They want to buy 365 direct – fight it, or accept it?

The podcast powered by the MSP Marketing Edge

Welcome to Episode 291 of the MSP Marketing Podcast with me, Paul Green. This week…

• They want to buy 365 direct – fight it, or accept it?: If a client wants to buy 365 direct, it’s not necessarily a bad thing… it could actually become a massive sales opportunity for your MSP.
• Should your MSP start a podcast?: Lots of MSPs have asked me for advice on setting up a podcast, and yes, having a podcast can be an insanely powerful marketing tool. But should you do one? Let me help you answer that question.
• Ask these questions to pick an MSP marketing agency: Many MSPs hate marketing and they hate agencies even more. My guest is going to tell you the specific questions you should ask a marketing agency to separate the good guys from the bad.
• Paul’s Personal Peer Group: Have you ever considered sending an impact box to prospects? Find out what you should include in yours.

They want to buy 365 direct – fight it, or accept it?

Are these clients for real? They want to switch to buying 365 directly to save a couple of bucks a month. This is a scenario most MSPs face at some point, but should you fight it, try and educate them or let them just do what they want? What if I told you this wasn’t necessarily a bad thing and could actually become a massive sales opportunity for your MSP.

As someone who doesn’t personally have to deal with 365 and all the licenses and NCE and all of that, it does look to me like Microsoft has made it as hard as possible for you. That whole NCE thing is a massive pain, right? And especially if you have a client where you’ve made an annual commitment and then of course they hit you a few months in that they want to buy directly, and that just creates a headache for everybody.

It’s not like 365 is a high margin item for you, but from the client’s point of view, 365 is right there at the core of their experience.

Outlook and Teams and Word and Excel, these are all applications that most businesses use multiple times every single workday. So they want them to work, they want them to be productivity tools, not pains in the backside tools, and I think that’s a basic and perfectly understandable requirement of any business owner or manager today. Don’t you agree? So if someone wants to move the licenses away from you, buy direct and save themselves a couple of dollars per user per month, what should you do?

I’ve asked a few MSPs this question over the last couple of weeks and some of them have said that you should just roll over and you should just take it. So invoice them for any out-of-pocket expenses caused by NCE. Make sure they know how that’s going to affect the direct support that you give them and then let them go off and buy it from elsewhere.

Others have said that you should fight really hard to keep everything under your jurisdiction. Isn’t that the point of a managed service provider that you are looking after all of their technology? And that starts with the very basic help desk functions and goes right up to their technology strategy. Now if you don’t have some level of control over everything in between those two items. help desk and strategy, then surely you’re making your life harder than it needs to be and that must have an impact on the service that you can deliver to them and the service that they’ll enjoy.

So maybe the message you want to send them is telling them all the downsides, all the bad things that could happen, like the fact they’ll have to de...