MSP Partners' "Business Simulation Experience" a "Must Attend"!

The title of this all-day training should be "How to Not Go Out of Business". I'd be a lot richer today if I'd have spent just one day in college playing this game instead of sitting through another statistics or business calculus class. (Seeing money move around a game board in a simulated "break fix vs. MSP" environment is all the business calculus I ever really needed.)

Go to the event in Washington D.C. on December 9th!

Seriously. Playing this game will teach you on a visceral level what you need to understand about the value of the migration in the IT VAR community from a "break fix" pricing model to a "MSP" pricing model.

The bottom line is that in the "break fix" world you make decent money but you struggle every month. In the MSP world, after a couple tough months ramping up all of a sudden life gets very smooth because you're not scared about meeting payroll for lack of "break fix" work.

Even if you're already sold on the MSP model this exercise is a great reminder that staying in business is "all about the money". If the money on the board is not where it needs to be when it needs to be there then say "goodbye happy".

Click the link below to view a video snapshot of the event.



The event was presented by Amy Luby of MSPSN and sponsored by:
              


Thanks! :)

Thoughts on the MSP Alliance & the MSP World Show, Las Vegas 2009

If you scroll down and read the last several blog entries you'll see all the advance promotions TA did to promote the MSP World, Las Vegas 2009 show for MSP Alliance as a media sponsor. You can also see all the video we shot of the people we met.

TA's goal at the MSP World show (and all our interactions with MSPs) was (and still is) to learn the answers to the following three questions:

1. Is it realistic that MSPs will take on carrier services and sell them to their IT customers in a volume large enough to make MSPs a credible channel for carrier services vendors?

2. Is it realistic that MSPs would make good partners with telecom agents to share or trade leads with?

3. How easy, difficult or valuable is it for telecom agents and master agents to pick up the skills and resources necessary to become MSPs themselves and offer MSP services to their existing carrier services customers.


Well over the past several months we've learned what we think are the answers to these three questions and we're going to publish the answers  within the next several weeks in a MSP industry report we're creating for telecom vendors, agents and partners.


QUICK BOTTOM LINE?


When IT guys migrate their SMB customers from "break fix" (only bill when something breaks) to the "managed model" (bill a flat monthly fee to keep everything running) telecom guys can pretty much forget about having any serious "final say" on influencing future telecom decisions the customer makes. The IT guy who "owns" the customer's local area network gets to give the final thumbs up or thumbs down on any voice or data decision. This is obviously a bad thing for telecom guys.  


Fortunately there's lots that telecom guys can do to get back into their customer's inner decision circle for telecom and technology decisions and that's what we'll be sharing in our forthcoming MSP report.


FIRST STEP?


Eat, drink and sleep MSP.  In the six months or so since I learned how to spell "MSP" I've learned an awful lot about what it is they do and how they do it.  It's all come from studying them up close and by surfing the net.  If you're a telecom agent that's serious about staying in business I STRONGLY advise you to do the same.  


Start by talking to your customers. What do they have to say about the IT folks that help them keep their local area network and all their computers running? Study the websites of your local computer guys and take them out to lunch. Do any of them have active sales programs or all they all 100% referral sales people? 


NEXT STEP?


Join the MSP Alliance at www.MSPalliance.com. They offer a free membership to and there's an awful lot to learn by just reading everything written on their website.  You can also join www.MSPpartners.com for as little as $49 per year. Both organizations have a faithful following of real MSPs that I've met in person.  I can't say if one is better than the other but there's really no reason you can't join both.


BEST STEP?


Go to MSP functions. I went to the MSP World convention in Vegas last month and then a MSP Partner "MSP Business Simulation" event a week later. Both events were great because they were both full of living, breathing, hoping MSPs who were only to happy to talk to a telecom guy about being a MSP. You really can't learn about the ways of an MSP without interacting with them directly. This "becoming one" with MSPs is critical because to stay successful in the SMB market over the next several years, telecom agents will need to either partner with MSPs or become one.


SECRET STEP?


Help MSPs get more MSP customers. Don't lead with "Sell telecom & make more money!" - they know all about that. Lead with, "I've got a lot of telecom customers who I'm sure need to be MSP customers..." - your telecom sales will come right after that if you deliver.

Video Snapshots of MSP World Sponsors

Following are video snapshots (in alphabetic order) of a few of the MSP World sponsors we met. Click here to view to the printed agenda of the show that includes full details about the vendors and all the speakers.



