This one is so simple, and yet so many managed service providers are failing to take advantage of the opportunities to sell recurring revenue. At Everon, we don’t do anything for anyone unless their is recurring revenue involved.
Take our On Demand services as an example. This is our entry package with clients; our “foot in the door”. If a client isn’t ready to sign up for a large managed services contract, we give them the opportunity to work with us on an hourly basis. But this isn’t a normal hourly deal - we don’t do those!
Do be an On Demand client, you have to sign up for our network monitoring service, which is billed monthly for as long as we have a relationship with the client. This does three things for us:
- It creates an automatic revenue stream that we can count on
- It creates a continuous relationship with the client
- It generates hourly work for us
Everyone needs to realize that every sales situation has the opportunity to generate recurring revenue; it’s a matter of what you bundle into your offering and always asking for the deal. Always ask for the deal.
So go get your recurring revenue. Take a look at your offerings and make sure there is a recurring component to everything you are doing. If you can’t figure out how to make an offering recurring, stop doing it!
MRC
