Africa-focused technology, digital and innovation ecosystem insight and commentary.
Manage episode 257533513 series 2433401
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According to MarketsAndMarkets, “The managed services market is expected to grow from over $180 billion in 2018 to $282.0 billion by 2023, a Compound Annual Growth Rate of 9.3%.” Yet despite the rosy forecast, Gartner is advising MSPs to make an investment in automation now in order to reap profitable & sustainable benefits down the road. Otherwise, they'll have to face an exit from the market "...with a strong focus on damage limitation.” It would seem the labor arbitrage game MSPs leveraged for so many years has played itself out, and now the game has changed. To better understand how to master the new MSP game, we turn to Taly Dunevich, VP of Global Business Development and Alliances at Ayehu. Her relationships with key executives at almost every major MSP, provides her with a unique perspective on the challenges they face, and what they must do to survive. Taly shares numerous key insights with us, including why the low-cost labor model that drove growth for so many MSPs is being pushed aside to make way for higher-cost services that expand an MSP's footprint with their client; why MSPs who become experts in automation will translate that expertise into more services with their clients (and greater market share overall); and what the cost reduction "magic number" is that CIO's are expecting from MSP's today.