https://www.channelfutures.com/wp-content/themes/channelfutures_child/assets/images/logo/footer-new-logo.png
  • Home
  • Technologies
    • Back
    • SDN/SD-WAN
    • Cloud
    • RMM/PSA
    • Security
    • Telephony/UC/Collaboration
    • Cable
    • Mobility & Wireless
    • Fiber/Ethernet
    • Data Centers
    • Backup & Disaster Recovery
    • IoT
    • Desktop
    • Artificial Intelligence
    • Analytics
  • Strategy
    • Back
    • Mergers and Acquisitions
    • Channel Research
    • Business Models
    • Distribution
    • Master Agents
    • Sales & Marketing
    • Best Practices
    • Vertical Markets
    • Regulation & Compliance
    • Diversity & Inclusion
  • MSSP Insider
  • MSP 501
    • Back
    • Apply Now
    • 2020 MSP 501 Rankings
    • 2020 Hot 101 Rankings
    • 2020 MSP 501 Report
  • Intelligence
    • Back
    • Galleries
    • Podcasts
    • Videos
    • From the Industry
    • Reports/Digital Issues
    • Webinars
    • White Papers
    • Channel Educational Series
  • EMEA
  • Channel Chatter
    • Back
    • People on the Move
    • New/Changing Channel Programs
    • New Products & Services
    • Industry Honors
    • Channel Convergence
  • Resources
    • Back
    • Advisory Boards
    • Industry Organizations
    • Our Sponsors
    • Content Resources
  • Awards
    • Back
    • 2021 MSP 501
    • Circle of Excellence
    • Excellence in Digital Services
    • Top Gun 51
  • Events
    • Back
    • CP Conference & Expo
    • Channel Evolution Europe
    • Channel Partners Event Coverage
    • Webinars
    • Industry Events
  • DE&I
Channel Futures
  • NEWSLETTER
  • Home
  • Technologies
    • Back
    • SDN/SD-WAN
    • Cloud
    • RMM/PSA
    • Security
    • Telephony/UC/Collaboration
    • Cable
    • Mobility & Wireless
    • Fiber/Ethernet
    • Data Centers
    • Backup & Disaster Recovery
    • IoT
    • Desktop
    • Artificial Intelligence
    • Analytics
  • Strategy
    • Back
    • Mergers and Acquisitions
    • Channel Research
    • Business Models
    • Distribution
    • Master Agents
    • Sales & Marketing
    • Best Practices
    • Vertical Markets
    • Regulation & Compliance
    • Diversity & Inclusion
  • MSSP Insider
  • MSP 501
    • Back
    • Apply Now
    • 2020 MSP 501 Rankings
    • 2020 Hot 101 Rankings
    • 2020 MSP 501 Report
  • Intelligence
    • Back
    • Galleries
    • Podcasts
    • Videos
    • From the Industry
    • Reports/Digital Issues
    • Webinars
    • White Papers
    • Channel Educational Series
  • EMEA
  • Channel Chatter
    • Back
    • People on the Move
    • New/Changing Channel Programs
    • New Products & Services
    • Industry Honors
    • Channel Convergence
  • Resources
    • Back
    • Advisory Boards
    • Industry Organizations
    • Our Sponsors
    • Content Resources
  • Awards
    • Back
    • 2021 MSP 501
    • Circle of Excellence
    • Excellence in Digital Services
    • Top Gun 51
  • Events
    • Back
    • CP Conference & Expo
    • Channel Evolution Europe
    • Channel Partners Event Coverage
    • Webinars
    • Industry Events
  • DE&I
    • Newsletter
  • REGISTER
  • MSPs
  • VARs / SIs
  • Agents
  • Cloud Service Providers
  • Channel Partners Events
 Channel Futures

Cloud


Becoming a Cloud Desktops Reseller

  • Written by Channel
  • November 12, 2013
DaaS resellers will play a huge role, particularly in serving SMBs, which don't have the technology sophistication, personnel or resources to migrate to the cloud.


Saad Shahzad

**Editor’s Note: This article is an excerpt from the Digital Issue, “ Virtualizing Desktops in the Cloud ,” which is available for download from Channel Partners Cloud Insights.**

By Saad Shahzad

Do you want to capitalize on one of the hottest trends in the IT industry? Do you want to make monthly recurring revenue? Do you want to sell high-margin solutions? Do you want to become a strategic adviser to your end-customer base?  If the answers are yes, then you might consider becoming a reseller for cloud desktops, also know as hosted virtual desktops (HVD) or desktops-as-a-service (DaaS).

