Nov 15, 2016
What to Expect in a Managed IT Sale
Time is Money
Running a successful MSP business requires proper time management. If time is truly our most valuable resource, then we want to make the best use of it. In a traditional Managed IT deal, how much time does it take to get to the proposal? Better yet, how much time is actually invested to get to the proposal?
Setting aside the full 36 month value of a deal, and setting aside the opportunity cost of your SME and Engineer working on other projects… A traditional Managed IT deal can take two, sometimes three weeks to walk through the full sales cycle. For a minimum wage employee, this investment adds up to over $1,000. However, we are not dealing with a minimum wage employee, nor is just one employee involved in this process. You now have several thousand of dollars invested in this one deal. This begs the question, “When you walk into a proposal, are you ready to present or to close the deal?”
Think of all the steps, the amount of time invested, the resources consumed before you present your proposal. What have you done to get this far?
- Completed the quick qualifier.
- Scheduled and performed the first appointment.
- Sold the assessment and set expectations for the next steps.
- Performed both the business and technical assessment.
- Created a solution to fit your customer’s needs.
- Finalized your cost justification.
- Filled out the application to present, and ensured the 5 pre-requisites of a sale have been met.
- Performed pre-proposal meeting.
(What are we at here, 2-3 weeks of work for both your SME and Engineer? That’s a lot of time and money invested.)
Fast Forward to the Proposal
It’s game day. All the right people are at the table, and the proper expectations have been set! You deliver a flawless presentation, and handled all of their anticipated objections. You've gained agreement from everyone present that:
- Your solution meets their needs.
- Your service sounds incredible and solves their problems.
- The value you provide justifies the cost.
All that’s left is to close the deal. Your next step is to hand over the agreement you’ve so kindly prepared, and… go ahead, ask for that signature!
About The Author
Jake Wagner, an Account Manager for Collabrance, is responsible for sharing, coaching, and training partners on Managed Services best practices. Jake is a great resource providing value to help partners achieve greater success in their business. Jake graduated from the University of Dubuque with a bachelor’s degree in Business Marketing.