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A Proven Approach to Convert Your Break-Fix Clients to Managed Services

24 Jun, 2015

Kevin Gibson, Senior Product Manager & Evangelist for LabTech Software, is blogging great information on converting to Managed Services. According to Gibson:

Everyone needs support. But if you’re not meeting your customers’ support needs, they’ll find someone who will. When I think back on my own MSP business, I remember alienating more than a few potential customers during our transition from break-fix, because we were only offering managed services plans.

But some customers just aren’t ready for managed services. It took a while, but I eventually figured it out and turned back to the break-fix model to help convert legacy customers and new prospects over to my fully managed model.

While there are businesses here and there that will never need managed support, there are countless other businesses that absolutely DO need proactive monitoring to keep their company’s network safe, secure and operating at maximum efficiency.

The problem? Oftentimes the business-owner thinks it’s “just fine” to pay an hourly rate when something breaks or when a specific need arises.

Your challenge—and responsibility—is to show this client why managed services is the most efficient and effective way to maintain their network. The key here is using the break-fix model combined with a freemium offer. If done right, you build a constant cost basis for the client, as well as point out notable issues that would routinely be fixed as part of your proactive managed services plan.

Here’s how I did it in my MSP business:

Establish a Free Monitoring service:

  • Install an agent on EVERY PC you service, no exceptions
  • Offer free “tech” alerting to every break-fix client and every new prospect
  • Use LabTech (or your RMM solution of choice) to customize alerts for no contract customers [TIP: LabTech Ignite® makes this a breeze with 19 built-in monitors pre-configured for No Contract groups]
  • Integrate your Autotask or ConnectWise PSA solution with your RMM platform to enable automated client alerts, workflows and auto-remediation to facilitate the entire process
  • Charge the clients a quarter of your hourly charge for each fix, even if the fix is automatic and a tech never touches it

After your Free Monitoring service is up and running, getting your break-fix clients to make the switch to a fully managed plan is simple:

  • Concentrate your efforts first on the clients that are quickest to respond to your automated alerts
  • Calculate their average monthly billing under the Free Monitoring service and compare it to the cost of your monthly managed plan; the difference is pretty small

Nothing is more effective when closing a sale than being able to provide a powerful demonstration. And for literally pennies a day, you can provide your break-fix and prospective customers with an incredibly compelling demonstration of how effectively you can keep their network running at peak efficiency for just a little more than they’re already paying. It’s a win-win! 

For company information visit http://www.labtechsoftware.com

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