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How do you discover your corporation’s place within the managed providers world?

How do you find your business's place in the managed services world?

Our industry is changing. The technology channel is changing, led by a combination of new technology models and customers who like to use these models. But this will also be the simplest definition of that change because things will only get more complicated.

Customers often don’t know how to use these technologies to achieve their goals. Vendors, banks, and other key elements of the channel ecosystem do not necessarily have the processes in place to support industry change. And most importantly, service providers like channel SMEs don’t know how to adapt to the new market.

Today we will deal with the last question first: How can smaller channel providers adapt to a changing industry? How are they changing to offer new types of services and support and ultimately to become managed service providers?

It’s not a moot point. From the customer’s point of view, selling hardware is no longer enough. If you want to be part of their business, you often need to have more skills or support more complex service level agreements. Customers want the value and opportunity that the newer market for flexible and modular technologies offers. Only broadcaster providers who change can meet this expectation.

But it’s not a change that you can make overnight, and it’s hard to tell when that change would happen. If your traditional business is still going strong in terms of revenue streams and your consumption-based business is still growing slowly, then when will you hit the tipping point? Will you ever achieve it How do you promote it without compromising your bottom line? Is that even possible?

These are difficult questions with no obvious answers as there is no one specific right way to go about this. Acquiring new skills and products is risky, especially if it is a major lynchpin of what your company is used to. The wrong choice of skills or wagering on one vendor can crash an SMB vendor.

Part of this is because the digital transformation is ambiguous. I see it as a tailor-made jacket – you have to keep adjusting and changing the jacket before it fits properly. And sometimes we get lost in the details and then don’t see digital transformation for what it is. The current transformation triggered by the pandemic could be artificial. People who work remotely are not a transformation as they are not changing the business model. Once everyone has a laptop and a dongle, it’s back to the point. The fundamental digital transformation must be the company transformation. A broadcaster who does not understand this will always chase after surface trends.

How do you avoid being one of these companies and instead intelligently manage your transformation to services? Start by seeing what your customers are talking about. What are your ambitions in terms of cloud, digital consumption and managed services? Also, take a look at what non-customers and competitors are up to. Look for deep trends that won’t fade once things have calmed down.

Then take the second (and more difficult) step: evaluate your own business. Idleness within your company and clinging to existing sources of income will be your biggest obstacle. It can stunt the transformation of your skills – and your skills need to be dealt with. If you don’t have digital skills, your new business cannot transform digitally. And you certainly can’t help your customers transform their business.

These are difficult questions and difficult decisions, which is why Axiz is taking action to reduce some of this risk. We asked how we can help our partners – especially SME channel providers – to adapt to the new market requirements. Having focused on this strategy for several years, Axiz is now able to pool capabilities and services and distribute them so that our resellers can make the transition at their own pace or at the pace of their customers. We also provide business advice, opportunities, deal management and financial assistance to our registered small business partners.

If you want to find the place of your channel business in the new channel market, look for these profound trends among your customers, non-customers, and competitors. Assess the direction, appetite, and resistance of your business. Take stock of the skills you will need. And get in touch with Axiz – we are also transforming our business, and that includes better supporting our partners in a rapidly changing world. Let us help you expand into services and take advantage of the new market opportunities.