The backup market is rapidly growing, and managed service providers (MSPs) are interested in leveraging this demand to drive sales and revenue. However, selling backup services requires a slightly different approach than selling other types of solutions. When done right, backup sales can become a fast-growing and profitable business. Following are four strategies to help MSPs successfully sell backup.
Leverage existing specialties. Many MSPs have a specialty vertical, market, or other niche audience. It’s important to work this angle and customer base, as those companies already regard the MSP as a trusted partner. Use inside knowledge of that audience to emphasize specific concerns that backup solutions address. This may include regulatory requirements or relevant news related to data management in that industry.
Sell the mindset, not just the technology. Backup solutions are about more than just data availability; what backup really provides is confidence. Businesses need to be sure that their critical data and programs will be available in the case of a disaster, and in turn they want to be able to convey that confidence to their customers.
Understand the pain points that matter to the buyer (such as security or availability) and help companies understand how backup solutions can mitigate those concerns.
Bundle backup with other solutions as an upsell and cross-sell strategy. Backup solutions pair well with data protection software, anti-virus tools, and other cloud-based solutions such as file sharing. Offer a combination of these solutions as a package deal to urge customers to try new products.
An additional benefit of this strategy is that it gives customers a broader product base across which they are buying from their MSP, resulting in more business and potentially higher customer retention rates.
Identify a competitive advantage. It’s critical to stand out in today’s market. But not all MSPs are created equally; identify a differentiating trait and work it into marketing and sales initiatives. This distinguishing point can either be something about the company (perhaps the offered SLAs are better than current industry standards) or about the solution (perhaps establish a reputation as a security-focused provider). Or, get creative with marketing and branding efforts to ensure the offering stands out from the crowd.
Implement flexible pricing strategies. Creativity and flexibility can be great strategies for winning more sales. It’s very important to understand the pricing structures that customers want and need, and make real-time adaptations to meet those needs.
Consider offering a variety of pricing metrics and packages, such as fixed fee, per-device, or per-gigabyte. Providing customers with the maximum amount of choices increases the chance that they will find a model that works for them.
It’s a great time to be in the business of selling backup services, but the sale has to be approached in the right way. By implementing strategies like emphasizing specialties, selling a mindset, bundling, advertising differentiators, and remaining flexible with pricing, MSPs can better tap into the increasingly profitable market for backup services.
eXemplify can help MSPs better navigate the world of selling backup and provide guidance on driving more business. Contact us today to see how eXemplify supports MSPs selling backup solutions with our expert tips and resources.