As-a-Service” solutions have been grabbing headlines in the technology community and with good reason. The idea of providing the three prongs of hardware, software and services together in one package is something that is proving to be revolutionary.
What is an As-a-Service solution?
Quite simply it is where a typical hardware device is bundled with software and range of other services. So this may include items such as training, maintenance and deployment. This is then offered to your customers for a quarterly subscription fee.
Traditionally the IT markets have predominantly dealt in selling hardware products alone. That’s fine but it doesn’t suit the needs of the market place. Only occasionally will suppliers add additional services or software and that is usually only as a result of pressure from a big customer. But things are changing. There has been a definite shift to a new “solution-based” sale.
- Selling IT As A Service massively increases customer loyalty.
- “As-A-Service” far better satisfies the needs of your customers.
- Leasing options mean greater sales opportunities and higher margins.
Facts & Figures. How I.T. resellers can improve their margins.
In February 2017, it was predicted by the IDC that the number of PC’s purchased “As-a-Service” would rise from their then current levels of 3-4% to more than 20% by 2020. The study they conducted showed that 37% of customers said they were able to get their hands on better hardware because they were part of PCaaS. It also meant that the refresh cycle had been shortened by an average of just over 8 months.
According to Rik Hubbard of Exertis Mobile, this change is a natural progression. Consumers already have the ability to subscribe to software as and when they need it, so it was inevitable that hardware and services should follow.
“Companies have long been using this type of method in the copier market. Certainly, the old method of paying for IT hardware upfront has declined and there are different ways of spreading the cost to acquire equipment.”
Companies such as HP and Dell have already embraced the principles of technology as a service. Sarah Shields of Dell EMC states that this type of business actually leads to long-term clients that are more likely to stay with one company, allowing a much closer relationship between the business and the client. “It delivers value to the customer and value to the partner, so it’s a good business opportunity.”
But subscription-based models are not just good for the consumer, business owners and suppliers. It’s also good for the environment too. It allows for hardware to be upcycled once the consumer has upgraded to meet their needs. At Innovent Leasing, we do this as part of our 2nd Life IT programme.
Selling IT As A Service: Why Use InnoVent?
Using our years of experience and extensive market research, InnoVent has developed an ‘As-a-Service’ solution that really works. So it provides you with the most competitive market leading rates which is one of the most important factors. Our pricing is structured in a way that ensures you can offer subscriptions to your small and larger customers with deals as low as £1,000.
InnoVent’s simple and easy to use proposal and documentation process enables credit acceptances in as little as 3 minutes. Speed is another important factor so electronic signatures ensure a seamless and streamlined payout process.
Get in touch to discover how we can help you develop an “As-a-Service” proposition. We can help you expand your business and offer your customers the most cost-effective and flexible technology solution.