It happens without fail each year at around this same time. MSPs everywhere are busy planning for 2013. New service offerings are being developed, existing offerings are being improved, and technology vendor relationships are being re-evaluated and cultivated. The future of managed services (and cloud) remains strong but there are plenty of pitfalls and hazards to be aware of if you want to successfully navigate 2013 and beyond.
Financial
Managed services has always been, at least in part, about saving customers money. 2013 will bring this topic to the forefront of many managed services discussions. MSPs will need to be particular attention to customers who are singularly looking at managed services and cloud as a way to save money. This could be a trap for many MSPs who don't know how to effectively address these issues without getting pushed into a commodity role.
Partner Selection
The days of easily selecting your technology vendors are now officially over. Vendors that sell managed services and MSPs who sell through the channel have all but eradicated the old ways of the channel. That's the bad news. The good news is there are plenty of solid companies out there who would make great partners and are looking for good MSPs...you just need to find them. Whether you are looking for hardware/software vendors, outsourced NOC & help desk, IaaS, a vertical partner, or some other form of boutique service or capability, there are many companies from which to choose…just do so carefully. Read the next point!
Fake Providers
Our profession has always had its share of unqualified companies trying to sound legitimate. These "wannabe" companies are both vendors and service providers who say all the right things but cannot seem to deliver. 2013 will see a big increase in those types of companies making a push into the channel, primarily through cloud. Cloud computing is the new gold rush and there is no shortage of companies who will say and do anything in order to cash in on this lucrative and growing market. MSPs need to be vigilant in their due diligence of new partners so they won't get taken advantage of or harmed in any way.
Transparency
This is not new to 2013, but the stakes have never been higher for MSPs to be transparent. We have reached a point in our profession's history where MSPs can no longer hide under the claim of technical confusion. Everyone knows about cloud and managed services today. This means the days of working in the shadows is over and the days of operating under the bright light of transparency and accountability are now upon us. MSPs need to be open when it comes to telling customers how they do things. Customers are becoming more educated when it comes to cloud and managed services and MSPs can no longer shield their internal practices from the outside world. MSPs need to practice operating as if they were under constant scrutiny…most importantly because they are!
Regulation
For the last few years it has been clear to me that regulation of managed services would not come directly but indirectly. This means there would likely be some issue that grabs the public's attention to the point where MSPs would be indirectly put under the microscope of government. The new US health care law is a perfect example of how this could happen. Data privacy and security surrounding electronic medical records may well be the linchpin for some body of government to begin regulating how MSPs interact with this type of data. This could also include regulating how MSPs need to operate and maybe even who gets to call themselves a MSP! Don't laugh. Anything is possible. This trend is not just happening in the US but all over the globe. MSPs need to get involved and ensure that they remain in charge of their future.
Security
Managed services has always been about protecting data. Today, it is safe to say cloud and managed services are tightly fused with the notion of securing information. MSPs who solely focus on monitoring only may find it increasingly difficult to remain competitive in 2013 and beyond. Adding security services to your portfolio might just be a career saving decision.
In summary, I do not believe anything in 2013 will happen that we have not already contemplated. I do believe that many of the ideas we have been discussing as an industry for the last decade are now becoming reality. Ideas like regulation, transparency, confusing channel relationships have been debated at countless MSP events in years past. Today these issues are looking like they will become reality, at least some of them.
The good news is managed services and cloud remain one of the most vibrant, powerful, and growth oriented professions on the planet. MSPs who are positioned for growth and have sufficient resources to adapt in 2013 will be the ones who survive and prosper.
