The MSP industry is constantly changing and demands that MSPs are forever adapting too. The common belief is that MSPs should be fluid and cater to multiple industries and clients. After all, putting the eggs into one basket is something that should be avoided.
But in the cast of an MSP, should that happen? Are there benefits to being an expert in one vertical? Yes, there is and one of the biggest reasons is cybersecurity.
On the surface that makes sense. Crises encourage change and expectations that existing solutions will improve over time. When companies invest to capture market shares during downturns, research shows this accelerates their own recovery and position. Where things stand right now, MSPs can generally benefit from this. Here is why.
Cybersecurity Is Taking Center Stage
In 2021, headlines in the news were talking prominently about cybersecurity issues. Many small-to-medium-sized businesses were made vulnerable from more frequent cyberattacks. It reached a point that in the MSP world, an overwhelming majority of SMBs would switch to other MSPs if they offered the ‘right’ cybersecurity solutions, according to a Connectwise report. That same report also stated that 86% of SMBs were making cybersecurity a priority.
What this behaviour shows is that cybersecurity services aren’t being regarded as an option, but a necessity. This comes complications. For an MSP to protect customer data from cyberattacks, they must have the infrastructure to protect themselves. This results in MSPs asking whether the existing cybersecurity strategy is enough to help clients succeed, have security, and control business risks.
This incentivizes verticalizing an MSP as they climb further in the IT/Business value stack rather than offering a little value over multiple aspects. And when an MSP clearly communicates that they add more specialized value – especially in the IT and cybersecurity space – then customers will be willing to pay for that value.
Cybersecurity Isn’t An IT Issue, It’s a Business Issue
One of the other roadblocks to MSPs is talking about cybersecurity in the first place. Many business owners assume that when paying for an MSP, they’re paying for cybersecurity too. And that already is a miscommunication.
MSPs and IT services feel synonymous because of how it’s been presented and marketed. The reality is MSPs aren’t always built for cybersecurity. They are there to help their client’s business grow. Hence why they offer services like backup and disaster recovery but not cybersecurity.
In the end, there are a lot of miscommunications on both ends and an MSP can grow if they’re willing to have hard conversations with clients. These conversations can entail what risks the MSP is taking and what risks the customer is taking. Furthermore, an MSP being able to articulate the value of being more secure and recognizing security brings growth to both client businesses and the MSP too.
About MSP Corp
MSP Corp understands you’ve worked hard to build your business and you want to protect it. With a mission to be a world-class business partner for MSP owners across Canada, we actively seek to acquire and partner with owners looking to secure the value of the business they have built and provide a seamless exit process that ensures business continuity and employee and client stability.
Contact us today to learn more about selling your business and maximizing its value.