Resellers are a critical component of the cloud ecosystem and will play a huge role, particularly in serving small to medium businesses (SMBs), which dont have the technology sophistication, personnel or resources to migrate to the cloud, giving resellers an additional opportunity to provide professional services.

Customers also will rely on resellers to educate them on the benefits of new technologies like DaaS, which can reduce operating IT costs, enhance worker productivity (anytime, anywhere and any device access) and alleviate IT headaches (with cloud orchestration portals).

While customers stand to gain from DaaS, so do resellers, specifically by earning monthly recurring revenue. There are two different models that resellers can choose from agency or resale.

Agents, also known as brokers, receive a commission  either upfront for referrals or monthly recurring for a more involved sales role  based on a percentage of the deal. Typical commissions range from 5 to 15 percent, depending on the agent’s role or sales volume. Agents need to have  at a minimum  relationships with the customer’s decision makers (e.g., CEO, president, CFO, CIO or IT director) and basic education on uncovering/creating the sales opportunity for the service provider. Agents can play a more consultative role in the sale with regard to needs assessment, road map development and provider selection. While there are exceptions, agents typically do not provide installation, migration, billing or customer care once the sale is completed, leaving that to the service provider.

In the resale or white-label model, resellers would sell as well as provision, support and bill customers while the provider delivers the back-end infrastructure. On average, resellers can get north of a 25 percent discount on the MSRP listed for DaaS providers. They can mark up the price of the services to meet the needs of their end customers, which have different price thresholds.

In the resale model, the underlying cloud service providers are responsible for maintaining SLAs to the customer and providing  sales and engineering support to resellers.  Providers also should offer a management portal enabling resellers to provision service and manage moves, adds and changes. Service providers usually also will provide Tier 2 customer support.

Resellers, however, are responsible for providing Tier 1 support, including engineering resources and a help desk that can field calls from the customer’s users. Providing basic support functions is an opportunity for resellers to create an additional revenue stream and, more importantly, to build customers’ confidence in their abilities to provide cloud services. In addition to providing support, resellers must bill the customer a critical function that ensure continued ownership of the customer.

The best part about DaaS is that it is a sticky” recurring revenue service. And resellers of both kinds can expect long-term contracts since customers are unlikely to switch DaaS providers with any frequency unless there is a problem with the service. Hence, its critical to pick the right DaaS provider a company that provides excellent performance, even better support and meets their service level agreements (SLAs), so the end customers never have to look elsewhere.

Saad Shahzad is chief strategy officer at

dinCloud

, a cloud transformation company that helps organizations rapidly migrate their IT infrastructure to the cloud.
LinkedIn:
linkedin.com/pub/saad-shahzad/1a/485/a89

Tags: Agents Business Models Cloud

Related


  • Cloud Computing
    6 Ways to Capitalize on Cloud Computing You May Not Have Considered
    A variety of vendors share some tips and insight.
  • Customer care
    8x8 Adds Birdeye, RingCentral Vet as Chief Customer Officer
    8x8's latest hire has an extensive history in the channel.
  • Close-up of call center agent
    Vonage Contact Center Gets Video, AI Enhancements
    You'll be surprised to learn how many people now prefer to connect on video.
  • Diversity and Inclusion word salad
    5 Reasons Diversity, Equity and Inclusion Is Important
    Michelle Ragusa-McBain gives solid reasons why DE&I is so important — and what you can do to promote it.

