Autotask: Back to the Future with VARStreet
To drive your profits to their highest levels possible, you can’t just focus on services. Instead, VARs and MSPs need to mix in products. That was the central message from Autotask CEO Bob Godgart this morning at the Autotask Community Live conference in Miami, where roughly 500 VARs and MSPs have gathered to talk strategy. No surprise, Godgart positioned VARStreet — a product sourcing dashboard — as a core service that can help solutions providers to bolster their profits. Here’s a recap.
As you may recall, Autotask acquired VARStreet in March 2010. Since that time, the company has been working on new components that will allow VARs to build on-line storefronts that rival Amazon.com and CDW, Godgart said in an interview last night. Also of note: Ingram Micro Seismic and Synnex are at the conference, and more than a dozen other major distributors are plugging into VARStreet, Godgart says.
The goal for Autotask is to push beyond the traditional North American managed services market. Instead of focusing purely on 10,000 North American MSPs, Godgart says Autotask also will pursue 90,000 North American VARs. Of course, Autotask also has a global strategy but last night’s chatter focused mostly on pursuing the North American masses. “We took PSA and brought it to the masses; with VARStreet you will be able to get started for just $99 a month,” says Godgart.
During his keynote this morning, Godgart explained how pure product VARs and pure services MSPs are leaving money, margin and profit on the table. Within two weeks or so, VARStreet will be fully integrated with Autotask — allowing solutions providers to profit from both products and services.
Still, Autotask and VARStreet will face plenty of competition in the product sourcing market, as The VAR Guy has previously pointed out.