovation. While some loyal customers are still hanging around — the bigger ones are moving to other MSPs who can meet their varied demands and business requirements. All in all, the business forecast doesn’t look so good.
The second MSP has been firing on all cylinders. Their new solution opened up multiple new revenue streams for them. With better automation and a solid PSA integration, they’ve been targeting customers twice the size they used to. Eventually, they extended their contracts and added more solutions to their stack. The MSP is also looking forward to venturing into the security niche and transform into an MSSP.
As an MSP, RMM technology drives your services, but marching forward you should develop the solution stack that works for you. Getting the right stack may mean acquiring new next-generation fully integrated solutions and swapping out the old. Changing systems or components is never fun, but it is a part of driving innovation and pushing the business forward. If you want to know more about the ROI on migrating to a new RMM tool and how a comprehensive solution gives you access to more revenue opportunities, watch our webinar “How to Calculate and Eliminate the Hidden Costs in Your MSP”.