MSPs Are Letting Cloud Opportunity Float By

It’s time for MSPs to go all-in on cloud. A recent Techtarget survey found that over half of surveyed managed service providers were not offering any cloud services. No backup in the cloud, no managed cloud migrations, nothing. CompTIA discovered 44% only provide cloud services upon request.

Why are most MSPs holding out on cloud? One reason could be that reselling cloud isn’t always as profitable as providing consultation or hardware sales. But that reasoning won’t hold up as hardware sales continue to decline and more companies understand the value of cloud. Some surveys claim that 90% or more of companies are using or plan to use the cloud in some manner. But 32% also report that a lack of resources and expertise is stopping them from taking the plunge.

Managing cloud infrastructure and guiding customers in their cloud journey are both strong opportunities for MSPs. Those holding out on implementing cloud services risk missing out on the future paradigm.

What's the Hold Up?

The Techtarget survey and several others also point to a troubling fact: the MSPs that are offering cloud services aren’t generating much revenue from them. Both Autotask and Techtarget found that less than a quarter of revenue came from cloud services.

Most experts attribute this to a hesitant embrace of the cloud, if the cloud is being used at all. MSPs tend to describe themselves as consultants, jacks of all trades, ready to help with whatever your technology problem may be – but without offering concrete options and solutions. Instead of waiting for the cloud opportunities to come to them as more common businesses learn about the cloud, MSPs must start approaching their customers proactively and presenting the benefits.