Surveys show that customers of all sizes want to change their business for the better, whether to become more responsive, more competitive, or more profitable, with technology being the obvious tool to implement change. The demands on channels to accommodate this customer demand and to come up with long-term solutions that deliver results have never been higher, and the competition at all levels is strong. They certainly recognise that recurring revenue is a major catalyst for market growth and viability, and channel players that don’t have solid recurring revenue based models will soon find themselves at a serious disadvantage, but the challenge remains, both from established service providers, and the wave of newcomers – some born-in-the-cloud, some transitioning from traditional channels.
Internally, managed services companies face the challenge of new revenue models, adjusting sales remuneration and a new level of continuing customer engagement. They must also build relationships with their own suppliers, given that there is a need to keep both themselves and their customers informed on new developments and other challenges, include security threats.
Externally, channel partners need to build a marketing approach that will work towards building the customer relationship at all levels in the customer; this may need a new approach, sometimes a new language. Increasingly managed services are offered as part of a partnership with other suppliers, so there is a need to build links and close working relationships with other organisations. And of course, top of the list of concerns for both the customer and the channel providing services, is security, with fear of a breach being both an issue for those supplying or using managed services, and also a sales driver, with managed security a huge part of the portfolio.
Faced with all these changes, channels have been looking for answers and, for the last seven years, finding them at the annual Managed Services and Hosting Summit which brings together service providers, vendors, distributors and experts in various fields to exchange ideas. Many have reported it to be a most valuable day as they discover ideas and new thinking from those who have already trodden the path and found a solution, be it on, for example working across country borders, establishing secure working, recruiting and keeping staff, or building value in the managed services business itself.
In 2017, the UK Managed Services and Hosting Summit has attracted the widest and largest list of sponsors in its history and is building an agenda to bring out the best ideas as well as cover imminent compliance challenges such as the introduction of GDPR in Europe. With researcher Gartner again presenting the first keynote, the Summit will hear about the very latest findings on the rapidly developing managed services industry, both in terms of customer issues and about how the channels are delivering against rising expectations.
Another topic being repeated this year is the mergers and acquisitions discussion, with experts in the field bringing attendees up to date on the hottest M&A sectors, and what buyers are looking for in a business. With plenty of new money coming into the industry in 2017, owners and strategic advisors need to know about the building and measurement of real value in the managed services business.
Other key issues to be considered on September 20th in London are:
What the new digitalising client wants and expects
Research shows that customers are investing in technology and this will increase as they explore more detailed digitalisation of their organisations. But the questions being asked of channels are very different; technology services suppliers are expected to have answers.
Building a solution stack and consultancy model
In a market facing commoditisation and global competition, technology providers have to differentiate what they do from the rest. We have a number of established service providers revealing their “secret sauce” and how they enjoy margins that traditional IT can only dream of. How does the traditional IT reseller create the new sort of business? Which technologies are in the stack and which tools ease the transition? Where and how can skills in the new model be acquired and built? What sort of organisation works best in this world?
The ever-growing demands for security
Facing not just the traditional threats, customers are expecting a much wider understanding of particular aspects of malware, back-up and it implications, cyber-security, risk analysis and regulations. Channels need to have a much wider grasp of concerns, and be able to deliver answers.
The impact of new legislation and compliance rules
Not just GDPR which comes into effect in 2018, but how the rules are imposed in different sectors and regions of the UK and Europe. How the channel works with the new layer of compliance officers.
How the new business creates value and how this value is measured
Where does the value lie in the asset-light business? How is it measured? Using those tests, which are the sectors which are valued in the market? What is the M&A timetable for growth and exit?
The Managed Services & Hosting Summit 2017 features conference session presentations by major industry speakers and a range of breakout sessions exploring in further detail some of the major issues impacting the development of managed services. The summit will also provide extensive networking time for delegates to meet with potential business partners. The unique mix of high-level presentations plus the ability to meet, discuss and debate the related business issues with sponsors and peers across the industry makes this a must attend event for any senior decision maker in the IT channel.
