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Welcome to the first blog post of 2023! Humanize IT is taking a look into the crystal ball to see what the New Year will bring.

In order to adapt to any new year, MSPs must look at the economy and the events that are coming up, and align the company accordingly. Based on this, we predict that in 2023 services are going to be the most important thing MSPs can offer.

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We are in a recession, and the cost of goods is increasing. Is 2023 really going to be a good year to buy assets? We believe it is better to push asset purchases to 2024 (when they will likely be more reasonably priced) and instead focus on services that will help your clients get through the year. When you sell services to your client, you can help them save money on assets, and you’ll be making more money, too.

Sometimes, when considering your company’s game plan, it gets a little too easy to be selfish and look inward to find what will bring you success. Try looking at success from your client’s perspective. What can you do to bring them the same level of success? When you center your plan around your clients, you’ll generate the revenue you need while helping them to thrive. Remember, if your customers don’t have money or their businesses are failing, they’re not going to help your MSP be successful. They’ll be late on payments, cut back on services, etc. However, when you find a way to help your client save money, it shifts those costs – rather than cuts them – to a higher margin service for you. You’ll be making more money, the clients will save money, and everyone will win.

Another thing: as a multi-service provider, you must focus on services. My gripe with MSPs is that we have gotten so wrapped up in selling software and hardware that we have put services on the back burner. It’s easy for software and hardware vendors to accurately read the crystal ball and know how much they need to push in the next quarter, what products are coming out soon, etc. However, we’ve gotten so used to acting as a retail shop that we have forgotten how to offer services – and services are going to be extremely important in 2023.

Your client wants someone who will support the technology that helps them run their business – thus, your business will support their business. Remember, your client isn’t exactly looking for technical support. Yes, it’s technical in nature, but what they’re really looking for is business support. You need to look at it from their perspective and understand what they are trying to get out of the technical support you offer.

A great plus to selling services is that no one negotiates the cost of services. Have you ever tried to negotiate with your barber or electrician for the cost of their labor? No, and neither will your clients. Use this to your advantage. Tell your client that you will charge their goods at cost. This will establish a relationship, they won’t negotiate on the services, and they can’t negotiate on the goods since you are already delivering them at cost. You will have already built the margins into your service fees, and everyone wins.

Do yourself a favor next year and focus on delivering services. We’re in a recession – now is not the time to prioritize selling goods. Instead, increase your service offerings and start listening to your customers to find out what they need. Don’t necessarily take their needs word-for-word; they may be saying what they think they need or want. Slow down, listen to what they are saying, and understand what they truly need.

You can also listen to our podcast on Spotify and Apple Podcasts. Please follow us on your favorite medium for more great advice.

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