5 Keys To Increasing MSP Sales Part 3: Raise Your Price
By Gary Pica, President and Founder, TruMethods LLC
I hear all the time about how managed services is becoming or has become a commodity and other companies are pricing their service so low that you can't compete with them. And I'm sure you're thinking, “It's easy for you to say, but my customers in my market would never accept higher prices.” Blah, blah, blah.
5 Keys To MSP Sales #3 — Raise Your Price
If you survey the top MSPs around the world you will find one thing in common; their prices are going up, not going down. The hundreds of MSP’s that are members of my coaching program will tell you that their prices have gone up along with their ability to close new deals. Why is that?
It’s simple: you can’t deliver quality support by pricing your managed service offering too low. You are not saving your customers any money by undercharging and then delivering a watered-down product. If you truly believe that your approach to managed services is the best investment for your customers then you should deliver a complete solution and charge accordingly.
In fact, why would you even offer a lower-cost, lower-quality solution at all? Your customers are not qualified to tell you how you should deliver quality support. It is your job to tell them what technology support looks like, what it should cost and how the investment pays for itself.
Gary Pica provides weekly tips for BSMinfo.com readers. Next week, Pica’s column will discuss something only the top MSPs have: a sales focus.
The first two topics in this series are “Don’t Sell Technology,” and “Sell Your Company Way.”
ABOUT THE AUTHOR
Gary Pica is the go-to expert for growing MSP sales and profitability. His company, Dynamic Digital Services, was “early to market” in the MSP arena and quickly became one of the fastest growing MSPs in the country. Pica’s company was acquired by mindSHIFT Technologies, and he has since launched coaching and mentoring company TruMethods. The TruMethods business transformation community has provided training and support services to more than 1,000 MSPs in the areas of sales, service delivery process, business planning discipline, and financial benchmarking. Pica is regularly a featured speaker at IT solutions events.