NOVARED Pushes North Into U.S. Managed Services Market

NOVARED, a Chilean-based managed security services company, wants to make a name for itself in the U.S. market.  NOVARED stared as a VAR more than 50 years ago, serving Central and South America. It wasn't until roughly 10 years ago, according to NOVARED CEO Miguel Perez, that the company saw an opportunity to sell its own managed security solution. And now, NOVARED is pushing North into the U.S. market. Here's why.

“We’re very well known in Latin America. Not so much in the U.S.,” said Perez. NOVARED is doing several things to change that, perhaps the most important of which is becoming a founding member of Chile-IT – a group of Chilean MSPs dedicated to building partnerships in the United States.

Perez sees five big advantages that Chilean IT companies have when it comes to marketing their services to the U.S.:

  1. Single Sales Strategy: Finding U.S. VARs is the only strategy for NOVARED when it comes to engaging U.S. customers. Perez said that’s not always the case for U.S. managed security service providers. “A lot of them use VARs and direct sales,” he said. “It’s difficult for VARs to trust those companies because they may come in with their own sales team and get a client.”
  2. Security Focus: Many U.S. MSPs don’t offer security services. They only offer networking and management. “We don’t compete with those companies,” said Perez. “We can go behind those offerings as an add-on.”
  3. Established Reputation: Perez is convinced that NOVARED’s reputation throughout Latin America will earn the company U.S. customers. “We've been around for a long time,” he said. “We’re very established, consolidated and we are not trying to learn the business.  We know what customers want.”
  4. Competitive Pricing: NOVARED pays its workers Chilean wages. Generally speaking, that allows the company to offer its managed security service solution at a lower rate than U.S.-based rivals.
  5. Near-shore: Chilean companies are near-shore. They’re in the same time zone as companies based on the U.S. east coast, so U.S. clients don’t have to worry about limited collaboration because of a time difference. Again, here’s Perez’s take: “This is very important when it comes to security. A security provider has to respond within minutes, not hours.”
The biggest obstacle for NOVARED? Being erroneously viewed as a “far away company.” Perez stressed the importance of being a seen as a U.S. company. To that end, NOVARED has plans to open offices in the U.S. in order to establish a greater presence.

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