ForzaDash State of the MSP and IT Vendor Communities in 2022
The MSP ecosystem is developing by the minute as the world takes critical turns in 2022. Changes and advancements in the IT vendor and MSP sectors indicate a much brighter and more promising future.
ForzaDash lives up to its tagline, “The Most Effective Way to Develop Your MSP Channel.” CWDash is ForzaDash’s main application. ForzaDash has released its yearly report 2022 on its MSP Community of over 7500 members. Click here to download the report.
What is a Managed Service Provider (MSP)?
A Managed Service Provider (MSP) is a technological solution provider (TSP) that provides software and hardware to end clients while also managing their IT infrastructure and applications. An MSP is a vendor’s partner since they resell their products, but they’re also customers because they use those products to serve their clients.
Challenges of the MSP Channel
The MSP channel has been met with many challenges through years of collaborating with IT Vendors. Unfortunately, many IT Vendors entered and exited the channel without a complete understanding of MSP operations, and most MSPs were frustrated by IT Vendors for the following reasons:
- Selling directly to MSPs’ clients
- Bidding against MSPs to their clients
- Treating MSPs like a sales team rather than a partner
- Using overly complicated or technical marketing materials
- Treating MSPs like a VAR
What should an IT vendor do to increase their chances of success?
To succeed in the MSP channel, the vendor must better understand how MSPs operate in order to maximize their potential and recognize the benefits of a true partnership. More than 7,500 MSPs have joined our ForzaDash Community, searching for vendors who meet specific criteria.
ForzaDash Mission: Help MSPs Grow
ForzaDash helps MSPs grow their business by providing tools that make managing their customers’ IT easier and cost-effective. One of these tools are offered through our free app:
- CWDash – The ConnectWise® Manage: Business Intelligence Platform – https://www.cwdash.com/
CWDash is a ForzaDash application that provides excellent capabilities for an MSP to manage their customers’ IT more efficiently and cost-effectively. CWDash is free as it is a sponsored-based business intelligence app for ConnectWise Manage On-Premise or in-the-Cloud.
With CWDash, you have access to customized and real-time dashboards. which reduces the need for time-consuming searches. 85% of Managed Service Providers use CWDash. The MSP must submit a fifty-question survey on their company profile, management tools used, sales and marketing, and business operations.
MSP members of the ForzaDash Community also benefit from the opportunity to:
- Collaborate with peers about solutions & vendors
- Continue to innovate and add new features to apps
- Attend workshops to discuss updates and roadmaps
- Receive the eNewsletter to stay “top of mind” with updates and tips & tricks
ForzaDash Community MSP Traits 2022
IT vendors must understand MSPs. The first step is to gain a deeper understanding of the connection between IT vendors and MSPs. ForzaDash is a fantastic place to learn more about the MSP community. It’s also an excellent platform for expanding and growing your MSP network.
Here are some basic facts about the ForzaDash community you need to know:
- Our community consists of more than 7,700 MSPs. These MSPs use our ad-based sponsored apps.
- ForzaDash communicates to more than 50,000 MSP prospects regularly.
- Every month, we add more than 175 new MSPs.
Out of 50 survey questions and responses, we chose the top 11 traits that best represent the ForzaDash MSP Community in 2021.
1. How much revenue do MSPs make?
Over 4,500 MSP members have approximate earnings of three million or more, 59% of the overall membership. The annual revenue of other MSPs showed that 19% earn up to 1 million, 22% earn 1 to 3 million, 54% earn 3 to 7 million, 2% earn 7 to 14 million, and 3% are big earners of more than 14 million dollars.
2. What is their average client engagement length (in years)?
According to the ForzaDash report on the IT Vendor and MSP communities, more than 60% of MSPs showed good figures. For instance, more than 60% of these MSPs established and maintained good relationships with their customers. The length of years in this rating is two years or more.
3. How many clients/businesses do MSPs manage or support?
IT Vendors should know that ForzaDash MSPs are successful in terms of the number of their current clients and businesses supported. Based on the ForzaDash report, more than 3,000 MSPs manage over 50 clients or businesses, and 6% of the MSP members have more than 100 clients.
4. How many employees do MSPs have?
The MSP Community is growing, and it will continue to do so in the upcoming years. As a result, such businesses are employing an increasing number of individuals. In the ForzaDash community alone, 216,000 overall employees work for all ForzaDash MSP members. In the record, 95% of MSPs hire less than 100 people, but they have nearly 164,000 employees as a whole.