Leave a comment Cancel reply

-or-

Log in with your Channel Futures account

Alternatively, post a comment by completing the form below:

Your email address will not be published. Required fields are marked *

Related Content

  • New, Changing Partner Programs: HPE, Zoom, Fortinet, Microsoft, More
  • Cloud Communications Market Rocked by Microsoft, COVID-19 in 2020
  • Vonage, Oracle, Salesforce Vets to Fuel Talkdesk Partners' Growth
  • Ujet, Peerless Network Enter Master Agent Agreements with PlanetOne, Intelisys

Galleries

View all

6 Ways to Capitalize on Cloud Computing You May Not Have Considered

April 14, 2021

Industry Perspectives

View all

Exercising Your Organization’s Data Loss Recovery Abilities

April 13, 2021

Why MSPs Need to Shift from Cyber Security to Cyber Resilience

April 13, 2021

Why Every MSP Should Consider TCO When Selecting a BCDR Solution

April 9, 2021

Webinars

View all

Top 3 Intel Security Technologies To Help Against Advanced Cybercrime Attacks

April 15, 2021

What to Look For: 2021 Threat Report

April 22, 2021

Health Care and SD-WAN: A Seller’s Guide

April 27, 2021

White Papers

View all

Top Tips: How Resellers Can Leverage Rackspace to Enhance Customer’s Cyber Security Protection with Microsoft 365 Security

March 30, 2021

Top Tips: Optimize Your Microsoft 365 Investment with Rackspace Technology

March 30, 2021

The Smart Approach to Cloud Workload Placement Decisions

March 19, 2021

Upcoming Events

View all

Channel Partners Conference & Expo

November 1, 2021 - November 4, 2021

MSP Summit

November 1, 2021 - November 2, 2021

Channel Evolution Europe

November 30, 2021 - December 1, 2021

Videos and Fastchats

View all

5 Reasons Diversity, Equity and Inclusion Is Important

Five9 Shares Insights on Implementing a DE&I Strategy

April 13, 2021

FASTCHAT: How Fortinet Reduces Complexity Through Networking, Security

March 31, 2021

Strong Customer Experience Needs Strong Partner Experience

December 22, 2020

Twitter

ChannelFutures

.@nvidia showcases #ProjectGrace, its first CPU for AI-capable supercomputer. @NVIDIAGTC dlvr.it/RxhTkj https://t.co/ofUQjKUr0U

April 15, 2021
ChannelFutures

.@DellTech spinning off ownership in @VMware. #cloud #cybersecurity dlvr.it/RxhFwH https://t.co/V3e4QHRJ43

April 14, 2021
ChannelFutures

.@SoftIron launches inaugural VAR program. #datacenter dlvr.it/RxhCgR https://t.co/EKSGPKmLGQ

April 14, 2021
ChannelFutures

Hybrid IT services provider @EnsonoIT announces acquisition by investment firm KKR amid flurry of M&A activity.… twitter.com/i/web/status/1…

April 14, 2021
ChannelFutures

.@Vonage #ContactCenter now includes Visual Engagement, other enhancements. dlvr.it/Rxh20n https://t.co/HDnHjkKMhw

April 14, 2021
ChannelFutures

.@michelleragusa outlines 5 solid reasons why #DE&I is so important — and what you can do to promote it.… twitter.com/i/web/status/1…

April 14, 2021
ChannelFutures

🕑 Set aside time this week complete your @ChannelFutures MSP 501 application > bit.ly/2021-501. Your compan… twitter.com/i/web/status/1…

April 14, 2021
ChannelFutures

.@C_Trapp talks about why he founded Upstack and his goal to build the "best direct sales agency in the country."… twitter.com/i/web/status/1…

April 14, 2021

MSSP Insider

Business advice for MSSPs and news from the broader security channel.

Newsletters and Updates

Sign up for The Channel Report, Channel Futures Update, MSP 501 Newsletter and more.

Live Channel Events

Get the latest information on the next industry-leading Channel Partners event.

Galleries

Educational slide shows and images from live events.

Media Kit And Advertising

Want to reach our audience? Access our media kit.

DISCOVER MORE FROM INFORMA TECH

  • Channel Partners Events
  • Telecoms.com
  • MSP 501
  • Black Hat
  • IoT World Today
  • Omdia

WORKING WITH US

  • Contact
  • About Us
  • Advertise
  • Newsletter

FOLLOW Channel Futures ON SOCIAL

  • Privacy
  • CCPA: “Do Not Sell My Data”
  • Cookie Policy
  • Terms
Copyright © 2021 Informa PLC. Informa PLC is registered in England and Wales with company number 8860726 whose registered and Head office is 5 Howick Place, London, SW1P 1WG.
This website uses cookies, including third party ones, to allow for analysis of how people use our website in order to improve your experience and our services. By continuing to use our website, you agree to the use of such cookies. Click here for more information on our Cookie Policy and Privacy Policy.
X