Could print threaten managed service providers in 2016? It's a tantalizing title but it actually is a real threat and something MSPs need to aware of this year.
No, I am not talking about MSPs being threatened by magazines or newspapers. I'm referring to office machine and printer companies entering the managed services profession. This trend is real, it is global, and it has the potential to challenge the dominance of a lot of established MSPs in the market today. I'll explain.
What's the Threat?
Years ago, the conventional wisdom was that telecommunications companies would drive the MSPs out of business. Obviously that never happened.
But, the world has changed since the days when telcos roamed the MSP planet. Printer and office machine companies have been around for decades. These businesses pre-existed IT and have a wealth of business management experience. These are companies with deep roots in the business community and know how to run a profitable enterprise.
The office machine companies of yesteryear are dying, however. Moreover, they know they are dying. Owners of these companies are desperately searching for the next big idea to take their businesses into the 21st century. And, many owners have found the solution: managed services!
Buying Their Way to Success!
Most VARs fought a long and hard battle to become MSPs. I personally witnessed this transformative process over a decade in the early 2000s. The resulting MSPs were battled hardened and had the scars to prove it.
Office machine companies don't have the luxury of time. They need a fast entrance into managed services and cloud computing. They need speed, agility, and a ramp up time that has never been seen before in our profession. What do they do? They buy their way into managed services.
Office machine companies have been purchasing MSP businesses for a few years now and what makes this unique is that these companies don't need lessons on business management. They've been running successful companies for decades.
What these companies need is technical knowledge and talent to allow them to bring new services to existing customer accounts. This means MSPs offer office machine companies the path of least resistance to a new world of cloud and managed services offerings. It means a renewed lease on life for an outdated business model.