Autotask's  Jake Carroll (518-720-3500) on how they make "your IT business run. Better.(SM)".



Canon U.S.A.'s  Chad Seefeld (402-214-6516) and Digitech Systems'  Brian Wiffin (800-671-6848) on their integrated image filing systems solutions.




CSC Leasing's  Matt Thompson (804-673-1000) on their equipment leasing solutions.



eTegrity's  Steve Ferman (877-928-2858) on their online backup and data recovery solutions.



Paessler AG's  Ken Sanofsky (818-292-5026) on their network monitoring solutions.



McAfee / MX Logic's  Steve McCutcheon (720-895-4417) on their cloud based email defense, web defense and email archiving solutions.



N-able's  Derik Belair (613-592-6676) on their network and systems management software solutions.



PacketTrap's  Matt Bolton on their traffic analysis solution for telecom agents and MSPs.



Tango/04's  Jim Van Valkenburgh (603-924-0859) on their remote monitoring solutions for mid-size and larger complex corporate environments.




MSP World, Las Vegas 2009 sponsors that we did not get videos of include:


Applicure - Web application security for MSPs


Gridstore - Storage solutions


Intel (Equus) - Systems builders


Kaseya - Unified monitoring solutions


Longjump - Cloud application platforms


Nimsoft - Monitoring solutions


Pranah Storage - Unified storage systems


Promisec - Clientless MSP solutions


ServicePilot - Integrated IT monitoring solutions

Symform - Enterprise-class business continuity solutions


Shavlik - Compliant network monitoring solutions

Review of MSP World in Las Vegas, November 2009

Video Snapshots from MSP World


Dan Baldwin, Executive Director Telecom Association 951-251-5155
Remarks on the first day of MSP World



Jim Swoyer, Director MSP Alliance 530-891-1340
Remarks on the synergy between MSPs and telecom agents



Steve Moisoff, VP Sales Mericit Systems 610-628-6321
Remarks on the synergy between MSPs and telecom agents



Video Views from the show



Lane Smith, President Do IT Smarter, 877-347-3648
On how his company helps telecom agents become MSPs



Pauline Levesque, Chief Marketing Officer ITS National, 203-672-0127

The Preview - MSP World, Las Vegas - November 2009

TA's here in Las Vegas for MSP Alliance's MSP World event. Not much to show you yet but a tour of our very nice room at the Venetian. (Click the video below). Here's a link to the program for the event. Here's a link to their Twitter page.

TA's goal here at the show is to learn the answer to the following three questions:

1. Is it realistic that MSPs will take on carrier services and sell them to their IT customers in a volume large enough to make MSPs a credible channel for carrier services vendors?

2. Is it realistic that MSPs would make good partners with telecom agents to share or trade leads with?

3. How difficult or easy is it for telecom agents and master agents to pick up the skills and resources necessary to be MSPs themselves and offer MSP services to their existing carrier services customers.

To get conversations started TA has set up a web page at MSPTEL.com where you can see the newsletter we'll be handing out at the show to stimulate conversation.

TA thanks our three co-op sponsors that we're working with here: A+ Conferencing, PAETEC and Telarus. Their support of this exploratory effort will help TA figure out if MSPs are "the real deal" when it comes to being a viable carrier services distribution channel or "nothing to be concerned about".

Click the video below if you want to see what a cool $139 Las Vegas "suite" looks like.

To Get Inside the "MSP Brain" You Must First "Be the Ball"

As devotees of the 1980 movie classic "Caddyshack" know, "there's a force in the universe that makes things happen..."

If you're trying to make new sales happen through the "managed services provider" or MSP model then you must start thinking like an MSP - yes, you must "be the ball".


Click to see "Be the Ball" advice

To help you along, following are MSP links we're absorbing to get inside the "MSP brain". As we find more links to absorb we'll post them here so make sure you subscribe to blog updates.

MSP Partners - This is a MSP association that was founded in 2007, has about 4,000 members and recently merged with CompTIA. Following are some MSP partner links:

     MSP Partners Wikipedia entry

     CompTIA/MSP Partner membership prices

     Recent CompTIA Tradeshow Videos

MSP Mentor - There are about a zillion websites all trying to show IT guys how to become MSPs. Thsi one seems better organized than most.

     How to Brand Yourself an MSP

MSP Alliance - This MSP organization started about 10 years ago, has 8,000 members, a certification program and several events throughout the year.

