Shoot the Moon with Revenue Rocket

MSP Trends & Predictions

Episode Summary

Today we are going to talk about one of our largest client categories, Managed Service Providers (MSPs). We will discuss the growth and trends seen in the last 12 to 18 months along with how we are helping our clients navigate the complexity of what is now a heavily consolidating market.

Episode Notes

At Revenue Rocket a fair amount of our clients fit into the category of managed service providers or MSP’s as we in the industry refer to them.  The category focuses on providing business and enterprise clients with predictable and scalable solutions for managing all facets of information technology (IT) within their corporate ecosystem.

Macro trends:

• Simplify the hiring and maintenance of internal IT teams (outsource) 
• Continued enablement of the remote worker 
• Scale when dealing with the job swap boom (increased churn in enterprise)
• Managing the continued migration to cloud and the complexities that come with it
• Hyper automation among key functions such as employee onboarding/offboarding
• Virtual service delivery (online tools and enablement) - Zoom erra 
• AI and machine learning shift from buzz words to real world value 
• Implementation and management of cyber security solutions 
• New age testing and implementation of augmented reality (AR) and virtual reality (VR) solutions. 64% of brands have started to test the effectiveness of these solutions in the past 2 years. 
• Expansion of VoiP solutions for staff connectivity outside of the four walls 
• MSPs Interest in selling increased from 15% to 27% from 2019 to 2021

Closing remarks:

• Combinations are fueled by: 
  • The need to achieve new levels of economies of scale
  • Increased costs related to required growth to keep up with demand 
  • Attractiveness to bolt on additional solutions to the existing portfolio
  • Establishing or expanding diversity in target market segments (healthcare to manufacturing…) 
  • Valuations are up - no better time to exit (in some cases) 
  • Increased interest from financial buyers (PE, SPACs and more)

Be sure to read up on our latest blog post covering these trends and more on our website at 

https://www.revenuerocket.com/msp-trends-predictions