5. What year was their organization established?
Records show that 90% of MSP businesses have been established for 10 years or more with 61% that started their business between 2000 and 2010.
6. Where are these MSPs located?
76% of the MSP members of the ForzaDash MSP community operate throughout North America. Australia/NZ comes second with 10% of MSPs located in the area in terms of geographical location. Leaving 2% of MSPs located in South America and Asia, 9% in Europe, and 1% in Africa.
7. What technologies do MSPs offer their clients?
IT vendors view MSPs as partners and customers when providing and using their technological solutions. More than half of managed service providers, for example, include IT consultation, networking, virtualization, hardware support, software support, backup services, security, and disaster recovery, among their managed services offerings.
8. What is the anticipated growth rate for MSPs in 2022?
According to the collected data from the ForzaDash MSP community, moderate or better growth is expected for over 90%. That is more than 6,500 MSP members that will experience average or better growth during the current fiscal year.
9. How many end-points do MSPs manage?
The data captured from the MSP community in the ForzaDash ecosystem is reflected in the records. More than 85% of the ForzaDash MSPs manage more than 1000 end-points. Within this MSPs community, there are 750,000 to 3 million end-points managed.
10. What vertical markets do MSPs serve?
MSPs serve significant and vast sectors worldwide. From the figures reported, Healthcare had an expected high increase in 2021.. The popular groups in this category include Healthcare, Legal, and Finance. As for the ForzaDash MSPs, half of the members likewise cover these sectors or industries.
11. What is the total revenue percentage for sales to the following markets?
Based on the ForzaDash community data, 95% of the MSPs’ revenue comes from 1000 seats or less. Furthermore, 4% of the total revenue comes from the large market, while 12% is from the high mid-market, and 31% is from the low mid-market with 53% from the small market.
Spending Impact of the ForzaDash Community
IT vendors must understand ForzaDash’s significance in the whole MSP channel partnership. Furthermore, the community has a spending impact linked to the expansion of the parties.
IT Vendors that join the ForzaDash community as Sponsors connect with more than 7,500 MSP partners worldwide. These MSPs are responsible for 300,000 small to medium businesses (SMBs). Such transactions are a growing part of the present IT spending of up to $52 Billion.
Sponsors Help MSPs Grow with ForzaDash
In the ForzaDash ecosystem, Sponsors and MSPs work together to grow. The Sponsors support MSPs in achieving mutual growth and capacity to fulfill their individual business goals.
Sponsors can find innovative and high-quality MSP partners through the ForzaDash community. This is possible by displaying vendor-sponsored ads via CWDash. As of the present, there are 65+ partner sponsors, while more than 10 are not displayed. These Sponsors generated up to $3.4 million in revenue as of January 2021
With ForzaDash, vendors can expand their sales channels & increase revenue
ForzaDash is a vendor’s marketing service to the MSP Channel Community. On behalf of the vendors, ForzaDash builds and segments lead-generating campaigns using carefully filtered data from the MSP survey.
MSPs are surveyed once a year to ensure that their data is accurate and updated.
Don’t underestimate the possibilities that the MSP provides. Vendors succeed when they assist their channel partners in being successful.
ForzaDash MSP Community Key Takeaways
The majority of the MSPs and their customers are small to medium businesses (SMBs).
- Over half manage 21 to 50 or more clients.
- 96% employ less than 100 people, but they have close to 164,000 employees as a group. And 216,000 work for all ForzaDash MSPs.
- Backup, consulting, desktop & laptop support, disaster recovery, managed services, and security are available from more than half of the MSPs.
- 90%(>5700) will experience moderate or better growth in the coming year.
- 3,000 manage between 750,000 and 3M endpoints.
- The most popular verticals are healthcare, finance, and legal for half.
- The Community is an excellent one-stop partner for vendors planning to build a sales channel.
- Vendors can use ForzaDash to recruit MSP partners.
- Vendor Sponsors have generated $2.9 million in revenue in the first month of 2021.
The IT vendor and managed service provider communities are expanding rapidly, with a prosperous and promising future ahead of them. However, excellent opportunities for IT vendors are difficult to come by. IT vendors need an established and verified MSP community to engage with the right channel partners.
ForzaDash makes this possible by giving IT Vendors a place to expand their network and find MSPs as Sponsors. Use the ForzaDash community to find MSP partners and maximize your overall revenue. Now is the time to join and see the difference!
Click here to download the report.