     MSP Alliance Recent Email Newsletter

Attend MSP World with TA to Meet 200+ Managed Service Providers

In an effort to put Telecom Association members and vendors in direct contact with carrier service distribution partners on the cutting edge of IT, TA is attending next week's MSP World show in Las Vegas Nov. 12 - 13, 2009 as a media sponsor.

MSP's represent an exciting new carrier services partner segment that is not out to beat every last penny of margin out of their providers. While MSP's are serious about selling carrier services, since it's not their primary service offering, they are more interested in partnering with carrier services partners that deliver complete customer value then just the lowest price or highest commission.

While at the MSP World show, it is TA's intention to meet as many MSP World attendees as possible to learn how they can partner with TA's members to expand their MSP solutions to the embedded customers of TA's members and vendors.

As well, TA hopes to learn how MSP's are positioning themselves to recommend carrier services to their IT and MSP customers.


Meet Up with TA at the MSP World Show

MSP Alliance has announced they expect larger MSPs at this show where they expect 200 attendees or more. In addition to meeting the attendees, a great deal can be learned from the MSP sponsors as it's assumed that the sponsors are already profitably distributing IT solutions through MSPs.


TA to Work Exclusively with Select TA Vendors at MSP World 

Whenever new distribution channels are opened it generally best to not have an avalanche of vendors overwhelming new prospective channel partners. In keeping with this philosophy, TA is planning on exclusively working with just one TA vendor per category with respect to introducing MSPs to Telecom Association members and vendors in an effort to mutually market each other's solutions to one another's customers.

We are looking for individual vendor representatives in the following categories:

1. Master Agency

2. Nationwide Voice Carrier Services (PRI, LD T-1s, POTs aggregation, etc.)

3. Nationwide IP Carrier Services (SIP trunks & Hosted VoIP)

4. Nationwide Bandwidth Carrier Services (dedicated Internet access, MPLS, Ethernet, etc.)

5. Telecom Expense Management

6. Conferencing Provider

7. Regional CLECs.

Please contact TA Executive Director Dan Baldwin at 951-251-5155 or Dan@TelecomAssociation.com  if you are interested in working with TA in this regard.

MSPs Large and Small Selling Carrier Services

While many in the carrier services industry acknowledge that managed service provider ("MSP") firms would make fine carrier service partners or agents, the concern is that MSPs (like interconnects and phone systems dealers) will not aggressively sell carrier services.

While MSPs may not lead with carrier services, my own recent observations suggest that MSPs are selling carrier services aggressively enough to make them an important partner segment and a possible serious threat to classic carrier services agents that do not offer MSP services.



Sample MSPs Selling Carrier Services

As evidence that MSPs are already an important carrier services partner channel I offer the following examples:

CentrexIT

This is the San Diego based MSP that I cited in my previous post that my friend Clive works at. When I interviewed the owner of this MSP over the phone last month he was very serious about maximizing his carrier services revenue. He see carrier services residuals as a primary source of revenue - not "it's great if I get it but I'm not chasing it" afterthought revenue. When looking at CentrexIT's website you quickly assume that phone systems and services are 50% of this MSP's business.

Redshift Technologies

I met this guy at the Advoda "Agent Day" event last month. He has a smaller shop than CentrexIT's appears to be and did not suggest that his shop was "half phones" but he did say that he picks up voice and data from all new customers. He said he had not yet made the effort to go back and sell phone services to his embedded base but that was on his list of things to do in 2010.

Quest

I discovered this company while walking through the Sacramento airport after Intelisys' Napa event last month. Watch the short video below that I shot of Quest's airport display ad hanging on the wall by the main escalator. You can see why it caught my eye.

Quest's display ad in Sacramento airport October 2009

When I first checked out their website I figured they were too big to care about carrier services until I found their carrier services webpage.


Major Carriers in Pursuit of MSP Channel

I collected the following video from Craig Schlagbaum of Level 3 at the Intelisys event after discussing whether MSPs were a worthy carrier services channel. Click the video to see what he had to say.

Craig Schlagbaum of Level 3 on Managed Services

Craig has indicated that he'll be at the MSP World show in Las Vegas Nov. 12-13, 2009.


Register and Go to the MSP Show in Las Vegas Nov. 12-13, 2009

Click here to register for the show. TA will have a booth there. We'd love to see you there. Use code "TA09" when you register. It won't save you any money but it will give TA a media sponsorship at the show which will encourage the MSP attendees to take a closer look at Telecom Association.

