When it comes to customer engagement, MSPs face several challenges. Several studies and surveys have found various aspects of challenges. We will discuss some of those here:
1. Handling Large Number of Clients
Can you guess what is the average number of clients a regular MSP serves at any point of time? Ten? Twenty? Fifty? The findings of this study will blow your mind. As per recent data, MSPs, on average, serve around 122 clients!
When an average MSP serves such a massive number of clients, they are more likely to be overwhelmed when they have to manage such a diverse portfolio of clients.
2. Acquiring and Retaining Clients
Even though a sizable number of MSPs serve over 100 clients at any given point of time, some MSPs face challenges in acquiring and retaining clients. A data published by Statista revealed about 35 percent of MSP executives globally said that acquiring more customers is expected to be the leading challenge for MSPs.
Without effective customer engagement, acquiring new clients will be difficult. Retaining existing customers would be even more difficult. To mitigate this challenge, MSPs need to focus on customer engagement.
3. Increasing Competition
Would it come as a surprise to know that increasing competition is the top challenge that MSPs are facing today?
It won’t. According to Datto’s Global State of the MSP Report 2024, increasing competition is one of the major challenges MSPs face today.
4. Cybersecurity and Compliance
In its annual MSP Perspectives report for 2024, SOPHOS, a leading global provider of managed security solutions, has found that 39 percent of MSPs report major setbacks when adapting to advanced security technologies.
As cybersecurity concerns and regulatory requirements continue to evolve, MSPs must ensure they are equipped to address these challenges.
5. Low Average Close Rate
For a majority of MSPs, the average close rate is relatively low. A study revealed that the average successful closing rate of MSP sales staff across the board is 35 percent.
There is a strong correlation between closing rate and customer engagement. When customer engagement is robust, an MSP’s closing rate will automatically increase.
6. Neglecting Email Communication
A survey conducted by MSP Success revealed that more than a third (34 percent to be precise) of MSPs polled said that they don’t use e-mail to market to their list.
And among the MSPs using email, 64 percent of those e-mail their list once a month or less. Only 14.8 percent of MSPs e-mail their list two to three times a month, 18 percent once a week, and a meager three percent e-mail their list more than once a week.
7. Clients’ Expectations
As a sizable number of MSPs serve multiple clients at any given point of time, they are expected to customize services as per each client’s requirements. Apart from that, a majority of clients expect immediate responses and resolution from their MSPs.
In such a scenario, the expectations from clients become a challenge for MSPs. That’s because, when issues are complex and more challenging, managing these expectations can be difficult for MSPs.
