How We Turned Office 365 From A Threat To An OpportunityDan ScottService Delivery Manager

22nd September 2014

Quite a rarity…

How We Turned Office 365 From A Threat To An Opportunity

Complete I.T.

NottinghamPeterboroughOxfordHigh WycombeLondonBristolSwindon

• Founded: 1992

• Offices: 7

• Team Members: 110

• Clients: 370

• Turnover: £10 Million

• September 2013

• Active Clients: 80

• Active Seats: 6000

Agenda

1. Recurring revenue products and their importance in IT Managed Services.

2. Office 365 and Complete I.T.

3. IT MSP Businesses in a world without tin.

Recurring revenue products and their importance in Managed IT Services.

Client Growth

?

Backup and DR

Project

Office 365

MAX RM. Mail

Managed Services Contract

Increased revenue

Client Retention

Just MS is not enough

Office 365 and Complete I.T.

SBS Retirement

• Catalyst for us to change

• Could have be viewed as SME channel ‘betrayal’

• OR – An opportunity to introduce our clients to productsand services with functionality that was previously out ofreach and is a new line of recurring revenue.

Opportunity

vs

Office 365 Opportunities• It’s new, it’s recurring revenue and it’s a talking point!

• Accessible – easy, manageable monthly payments.

• Feature rich - Exchange, SharePoint, Lync, Yammer, OneDrive for Business, Office 2013

• New Opportunities - We have replaced a large proportion of our outstanding SBS2003 estate – Office 365 was the driver.

• Hybrid deployment with Server 2012 – there’s still on premise kit!

• Flexibility and elasticity of a SaaS Product

• You own your clients

Vendor Engagement

• CIT is a people and communications company – clients and suppliers.

• Vendor engagement – be a partner, not just a customer.

• We view Office 365 in the same way as GFI MAX – it’s not just a product we buy, it’s an integral part of out business that we invest time in

• Working in partnership with Microsoft we have:

– Held staff training and a client event at Microsoft HQ

– Run joint programmes for Marketing and Business Development

– Worked together to the benefit of both businesses

Jimmy’s Iced Coffee• Referred to us by Microsoft

• Funded by Microsoft

• Licensing Revenue

• Project Revenue

• Support Contract

• £0 cost of conquest

Office 365 = Opportunity

What’s most Appropriate?

• Whatever solution is mostappropriate for theclients business.

• One solution never fits all.

• Always listen, learn andadapt.

IT MSP Businesses in a world without tin.

Evolution

Stages

PAYG MSP

???• Turned Up

• Did a job

• Got Paid

• Contracts

• Recurring Revenue

• No boom and bust

CSB

• Recurring XaaS

• One off projects

• Consultancy• Different means,

same end

Cloud Services Broker

DCApp,File,Print

MailCloudIaaS

LOBAppPaaS

AppSaaS

Time for a change

JAN FEB MAR APR MAY JUN JUL AUG SEP OCT NOV DEC0

2

4

6

8

10

12

Pay-As-You-Go vs. Managed Services Re-curring

PAYG MSP

Hardware vs. Services

Sales

Contract HW/SW Service Project

Sales

Contract HW/SW Service Project

Recurring, dependablerevenue stream

Unpredictable, one-off

Effect of Office 365• We trade in the great month of a new server project (That we ,may

never get again anyway!)

• Instead we add to our recurring revenues and still receive the one off migration project.

• We have won clients because other MSP’s either won’t offer Office 365 as an option (The client has heard about it). Or because implementation or support has been poor.

All Change…