How Solution Providers Can Increase Their Recurring Revenue Potential with Cloud Backup Services

A recent IDC Market Spotlight reports significant growth opportunities for cloud backup and recovery service providers with the market exceeding over $2 billion in spending in 2013 and double-digit growth.  MSPs (managed service providers) can use backup-as-a-service (BaaS) and disaster recovery-as-a-service (DRaaS) to differentiate their portfolio, cross-sell new services to existing customers and expand into new markets, among other benefits. At a high level, enterprises are increasingly transitioning to cloud-based backup and disaster recovery services to:

  • Increase efficiency from a time and budget perspective
  • Ensure shorter recovery time objectives are met
  • Guarantee compliance obligations related to backup, recovery and archive policies are satisfied
  • Secure tighter SLAs

3 Types of Cloud Service Provider Strategies

Once you identify the benefits for your business and are interested in adding BaaS and DRaaS to your portfolio consider these strategies:

  • Become and end-to-end cloud service provider
  • Offer the cloud service under your own brand (also known as white-labeling)
  • Start as a cloud service broker or reseller

Benefits of Business Models for Cloud Backup Providers

There are three overarching business models to consider with cloud services: leading complementary, trailing complementary, and backup/storage centric.  Each has its own benefits which you can learn in more detail by visiting the report here.  At a high level:

  • Leading complimentary – used as a means to gain a foothold into accounts to try to secure a broader range of cloud services
  • Trailing complimentary – you lead with other cloud services, cloud backup is one of many services in your portfolio
  • Backup/storage centric – you focus primarily on your backup services in the market due to your depth of expertise in backup, data protection and storage

To learn more about key considerations for adding cloud backup and recovery managed services to your portfolio and how it can offer a new monthly recurring revenue stream, retain customers and help you attain new business, download the IDC report, Using Cloud Backup and Recovery  Services to Achieve Desired Business Outcomes.

Talk to us at Asigra if you have any questions or are interested in learning how you can offer cloud backup and recovery services powered by Asigra.