My work at rhipe focuses on mobility, so when Microsoft created the Microsoft 365 bundle of products, I was instantly excited at the prospect it presents for partners.
In the last few years, customers have been consuming Windows 10 and Office 365 to achieve increased productivity, security and compliance benefits. In turn, partners have had to adapt to how these products affect their ability to provide differentiated managed services, both today and strategically.
With productivity, security and compliance key to partner and customer success, I believe Microsoft 365 should be at the core of service offerings across most of our channel as the bundled products will be at the core of your customers’ technology strategy.
Why would a service provider want to sell Microsoft 365?
Microsoft 365 was created to drive customer value, and that principle allows partners to increase their revenue and profitability by activating, upselling and creating additional complementary services. In turn, this creates additional stickiness, higher win rates and bigger deals for partners.
To help identify additional upsell opportunity, I always encourage partners to consider creating augmented turn-key offerings with different services and products included. For example, standard, gold and platinum services, each with different levels of product and managed services included. These can include support levels, backup and DR service levels, as well as Microsoft 365 Business and Enterprise SKUs and products from complementary vendors.
Did you know? There is a 5% Microsoft CSP incentive accelerator for partners selling Microsoft 365, so if you’re already a CSP partner, you can add an additional 5% margin to the potential from creating Microsoft 365 services.
Microsoft 365 Revenue Prospects – an Analysts’ Perspective
Forrester Consulting conducted a Total Economic Impact (TEI) study to assess the prospects for partners building services around Microsoft 365. The revenue and profit opportunity analysis included the following;
|Anticipated increase in revenue from Microsoft 365 Collaboration solutions and services, per user (pa)||Anticipated increased profit from Microsoft 365 collaboration solutions and services, per user (pa).|
Average gross margin on end-to-end Microsoft 365 collaboration solutions.
A Complete Offering?
Throughout my 22-year career, I’ve attempted to analyse the broader business impact of providing elements of the capability within Microsoft 365, as individual offerings. The reason for this intrigue is the common challenge - how to create efficiency with scale, while also being able to create end-to-end offerings.
Often, it seemed that the solutions I wanted to create were either too complex or too hard to sell. I believe Microsoft 365 has the right balance of capability and cost to make that challenge a thing of the past.
Now, partners can create secure modern workplace solutions with minimal effort, at low-risk, almost no capital expenditure and high reward potential. Is it a complete solution? Realistically, no. There will always be requirements for a service provider to add additional value, but this is a positive, it is your opportunity to differentiate.
What does Microsoft 365 provide a partner?
The core principle of Microsoft 365 is to help partners with;
- Innovative, streamlined and strategic Microsoft solutions
- Increased service provider efficiency using integrated services
- Reduced risk with enterprise-grade security capability
- Long-term strategic alignment with Microsoft
- Long-term revenue streams
- Lower operational costs
- Offer increased productivity and security to customers
- Win more business
Will Microsoft 365 help a partner address new markets?
With Microsoft 365, partners can address new markets quickly and efficiently with a productised go-to-market strategy. Focusing on mobility, security and compliance, the possibilities are endless, with significant parity across many markets making it easy to bundle unique offerings.
For example, data security and compliance is an important topic for service providers. 68% of businesses collect personal data today, which provides partners with a great opportunity to go-to-market with services targeted at data security and compliance.
Additionally, many of the global data security standards, including GDPR, and the newly applicable Australian Privacy Amendment (Notifiable Data Breaches) Act 2017, create compliance requirements that mean many markets have to consider using the same technology. Microsoft has invested heavily in creating regional and national Cloud services that help businesses with these types of compliance issues – including Azure and Microsoft 365.
What is Microsoft 365?
Microsoft 365 is a bundle of Microsoft products that businesses use in their workplaces, including three core products;
- Office 365
- Windows 10 Enterprise
- Enterprise Mobility and Security
- Microsoft 365 Business
- Microsoft 365 Enterprise E3
- Microsoft 365 Enterprise E5
Key Customer Value Proposition
The key to success for any service provider is understanding their customers’ business. If the partner is focused on target markets, it makes it easier for the partner to go to market with specific use cases, white papers and references to solutions that are known to deliver tangible outcomes for those markets.
Focusing on the relevant key requirements in your go-to-market strategy will help drive opportunity through targeted campaigns, as well as encouraging deeper engagement with your customers and prospects.
How does this translate into the key customer value proposition for Microsoft 365?
- Streamline costs with evergreen software including Windows, Office, collaboration and security tools
- Increased productivity through collaboration and integration
- Secure mobility with Windows 10, including VDI, and Enterprise Mobility Suite
- Data Protection with Advanced Threat Protection
- Flexible working including bring your own device (BYOD)
- Reduced Management with Autopilot and Azure AD Auto-Enrolment
Microsoft, rhipe and our partners
At rhipe, we’ve also been investing extensively in creating services dedicated to helping partners accelerate and grow their business, regardless of their target markets or the services they offer. We have a team dedicated to helping partners create differentiated modern workplace services, with extensive skills, collateral and turn-key offerings to help partners go-to-market efficiently, with confidence.
We provide cloud Support services, marketing services, and we have a team of highly certified technical and sales enablement specialists helping partners innovate by building or transforming services using Microsoft 365 today.
We’re ready to win with Microsoft 365, are you?
If your business is considering selling Microsoft 365 services, we’re ready to help you on your journey, from concept, to strategy, enablement and marketing; we can help your business move quickly and efficiently.
If you’d like to know more or have questions, please don’t hesitate to get in touch with your account manager. Alternatively, you are welcome to contact me directly using the information below.
rhipe Microsoft 365 Product Page: http://info.rhipe.com/csp/solution-products/microsoft-365/
rhipe Modern Workplace: http://cloudsolutions.rhipe.com/solutions/the-home-of-your-modern-workplace/
Microsoft 365 Partner Network: https://partner.microsoft.com/en-us/marketing/microsoft-365-business
Microsoft 365 TEI Forrester Report June 2017: http://rhi.pe/forresterm365
Microsoft CSP Partner Incentives: https://partner.microsoft.com/en-us/membership/partner-incentives
Thanks for reading!
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