Home Trending “COVID-19 Impact and Response Report” Indicates Hit on MSP Business

“COVID-19 Impact and Response Report” Indicates Hit on MSP Business

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COVID-19’s impact has upended the global supply chain, and regional stay-at-home orders have severely curtailed economic activity. Many companies across all sectors are taking a significant revenue hit, and this includes MSPs (Managed Service Providers). Some clients will face difficulty maintaining services because of the cash crunch, while others may go out of business. MSPs are playing a crucial role in protecting businesses and ensuring business continuity during the current scenario.

Recently, SolarWinds (an IT Management Software Company) surveyed 500 MSPs across Europe, North America, Australia, and New Zealand; to gain insight into how MSPs are successfully navigating the impact of COVID-19, and their views on the next 12 months in the market. 

Key Findings of the Report

According to the report, about 59% of MSPs have applied for relief programs facilitated by government. This clearly reflects on the current scenario and states that MSP business has been hit hard by the pandemic. MSPs have also gone an extra mile to support their clients, the report suggests that the number is close to 66%.

In terms of challenges, the surveyed MSPs that believe the biggest hurdles for the next year are — securing new customers, social distancing requirements in the office and at customer sites, lower IT budgets and spending due to recession, and adapting to staff and clients working from home.

MSPs have also focused on implementing different strategies to help customers. On this front, 65% of MSPs do not plan to change prices for their services. Not just this, 24% have offered delayed payments and 23% have offered temporary discounts to the customers.

Colin Knox, Vice President of Community at SolarWinds MSP, said, “to see the overwhelming majority of MSPs retain their staff during a time period characterized by uncertainty is truly heartening, especially given the important role MSPs have played in helping businesses digitally transform. The technology industry, and the channel, is resilient but also resourceful, and this crisis has re-enforced the value MSPs bring to businesses. Without MSPs as an extension of the team — focused on risk mitigation and business continuity — many businesses would have been lost, and wouldn’t have been able to support remote working on such a vast, immediate scale. The knowledge, expertise, and skillset of MSPs has been crucial in this changing climate. They have truly become essential.”

Security is the main focus for MSPs

MSPs are forced to compromise with some quick fixes. People are connecting from a wide variety of devices — and a lot aren’t under the management of a corporate network. Some are even shared with family members. This jeopardizes the integrity of networks and increases potential risk. We need to ensure that these remote devices are held at an arm’s length. MSPs look forward to provide secure services for different use cases, and that too within the customers’ budget.

Amit Suhag
Amit Suhaghttp://cloudmanagementinsider.com/
Amit Suhag is the Senior Editor and Cloud Evangelist at CMI. He is a tech writer covering history, news, recent developments, events to everything around cloud technology. All opinions are his own.

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