The explosive growth of software-as-a-service (SaaS) is one of the great stories of the modern world economy, and it has proven the tremendous power of the internet as a transformative technology. SaaS is continuing to grow at a healthy clip—well into double digits—and conversations with IT buyers representing small to midsize businesses (SMBs) suggest the future holds more of the same.
At the same time, outright hardware purchases are beginning to slow as more SMBs turn to hardware-as-a-service (HaaS) to reduce costs and increase flexibility. A recent IDC study of the hardware trend predicts that on-premises infrastructure spending will decline at a 1.3% compound annual growth rate between now and the year 2020.
Like SaaS, HaaS heralds a fundamental change in the relationship between the vendor and the customer. The old model of the one-time sales transaction is typically clean and neat, but it doesn’t guarantee future sales, even when the product and service are perfectly presented and executed. With HaaS, hardware becomes yet another tie that binds—in a long-term relationship that grows over time.
How channel partners can benefit from HaaS right now
HaaS is also an easier sale to make to cost-conscious customers because of the lower upfront expense. Warranties are no longer an issue, and the assurance of service (combined with that lower cost) makes it much easier for companies to take the leap and adopt new technologies.
So sales are easier. They’re also more regular with HaaS, which typically includes contracts that guarantee recurring revenue for channel partners. It’s easier to forecast, and easier to budget, and repeat sales aren’t just a pretty good bet—they’re part of the package.
How channel partners benefit from HaaS over time
That brings us to relationships. HaaS gives channel partners the opportunity to create them and build them over time, which can often drive additional sales. The more chances you have to show a customer what you’re made of, the better. Partners can also see improvements in margins by bundling hardware, software, maintenance and installation.
Finally, the solid, dependable service provided by channel partners will offer some protection against the ongoing commoditization of hardware because pricing is determined by the customer’s perceived value of the service, rather than the cost or perceived value of the hardware itself—which tends to diminish over time.
How Carbonite can help you capitalize on the HaaS trend
Carbonite is well known for SaaS backup solutions and a channel-first sales strategy. The acquisition of EVault and the introduction of E2 mean that Carbonite now has powerful HaaS offerings for channel partners and their customers.
The addition of HaaS to the Carbonite product portfolio expands the offering in all sorts of attractive ways. Consider that Carbonite has now enabled its channel partners to include any and all of the following benefits in customer discussions:
- Cloud-based management via web portal
- VMware backup (at hypervisor level)
- Microsoft SQL Server, Exchange, SharePoint granular backup/restore
- Forever incrementals
- Seeding of initial backups
- Courier recovery
- Hyper-V backup
- Cloud failover
For owners of small to midsize businesses, there’s a lot to love about Carbonite HaaS. For seasoned IT pros searching for a solid backup and recovery solution, there’s even more. Carbonite HaaS provides customization and easy deployment and management, and offers more capabilities and more advanced features than have ever been available until now.
To talk to our experts about the newer HaaS offerings, or the rest of the Carbonite portfolio of backup and business continuity products and services, please call 855-227-2249 or email [email protected].
Jessica Couto is Vice President of U.S. Channel Sales & Marketing at Carbonite, a provider of cloud and hybrid backup and disaster recovery solutions for small-to-midsize businesses.
Guest blogs such as this one are published monthly and are part of Talkin' Cloud's annual platinum sponsorship.