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 Channel Futures

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UK Channel Expects Big Growth in 2021, Cybersecurity a Big Driver

  • Written by Edward Gately
  • February 22, 2021
Many partners view COVID-19 delays as one of the least important challenges they face.

Nuvias Group research shows the U.K. channel is confident about growth this year, with cybersecurity as the biggest driver and health care the biggest vertical opportunity.

Nuvias Group polled key reseller partners across the United Kingdom during the last quarter of 2020. That includes tech VARs, MSPs, SIs and internet service providers.

Key takeaways from the European distributor‘s survey include:

  • Despite the pandemic, 63% expect business growth of more than 5%. Forty-three percent expect more than 10% growth.
  • Eighty-two percent agree cybersecurity is the biggest driver for growth; therefore, it’s one of the biggest opportunities for channel partners.
  • More than half identified health care as a key growth area.

Adversity Brings Opportunity

Gordon Lyon is Nuvias Group’s customer director for the U.K. and Ireland.

Nuvias' Gordon Lyon

Nuvias’ Gordon Lyon

“We share our partners’ positive outlook for 2021,” he said. “Our industry has shown resiliency in 2020. With adversity comes opportunity. It is rewarding to see enthusiasm for the cybersecurity sector, as we have made significant investments in both personnel and value-added services in this area in 2020 and will continue to do so in 2021.”

Some 69% of partners view COVID-19 delays as one of the least important challenges they face.

The size of the cybersecurity opportunity is partly the result of the mass shift to remote working during the pandemic. It required businesses to secure a much wider, extended network under rising activity from cybercriminals.

Cloud security plays an important role in light of the accelerated move to the cloud as a result of remote working practices. Nearly three in four (74%) rated cloud security as a big growth prospect.

“We mirror the feedback of our customers in relation to cloud security, which we also see as a key focus area for 2021,” Lyon said.

Digitizing Health Care

The pandemic accelerated digitization across many verticals. For instance, health care organizations are under pressure to digitalize their processes. Partners can support this transition.

Digital health is a priority at the European government level, with wider budget devoted to upgrading public health care. This will offer improved prospects for channel partners in this sector.

After health care, respondents identified finance and public sector as the second and third most significant vertical opportunities for growth. Manufacturing closely followed.

Identifying the right customers within vertical sectors such as health and manufacturing was ranked as a key priority. That was followed by accessing specialist knowledge and finding a solution tailored to the sector.

The research found that distributors need to help partners navigate customer expansion and act on the vertical opportunity. Respondents indicated the most valued services from their distributor to be quick and accurate quotes and tech assistance.

Tags: MSPs VARs/SIs Best Practices Channel Research Cloud Digital Transformation EMEA Sales & Marketing Security Specialty Practices Strategy

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