See the "Future of Telecom Agency" at MSP World Nov. 12-13, 2009 in Las Vegas

TA Home Page   Join TA


Hot New Trade Show:
MSP World


Where to meet your next, best new voice and data channel partners


(or learn how to protect your customers from them)


Use code "TA09" when you register

I know most of you are saying "I can't do one more trade show this year" but what if it was a trade show where none of your sub agent seeking competitors showed up and and every partner prospect you spoke to said, "What! You'll pay me to place my customer's bandwidth orders with you? That's cool!"

No guarantees but I'm pretty sure that's the opportunity we're looking at here. And the best thing about this opportunity is that you get to check it out for next to nothing.

$95 to register for the two day event, November 12th & 13th in Las Vegas
(Use code "TA09" when you register)

$139 a night for a room at the Venetian (Use code RMSPW through Oct. 21st)

What's Great About this Show?

This is the "MSP" show meaning it's full of "Managed Services Providers". What's so great about an MSPs?

Formerly known as the geek guys your customers called when their printer stopped working right, these guys are now looking to be your best customer's one stop show for everything connected by a power cord. In the future, these guys that are going to be in control of all voice, data and wide area network service orders their SMB customers place. Fortunately, for now, most MSPs are still somewhat uninvolved with their customer's voice and data wide area networks. 

But unlike the phone systems vendors or interconnects before them though, more and more MSPs are "turning on" to providing for all the wide area network services their customers (and your customers) need. This "turning on" usually happens right after the customer asks them to install an IP-PBX solution on their local area network. Since the "turning on" to network services has really just begun for these folks, now's the time to introduce ourselves and MSP World is the show to do it at.

How Does TA Know All This?

We have seen the future!

Well actually I know a guy who went to work for an MSP owned by this other guy who is seriously tearing it up in San Diego. Plus I pay attention to sales pitches, what my own customers like to hear and what I hate to hear out of my competitors.

Bottom line? I've suddenly got no way to outsell my old friend Clive. I sell voice, data & IP PBX and so does he. Unfortunately (for me) he's also the guy my prospect can call whenever their printers stop working right (or just about any other piece of IT gear).



What to Do About Clive?


So what am I going to do besides hope I don't compete against Clive on any deal? I could go to work for the same guy Clive now works for - but I no longer care for W-2 gigs. I could buy his employer's company and become a MSP right away - but I don't have that much money. Or...

Maybe I'll just go to the MSP show next month in Las Vegas to:

     a. Find open minded MSPs I can work with,

     b. Learn about becoming an MSP myself, or

     c. Learn what the MSP's weaknesses are other than a love of pizza, Skittles, hot babes on TV and Classic Coke. (Just kidding!)

     d. All the above.

I think I'll choose "d" above. If you're thinking the same thing, click the link below to view all the details of the show.

Use code "TA09" when you register. It won't save you any money but if enough people use it then the MSP Association will make TA a "media sponsor" and maybe give us a free box of Skittles.

Click here to view show details.


MSP Alliance "In the News"


So you can get a feel for what Kind of people you'll meet at the show, view the two interviews posted here with MSP Alliance President Charles Weaver. Below the two videos are news clippings about MSP Alliance.

Interview with TA's Dan Baldwin, September 2009

 

Interview at ITEXPO, September 2009

 

MSP in the News

MSPAlliance Certifies Master MSPs  February 2009 Phone+

Mastering Managed Services: Migration Eased by Agent, Resale and Franchise Models   June 2008 Phone+

Do-It-Yourself MSP  June 2008 Phone+  

What is Managed Services?  June 2008 Phone+

Sample MSP Alliance Members

Alpheon   ClearPointe   Smart I.T. Services, Inc.   JPMerc & Co.   Mericit Systems  Vnetrix Ltd   Utility Co.   masterIT   centrexIT   AndersonPC   Centennial Software  Help Now LLC   Zocalo Data Systems   Montalbano Computer Services  Lumension   Sinu

Others following MSP Alliance on Twitter  MSP Alliance Twitter Page   MSP Alliance LinkedIn Group

502 Members of MSP Alliance's LinkedIn Group  MSP Alliance Leadership Team

Questions?

You're over thinking this! Stop thinking about it, use code "TA09" and register. Just kidding! Call Dan Baldwin at Dan@TelecomAssociation.com or 951-251-5155

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Questions about this article? 

Please contact Dan Baldwin at Dan@TelecomAssociation.com or 951-251-5155