With Microsoft 365, there’s estimated to be over $85.3 million in annual managed service revenue, over $28.7 million in annual managed service gross margin, and an average managed service gross margin of 34%.

Who wouldn’t want a piece of this action?

What is the benefit for Cloud resellers?

With Microsoft 365 there is a massive menu of value-add services, both one-off and ongoing, that you can use to strengthen your relationship with your customers, including:

Consulting opportunities

As your customers trusted advisor, you can consult with them on their journey from either an on-premise solution or hybrid cloud solution including:

  • Strategy and road maps:
    • Software and device provisioning
    • Migration and configuration
    • Customization and integration
    • Business process redesign
    • Organizational and change management
  • Training
  • Managed services

Grow with new services

New opportunities to attract customers and increase revenue with security, GDPR, teamwork, and modern devices:

  • Enable chat, shared files, and meetings with Microsoft Teams.
  • Prevent malicious email attachments with Office 365 Advanced Threat Protection.
  • Identify, monitor, and protect sensitive information with Data Loss Prevention.
  • +US$11 per user per month increased gross profit.

Increase customer lifetime value

Provide ongoing monitoring, remediation, adoption, and support services:

  • Manage end-to-end compliance processes with Compliance Manager.
  • Enable BYOD scenarios, and protect email data with Azure Information Protection.
  • Assess security readiness and remediate issues with Microsoft Secure Score.
  • 36% increase in gross profit from managed services.

Differentiate your offerings

Provide advisory services and extend the Microsoft 365 platform to increase profitability and customer retention:

  • Develop specialised offerings targeting industry-specific challenges.
  • Create repeatable tools to simplify administration and front-end access.
  • Develop value-added IP to address process automation.
  • The potential to increase your gross profit from business solutions by 26%.

Managed services are among the most important revenue stream opportunities for a partner, covering a wide range of offerings from inexpensive security monitoring services, through to full-scale technology-as-a-service turnkey solutions.

How does it benefit your customer?

Microsoft 365 customer benefits

The Microsoft 365 modern desktop is Windows 10 and Office 365, kept up to date. Making the shift to a modern desktop helps your customer to foster a highly secure workspace, empowered by the latest productivity, teamwork and collaboration experiences. More than 50% of SMB’s have suffered a data breach, disrupting trust and damaging bottom lines. Give your customers peace of mind from external threats with built-in security and compliance tools.

Built for teamwork

The way SMB customers collaborate in the workplace is transforming. To remain competitive, they need to optimise how their teams work together. With improved collaboration, SMB customers can be more productive, reduce costs, safeguard data, and enable people to work almost anywhere.

Key teamwork benefits:

  • Enterprise-class email, voice, and video.
  • Connect everyone with company-wide communities.
  • Share and collaborate on documents in real time.
  • Includes Microsoft Teams, the new chat-based workspace.

Teamwork decision making triggers:

  • Streamlining multiple teamwork solutions that don’t talk to each other.
  • Shift to a multi-generational workforce.
  • Expanding remote/mobile workforce.
  • End of support in 2020 for Office 2010, Windows 7, Exchange 2013.

Intelligent Security

Managing security updates and patches across a variety of platforms, applications, and back-office systems is a nightmare for any IT professional. Keeping everything updated without breaking the delicate connections between different legacy systems, and also having to work out how to refresh employee’s PCs and devices… that is giving us a headache just thinking about it!

This headache could be avoided with the adoption of the Microsoft ecosystem and Microsoft 365. By getting your customers to adopt Microsoft 365 they will be able to bring everything together in a simple, integrated way. How easy would that be to manage internally, not just for a new deployment, but for ongoing updates as well?

Key Security benefits:

  • Always up to date
  • Self-service deployment
  • Cloud-based management
  • Rich telemetry from your environment
  • Reduce TCO with consolidated solutions

Security decision making triggers:

  • Security breach event
  • Regulatory requirements (GDPR)
  • Renewal or compete motion
  • End of support for: Office 2010, Windows 7, Exchange 2013

How to deal with customer concerns

Will deploying Windows 10 Pro be a smooth process?

For a typical business, deploying Windows 10 takes 1/10 the installation time, uses 1/3 of the number of employee project resources, and requires only half the overall project time compared to deploying earlier versions of Windows. Technologies like in-place upgrade mean that apps and data aren’t touched, and if your applications run on Windows 7 or Windows 8, they should run fine on Windows 10 as well.

Will our employees feel engaged wherever they are?

Technologies like Microsoft Teams, Skype for Business, and OneDrive for Business come as standard and will enable your customer’s employees to streamline processes and make information sharing and collaboration easier and more transparent. You can also enable these systems and features globally, on whatever devices your employees are using. That is the beauty of Microsoft 365.

Are my customers better off going with an independent security vendor?

It really depends on what your customer wants and how much they are willing to pay. There are other security vendors out there that have a competitive solution, but your customer will have to pay the integration with their Office 365 setup adding to the cost of the overall transformation project.

Microsoft has unparalleled visibility into the cybersecurity landscape, thanks to the intelligence it gathers via its products, in use all around the globe. They have over a billion customers using their services, from consumers to businesses like yours.

Those services create trillions of data points from millions of endpoints, which they continually analyze for malicious characteristics using machine learning and behavioural analytics. And the solutions created from this dataset protect data and devices even beyond Microsoft’s own product lines, through security and management services like Azure AD Premium, OMS, and Cloud App Security.

Microsoft has also created a Cybersecurity Defense Operations Center, staffed by highly-trained security experts who work to detect and respond to cyber-threats in real time.

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